It is impossible for people to live without finance. The role of finance is to buy basic and luxurious things in life. Barter trade system was used in the past for livelihood. Barter trade system carries the exchange of commodities for commodities. It was for an example known for the blacks to exchange animal skins for jewelry items with the whites. There are many problems associated with the barter trade system as compared to the currency system. Traders tired much as they walked exchanging goods for goods. It was possible for traders to be harmed by wild animals while trading. The the harsh weather made traders be prone to diseases such as flu and skin infections. The currency system came as a result of advance in technology. The currency system involves the use of man-made money to do business. Money in the currency system is made by use of metal and notes. It is known for coins to be lower in value when compared with paper money. People who do business are not supposed to carry journey from one region to another for profit gain when using the currency system.
It is very easy and convenient to use the currency system when doing business. The use of the currency system has opened financial institutions. The role of financial institutions is to aid individuals financially. Real investors for an example can get a mortgage in a given financial institution. There are known to exist both the public and private financial institutions. Public financial institutions are usually governed by the authority while private financial institutions by an individual or group of individuals. The currency system has led to production of credit cards and debit cards. Credit cards and debit cards are transaction cards made from metal and plastic material. Individuals find it easy to use and transport financial cards. Expect credit cards to be more protected as compared to debit cards. It is known for credit cards to allow users to claim for the stolen or lost items as opposed to debit card users.
The application of credit cards is largely known nowadays as compared to debit cards. There are many types of credit cards. One should try to apply for the right credit card of their choice. There are some various factors to consider when applying for a credit card. It should be your first priority to carry out a research to get the right credit card of your need. It should be your goal to first consider the amount of interest rate charged by the giver of the credit card. It should be your goal to start by having a good credit score so as to be eligible for applying credit card. You should also research on the benefits of a credit card through offers before applying it.