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The dangers of plastic: Peer Pressure

The dangers of plastic: Peer Pressure

September 8, 2016
peer pressure
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In our previous article, about the dangers of plastic, we spoke about credit card addiction. This terrible curse can quickly bury you in credit card debt. But it’s not the only one. Another way to bring credit card debt in your life is with peer pressure.

Everybody’s using credit cards, why shouldn’t I?

Credit cards have been playing an important role in consumer spending in the United States since the 1980s. In fact, more than 70 percent of all Americans have at least one credit card, so it’s safe to say that we, as a nation, have become dependent on plastic.

You may not believe it but this peer pressure, this idea that using credit cards is socially acceptable convinces many Americans to get plastic, even though they might not be ready for it. Numerous social experiments have already proven the power of peer pressure. Just take a look at the video below and you will see it is true.

The problem isn’t that people have gotten used to the idea that using a credit card is socially acceptable. The problem is that they also view having debt in the exact same way. When you reach this point, you should start to worry.

Plastic is not for everyone. Just because your friends can easily handle credit cards, it doesn’t mean that it’s a good idea for you to start spending as much as they do.

How to protect yourself

If you want to save and build for the future, you need to understand your spending habits before getting and using a credit card. So evaluate the way you handle money. Do some experiments to see if you’re able to pay for the things that you buy each month. Also pay attention to what your friends are doing and see if that influences you and your finances. Maybe one friend in your group likes to eat at an expensive restaurant. He might be able to afford it, but how about you?

Thomas Hookton

Thomas Hookton is a finance journalist, history buff and science fiction connoisseur. Hit him up via email.

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