IELTS Writing Task 2/ Essay Topics with sample answer.
IELTS Essay # 1310 - Many people are in financial hardship due to irresponsible use of credit cards
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IELTS Writing Task 2/ IELTS Essay:
You should spend about 40 minutes on this task.
Write about the following topic:
Many people are in financial hardship due to their irresponsible use of credit cards. Therefore, banks and other financial institutes should not issue credit cards unless they are completely sure of an individual’s ability to pay back their debts.
To what extent do you agree or disagree?
Give reasons for your answer and include any relevant examples from your own knowledge or experience.
Write at least 250 words.
Model Answer:
In recent years, the careless use of credit cards has contributed to widespread financial hardship among individuals. This has led to a debate about whether banks and other financial institutions should issue credit cards only after thoroughly assessing an individual's ability to repay debts. I agree with the proposition that credit cards should only be issued to individuals who demonstrate a complete ability to repay their debts.
Requiring banks and financial institutes to assess an individual's ability to pay back debts before issuing credit cards promotes responsible lending practices. It ensures that individuals are provided with credit facilities that align with their financial capabilities and prevent them from accumulating debt beyond their means. This not only protects individuals from falling into financial distress but also safeguards the stability of the financial system. For instance, the subprime mortgage crisis of 2008, primarily caused by reckless lending practices, demonstrated the severe consequences of issuing credit to individuals without considering their repayment capacity.
Moreover, requiring thorough assessments of an individual's ability to repay debts encourages financial literacy and responsible financial behaviour. When individuals are made aware of the evaluation process and the importance of demonstrating financial responsibility, they are more likely to make informed decisions regarding their spending and credit usage. Financial institutions can play a proactive role by providing educational resources and guidance on budgeting, managing debts, and understanding the implications of credit card usage. This, for example, empowers individuals to make responsible financial choices and develop sound financial habits.
In conclusion, I agree that banks and other financial institutes should thoroughly assess an individual's ability to repay debts before issuing credit cards. This approach not only helps prevent financial hardship caused by irresponsible credit card usage but also promotes responsible lending practices and enhances financial literacy.
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