Aside from cash, two methods are utilized in order to make payments: credit and debit. While both methods have their strong points, it can be argued that they aren\'t the best methods to use in the long term. To put it simply, the idea of which one is best is subjective but there are perks and negatives that help to place them on different levels. Here are just a couple of aspects to consider, between credit and debit, and Bob Jain would be able to agree.
When it comes to the impact of credit, it\'s hard to deny that many people enjoy the idea of paying off items later on. After all, not everyone has cash on them, so credit can be effectively utilized by those who have strong credit scores that any bank can recognize. While this method is strong, I believe it is also important to make note of the fact that interest rates can inflate over the course of time. In order to avoid said rates, it is for the best to pay off bank statements immediately.
Debit is effective in the sense that is more instantaneous and even more final than credit is. Whenever you use your debit card to make a purchase, the money that is owed is taken out of your checking account, as if the account in question has been in your wallet the entire time. While this is a great option in its own right, there are a number of debit options which possess fees, many of which are hidden. It is for this reason that any potential cardholder should take it upon him or herself to conduct research.
One of the main criticisms of both options, according to Bob Jain, is that fraud can occur with either one. Personal information is integral, to say the least and when it falls into the wrong hands, it is very possible that it can be used in order to hinder finances. If you are curious as to what you can do in order to help this particular situation, there is nothing wrong with contacting certain authorities, Jain included. If anything, the ability to do so may keep you on stable ground in the financial sense.
Overall, credit and debit options are helpful, though in different ways. While credit is great as a long-term option, others may turn to debit so that they can make payments without having to worry about them later on in life. Of course, both options have their negatives and it is important to weigh both pros and cons to see if it\'s worth dealing with the latter. Whatever choice you make, though, make sure that you approach said choice with a sense of caution.
