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Using credit can lead to significant financial risks, such as accruing high-interest debt if balances are not paid in full. It can also encourage overspending, as easy access to credit might tempt individuals to purchase beyond their means. Additionally, mismanaging credit can negatively impact credit scores, making it harder to secure loans or favorable interest rates in the future. Finally, accumulating debt can lead to stress and financial instability, affecting overall well-being.

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