South African women are passionate about plastic – the sleek, rectangle-shaped kind that is shoved into the pockets of their purses.
According to Robyn Farrell, executive head of 1st for Women Insurance, “Many women are finding themselves in financial trouble because of their love of plastic. Statistics from the Credit Bureau show that 48.4 percent of South Africa’s credit-active women have negative information, such as defaults, on their records.
“A default (failure to make payments as per agreement) is held on the system at the Credit Bureau for two years and can jeopardise your chances of accessing credit elsewhere, such as when you want to get finance for a house or a car.”
Farrell stresses that women need to think with their heads, and not their hearts, when shopping.
Using and abusing credit is a vicious circle for many.
Farrell says it is easy to lose track of what is spent on credit, and when using revolving credit to stay afloat, it becomes an especially risky business .
“Take charge now. You must keep an honest account of what you spend and be realistic about what you can afford to pay back if you dip into your credit,” she says. - The Pretoria News