No one can deny the thrill of using a credit card. The spending, the seemingly limitless buying power. Perhaps the most fun to be had with a credit card is shopping for clothing. After all, there are few things in life as perfect as finding the perfect outfit and knowing you can pay for it with just the swipe of a piece of plastic — the credit card. Shoes, coats, dresses, jeans. All of it, perfectly coordinated and paid for by proudly wielding the credit card.

The temptation is clear, and it is important not to get carried away. While using a credit card can be fun and convenient, it is important to remember that a credit card is, in fact, a loan. A loan with the possibility of high interest. So it is important to use the credit card responsibly, with very few frivolous splurges. In most cases, those great shoes or that perfect outfit is a frivolous splurge.

It’s Easy to Get a Credit Card

The ease of acquiring a credit card is well-documented. Most of the time all you need to do is fill out a simple form. If you make more than a minimal amount per year, and for students sometimes it’s less, a credit card can be yours.

Much of the time a credit card offer comes with a special low interest rate. And the ability to get a cash advance! Or a balance transfer! It is so convenient. All of your banking needs taken care of with one little plastic credit card.

Unfortunately, the ease of obtaining the credit card can lead to irresponsibility and more cost than originally anticipated. That introductory rate goes up. Even if the new rate is low, it’s important to note that most of the fine print reserves the right to change your rate at any time.

Cash advance rates are usually much higher than a regular rate. Plus, if you miss just one payment, or are late just once, the credit card company may increase your regular interest rate to the cash advance rate — some companies charge 20-22 percent for this rate!