Negative aspects of using credit include which of the following?
A)The use of credit allows you to own expensive products sooner.
B)The use of credit results in the loss of financial flexibility in personal money management.
C)The use of credit often leads to overspending.
D)Negative aspects of using credit include both loss of financial flexibility as well as overspending.

Question

Quizplus · Accepted Answer

Using credit can lead to both a loss of financial flexibility and overspending. When individuals use credit to purchase goods or services, they may end up spending more money than they actually have, which can lead to debt and financial stress. Additionally, the use of credit may limit an individual's ability to manage their money effectively since they may be obligated to make monthly payments on their credit balance. Therefore, it is essential to use credit cautiously and responsibly to avoid negative consequences.

Negative Aspects of Using Credit Include Which of the Following