How many people in the USA have a credit card
In this article, we have to discuss the concept that is how many people in the US A have a credit card? Before coming to the main topic firstly we consider what the credit card is precisely all about. The concept of credit card tells us that it allows us to borrow money directly from the bank to make the purchases whether it is of a more significant amount or it is a smaller amount. This definition clears us about the concept of a credit card as the bank gives the amount in advance or we can say credit. The grace period of credit card is between 25-30 days as whatever the person borrow it can be returned within the grace period. And importantly the grace period generally consider as the person not to pay any extra amount if it pays within that period. If it is not able to pay within the grace period, then interest would be charged according to the amount that the person borrowed from the bank.
Now there are specific advantage and disadvantage of Credit Cards that we discuss below the same:
Benefits of Credit Card
There are certain advantages of using the credit card, and these have been debating below as:
- The first and foremost advantage of having or using a credit card is it makes a more significant purchase in now a day with a smaller amount within the specific time frame.
- Next, is the carrying purpose. As the carrying goal of credit card is quite easy as we compared with the vast amount of cash that help us to use money without carrying any considerable money.
- These are most widely accepted then the personal checks which are the principal advantage of using the credit card, and it is helpful for every person, and people are used quite often nowadays.
- After that, with the responsible use, a person can build its credit that will be an important later on.
- Lastly, but not least many credit card provides rewards and the rewards include that they mostly give the person 1% or more than that when it spends the right amount of money.
Disadvantages of Credit Card
There are certain disadvantages of using the credit card, and these have been discussing below as:
- The first and foremost disadvantage of using the credit card is it can easily dig the person into the debt if a person is not careful about the spending. This is the main disadvantage as people forget to pay the amount and this might lead to trouble to spend a considerable amount.
- As we know that today’s generation is quite quick and quite active. That means they spend a considerable amount when they go for someplace to purchase anything. This means that the ease of using a credit card leads to overspending money at sometimes.
- Next, as we discuss above the grace period as if a person cannot pay within a time frame that leads to interest as well. Missing the payment or not pay within a time frame that leads to decline the credit score quite quickly.
- Sometimes the interest makes more even a person purchase on a small amount that is a significant drawback of using the card. This generally means that sometimes interest would be more than the average investor.
Now we come to our topic as how many people in the USA have a credit card? As per the latest report, we see that there is an increase in the number of users who have a card. The growth is about 6% from the previous year, and moreover, the total number of the credit card in the USA has about $911 billion. Another report comes that talks about the average household that carry the debt of credit card is about the balance of approximately $15,000 and with the owe of debt is about $13,300 on the frequent basis.
The $911 billion that above we discuss the credit card is less than $1 trillion. It is neither bad news nor good news. This generally because of the commonly cited elsewhere before we counted to the media. The estimation of $1 trillion credit card includes typically about the pre-arranged overdraft plans, or we can say that overdraft lines that not necessarily belong to the credit cards users. The data shows that it will increase to spread awareness in the USA about the credit card that will helpful for the people. As per this plan that we discuss, i.e., overdraft plan it will help the consumers to withdraw the money quite easily, but they should be kept in mind that it should be paid with a time frame. The timeframe that we discuss the grace period is that so that they can maintain good credit score as well.
Now to determine that how many people in the USA have a credit card that provides a report and based on that report there is an estimation of around 126 million US household are there, and also there is an only survey was conducted, and we found that in the US there are more than 2000 adults are there. We know that the user and essential to have a card there is an increase in the number of people every year that we discussed above and on behalf of that, we estimate that people are aware of that card.
Since the report has been generated it focuses on the card debts only that is also an important point. This will help us to understand more accurate and estimate how much debt has been outstanding. Also, there is an essential note that which includes the total or estimated balances of cardholders who can pay off the debt of their card within a particular period, i.e., the grace period during a month, and also that person who carries out the money from month to another month.
At last, we can conclude that above we explain what the card is all about with their benefits and drawbacks. Finally, we discuss how many people in the USA have a credit card from the report as well as on the survey we conclude that there should be more awareness to be spread regarding the credit card.