Question

Establishing credit is a waste of time and paying interest is a waste of money. It is always best to pay cash for purchases.

Paragraph #1 must start with the heading:  “State your position on the issue”.

Paragraph #2 must start with the heading: “Provide a personal experience that you have had or have read about with that issue”.

Answer 1

1. State your position on this issue:

Establishing credit is a waste of time and paying interest is a waste of money. It is always best to pay cash for purchases.

My position on this issue is that, cash is not always available with us. They are certain times, when due the unavailability of cash, we need to make purchases on credit and also pay interest on the purchase made.

So, credit purchases purchases is not a waste, they help us make purchases even when no cash is available with us. Yes, we have to pay interest, but paying interest is a price we pay for using the bank's money as cash is not available with us.

2. “Provide a personal experience that you have had or have read about with that issue”.

My personal experience with this issue: Once, i has to purchase a electronic gadget for my kid on his birthday, and i did not have sufficient cash to make the purchase.

Due, to the credit facility of the bank i could not only purchase the gadget but also pay it in monthly EMI'S. It helped me avoid paying the huge amount all at once, but to pay it in regular instalments. So, this is my personal experience. I do not consider credit as a waste but it is a facility which we can avail when we have a short of cash.