Credit cards are not bad, but you do need to have some self control. However, credit cards can provide some false financial security. They can be used as an emergency fund if your car breaks down, but a real cash emergency fund is the best policy. If you can't afford to put money aside to start an emergency fund, what makes you think you can make the credit card payments if you use the card for an emergency. A credit card company can serve as a middleman if you have a dispute with a merchant and you can use to make purchases over the phone or on the Internet (hotel room, airline tickets, etc.). But you can also get the same services and do the same things just as easily with a debit card. If you are going to absolutely use a credit card be sure you can pay the balance in full each month. Long term debt has no business on your credit card.
So, to answer the question, what good are credit cards if they only lead to trouble? Nothing really. You don't need them.
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