Credit cards are your friend, but only if you use them wisely. If you start spending over and above your means, you fall into the dreaded credit trap, where you earn only to pay off your previous month’s dues. And end up using credit to meet the current month’s expenses. I am reasonably successful in my profession and money has never been a problem for me, well paid and well placed for most of my professional life. However, I didn’t start out to be particularly good at managing the money that I was earning. I was spending over my capacity because my steady income could meet the expense at the end of the day. But all my present expenses were based on tomorrow’s earning. I noticed that I was always in debt, there are always bills to pay. A year of serious planning helped me to reverse the situation and step out of my debt trap. Now I spend out of the money that I already have in my pocket, and in fact earn from my credit cards, through cash back and travel rewards! Yay, isn’t it?