8 Purchases You Should Never Put On Your Credit Card

High-Value Items

Gen Z has been accumulating credit card debt faster than any other generation, with a notable portion of this debt being used for luxury item purchases.

Cash Advances

Withdrawing cash using your credit card is expensive due to high fees and immediate interest charges. Cash advances often have higher interest rates than regular purchases.

Educational Expenses

Using a credit card to pay for tuition and other educational costs can be costly due to the processing fees and high-interest rates involved.

Special Events

Financing special events like weddings with a credit card can start your married life with significant debt.

Household Bills

Although some utility providers allow credit card payments, they usually include a convenience fee. This additional cost can be avoided by paying directly from your bank account.

Peer-to-Peer Payments

Apps like PayPal, Venmo, and Cash App allow you to link your credit card for payments, but they charge around 3% for each transaction.

Medical Bills

According to the Consumer Financial Protection Bureau (CFPB), medical bills put on credit cards often come with high-interest rates after initial teaser periods and can result in significant debt accumulation

Real Estate Payments

Using a credit card to pay for rent or mortgage payments can seem convenient, but it often comes with significant fees.

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