Credit cards serve a useful purpose, but they can also lead to debt if you don’t manage them responsibly — which is why Cuban gave this advice to consumers. He doesn’t discourage using a credit card, but he does encourage paying off balances in full every month to avoid wasting money on interest.
“Using a credit card is okay if you pay it off at the end of the month,” said Cuban. “Just recognize that the 18 percent or 20 percent or 30 percent you’re paying in credit card debt is going to cost you a lot more than you ever could earn anywhere else.”
For advice on money and investing, seek out those with a successful track record. Your chances of a one-on-one session with Mark Cuban are probably slim to none — but this doesn’t mean you can’t benefit from his wisdom. Between his blogs, interviews and Q&A sessions, he’s proven that he’s more than willing to share what he knows with others.