Credit cards 'birthright for young people'

Young Aussies have become extremely comfortable with the prospect of using credit cards.

Writing in the Australian, Matthew Clayfield points out that young people are "accustomed to instant gratification" and are used to being able to use credit cards in order to fund their lifestyle.

And although he points out that such consumers theoretically know the difference between debit and credit cards, in actual practice this is "another story".

However, as the financial crisis rumbles on he suggests young Aussies may find that keeping on top of their credit cards becomes a more difficult task, adding that settling for gainful employment ahead of immediate job satisfaction in order to ensure they have a steady income may become necessary as credit card use is curtailed.

"Credit debt is our birthright. And we are likely to find, the generational experts claim, that none of this will hold water in the new economic reality," Mr Clayfield claims.

Those looking for help managing their cards during the financial downturn may also want to opt for a zero per cent balance transfer credit card deal.

Signs that Aussie credit card holders are looking to curtail their spending were recently shown in figures from the Reserve Bank of Australia, as cash advances fell ten per cent over the course of January from December to stand at $981 million.