Is Plastic Making You Happier?

If you're like most people, you probably own at least one.

And like most people, you've maybe never thought what it's really costing you?

At a recent conference held by the Fabian Society at London's Imperial college, one of the issues discussed was happiness, and, more specifically, why it seems to elude so many of us.

One of the conclusions reached was that one of the greatest causes of unhappiness in the last 50 years has been people's constant desire to raise their level of material wealth (especially in relation to others who have more).

As one speaker noted, 'We're like children on a rainy Sunday afternoon, impossible to please. We have everything and nothing.'

You may disagree, but I can't think of a worse modern symbol of this constant craving than the credit card.

Yes, I know, they might seem a godsend when payday isn't for another week and a half. Having 'free' money can be a fantastic thing...if you manage to pay it back on time that is...

If you're like a great many, though, and only managing to make that minimum monthly repayment, here are 4 things to think about the next time you reach for that piece of plastic?

1 It's very expensive!

2% interest a month may sound like peanuts but that equates to 24% per year. Let's imagine, like me, you lived in the UK, and had an average balance of £8000 on your card... that would mean you were paying £160 a month interest. On the national average salary, that's almost a week's work!

2 It's not your money

You're actually paying someone else for the privilege of making you poorer! That hard-earned cash should be in your pocket, not some lender's. How can you remain solvent if you're continually spending money you don't have?

3 Money burns a hole in your pocket

If you're like me, I can bet you've met or know loads of people who always seem to have too much month left at the end of the money. Yet, I'll bet you if they earned double or even treble their income, they would still find some way to squander it. It seems to be in our nature somehow.

We've all seen those quiz shows where the contestants win big money. What's the first question they're asked? Yep, that's right, 'How are you going to spend it?' I don't recall many replying they would wisely invest it for their retirement.

4 You spend what you don't have

Credit cards give you the illusion of being wealthy. Let's face it, if you were handing over a 1000 dollars instead of that little piece of plastic, you might just stop and have a quick rethink.

It used to be the case that Gold cards (those ones with the massive spending limits) were the preserve of the wealthy, but the banks weren't too long in realizing that if they gave these out to everyone, they would simply go ahead and spend as if they were wealthy. We seem to prefer illusion to reality, somehow.

Way back in the sixties, a French philosopher called Jean-Paul Sartre came up with a concept he called the Practico Inert.

Fancy terminology aside, he was trying to explain in a nutshell how humans almost always (and without realizing it) become prisoners of their own creations.

He used the example of Chinese peasants who needed wood in order to provide fuel and building materials for themselves. The long-term effect, though, was that the continual loss of trees needed for wood gradually exposed their land to flooding and drought.

Likewise, in our modern world, the credit card creates a short-term illusion of freedom and control, but in reality, only makes you poorer and increases your dependency on others.

So next time you're tempted to reach for that piece of plastic, stop for a second and have a think about it's true worth to you.

Is it really making you any happier, or like so many others, could it be seriously damaging your wealth?

About The Author

Colin Mc Caig is dedicated to helping others become debt fr#ee and start their own home-based business. Get his fr#ee 6-part mini-course. Learn the powerful secrets to becoming debt-free using only the money you have today. Send a blank email to: mailto:colindebtfre@demandmail.com

---

Avoiding Credit Card Traps

The next time you open your credit card statement, take... Read More

How To Protect Yourself Against Credit Card Fraud

In the high tech world of today, credit card fraud... Read More

Good Credit Is a Necessity for Everyday Living

Most of us want a good credit report to obtain... Read More

Fight Credit Card Fraud with Common Sense

By now, you have undoubtedly heard of credit card fraud,... Read More

10 Ways of Reducing the Risk of Identity Theft

1- Check your credit report regularly2- Secure personal information in... Read More

Low Interest Credit Cards Have Many Advantages

When credit cards are used wisely they can be very... Read More

Figuring Out the Ever Nebulous Numbers Called Credit Scores

Credit Score FactorsThe information contained on our credit reports affect... Read More

Manage Your Credit Wisely

Getting your first credit card is a big deal and... Read More

Cash Advance ? How Does It Work?

If you want a cash advance or a payday/paycheck loan,... Read More

Credit Card Balance Transfers Explained

What is a balance transfer ? A balance transfer can... Read More

Recognizing the Signs that You Might Need Credit Counseling

Most families in America today have a credit card; some... Read More

Credit Card Debt: How To Control It

A lot of people spend more money than they can... Read More

How to Save Money on Your Credit Cards

Credit card companies make their money on the 85% of... Read More

How To Prevent Fraudulent Credit Card Transactions

What Are Possible Signs of Fraudulent Transactions see at Web... Read More

Good Credit is King, When Qualifying for Mortgage Programs

If you want to purchase a new home or refinance... Read More

Good Credit -- Essential for the Prospective Home Buyer

Credit is a funny thing. It can be a useful... Read More

Simple Identity Theft Protection

How many of you bank, shop, or transact other business... Read More

Discover the Parts of a Credit Report and What They Mean

So you ordered a copy of your credit report to... Read More

Identity Theft ? How Can You Prevent It Happening to You?

The nightmare of identity theft strikes an estimated 750,000 people... Read More

All Is Fair In Love, War, and, Your Credit Report - At Least It Should Be! Understanding the FCRA

Fact: Over 150 million Americans have credit report with the... Read More

Rewards Cards: Are They Worth It?

Virtually all consumers will have a credit card at some... Read More

Consolidating Credit Cards

Credit card consolidation is a popular solution for those with... Read More

10 Ways To Boost Your Credit Score

1. Deleting Errors in 48 HoursThis is the absolute fastest... Read More

How To Choose A Credit Card

Your credit score may just be a little number, but... Read More

Credit Damage: Getting Compensated for Your Loss

Until recently lawyers for victims of credit damage had little... Read More

What is Credit Card and Debit Card Blocking?

Have you ever been told you were over your credit... Read More

How To Avoid Becoming A Victim of Identity Theft

With identity theft statistics currently at an all time high,... Read More

Identity Theft ? Monitor Your Credit Report

The recent security breach at credit card processor CardSystems Solutions... Read More

Online, Phone, U.S. Mail or In-Person: Where is Your Credit Card and Personal Identify Safest?

Identity theft is the fastest growing crime according to the... Read More

Everything You Always Wanted To Know About Your Credit Report

Your credit report is a very powerful report that essential... Read More

Automobile Credit Report

When applying for a loan to purchase a car, the... Read More

A Summary of the Fair Credit Reporting Act

This summary of the Fair Credit Reporting Act will explain... Read More

Credit Trap: What They Dont Tell You About Credit Cards In College

In industrialized nations, going into debt starts early. It's easy... Read More