Prompt: Many people are using credit cards or loans to run up huge personal debts that they may be unable to repay. It should, therefore, be made more difficult for individuals to borrow large amounts of money. Ċ What are your opinions on this? Ċ Give reasons for your answer and include any relevant example from your knowledge or experience.

There are many possible options to pay for something, such as credit cards and cash. The credit card was designed to aid to purchase and nowadays, people are utilizing cards, because it is safer and more convenient than cash. For this reason, I believe some people could be drowning in debt with financial institutions, because they overuse the cards to buy. Therefore, to avoid this situation, financial education can help to get out of the red and demonstrate knowledge to save money. Ċ The credit card is a tool used to purchase many items, but it is very easy to lose control of spending because only at the end of the month you receive the card invoice with all your expenses made. If you are not in control of spending, this will be a difficult situation to pay when you receive the bill. Unfortunately, some people cannot pay off for many reasons such as do not have enough cash or do not have a job, as a consequence, it turns difficult to request borrowing if necessary. Almost 9 million young people own money in Brazil, in other words, 18% of people up to 20 years there are debts. The experts recommend looking for a professional to help and negotiate with the lender. Ċ Furthermore, the financial education is important independent of age to raise awareness about this subject. The experts show examples of steps to save money and avoid des necessary use of credit cards, for instance, create a list of necessary items before shopping, look for the best price in different stores and buy only when is crucial. In addition, could to avoid miscellaneous entertainment at crisis moment and keep only the essential expense, for example, rent, gas, and food. Ċ In conclusion, the credit card is an easy tool to buy, however, a trick if you do not use it appropriately. Moreover, the economic education can give this knowledge and show some strategies to manage and do not own money. This essay was also a demonstrated example of the actions to economize money.