Credit cards

[martha1014]

Who uses credit cards and who don't. When I was young I used credit cards all the time. I would get the bill in and realized I had spent too much. I could not pay the entire balance off and would pay the minimun amount. Then I would have to pay high interest charges. They would become overwhelming and I would turn them all over to my husband and he would pay them all off.

Now that I am older I never use a credit card. I only use my debit card. If I can't afford something I just don't get it. Credit cards only get you in a bind. It seems the whole country revolves on credit cards.

 

[M & M]

I'm with you. I haven't had one for ages.
I like keeping my money.
Of course, if you travel by personal vehicle a lot, which I don't, it's probably smart to have one for emergencies.

 

[olderthandirt]

I use my credit card instead of checks or a debit card whenever possible.

Why?

I only charge what I have cash in the bank to cover. I don't use the CC for "loans".
End of the day I enter CC charges into a cash spreadsheet I use. Move the charge amount from the available cash column to the CC charge column.

Available cash column gets anywhere near $0.00 and NO MORE CC use.

I get cash back from the CC, pay the statement balance in full each month so I never pay interest.

 

[Rhetoric Camel]

I have never owned a credit card. I've thought about getting one to get myself a computer, and to use when I take my dog to the vet since I never really have enough cash on me to pay for any of these things up front. But I get scared to get them everytime I read a news article about new credit card rules and people getting ....ed over by credit card companies. I don't know if I can bring myself to do it.

I don't know much about credit cards but is it possible to have a credit card for a year or so and then cancel it and just be done with it, or are you bound by some contract that forces you to keep them for a certain about of time?

 

[HzG8rGrl]

You only 'get screwed' if you don't pay your balance at the end of the month. You also agree to the 'getting screwed' by contracting with them. All the disclosures are there for the reading. in essence-you are doing the 'getting screwed' to yourself!
I also keep a spread sheet and watch my card online. Catch any funny business immediately. Never have paid any fees or int. by always paying in full before due.

 

[Dkrom68]

I use all the time but only use it and pay right off I like the prtection I get with it and if I cant pay it off Ive had is so long and my interest rates are great

 

[olderthandirt]

...
I also keep a spread sheet and watch my card online. Catch any funny business immediately. Never have paid any fees or int. by always paying in full before due.

Not very involved to do either, is it?

And don't forget the cash back!
Using a CC w/ cashback awards is too incredible. I get interest from the bank on the money up until I pay the statement and the CC company pays me to use the card.

For that matter, the monthly cashback is more than the bank interest!

 

[martha1014]

Other than the little cashback what other benefit do a credit card have except to spend money you don't have. A debit card from you bank acts just like a credit card except you are spending your own money. You receive some of the same benfits you do with a credit card and you never have to worry about having the money to pay the entire balance at the end of the month.

The purpose of a credit card is to use their money and hopefully you will spend to much knowing its not coming out of your bank account. Then they will be allowed to charge you high interest rate and that is how they make their money. And lets face it most of the country lives off of credit cards.

 

[olderthandirt]

Other than the little cashback what other benefit do a credit card have except to spend money you don't have. A debit card from you bank acts just like a credit card except you are spending your own money.

The point I hoped to make was with responsible use of the CC I am paid to spend. A debit card does not accomplish that

You receive some of the same benfits you do with a credit card and you never have to worry about having the money to pay the entire balance at the end of the month.

Again, responsible use removes the worry of paying the balance in full

The purpose of a credit card is to use their money and hopefully you will spend to much knowing its not coming out of your bank account. Then they will be allowed to charge you high interest rate and that is how they make their money. And lets face it most of the country lives off of credit cards.

And finally, with responsible use, you needn't pay interest.

HTH

 

[olderthandirt]

And then there is the added benefit of purchase protection when responsibly using the CC. While there may be some banks who offer this with their debit cards, neither of mine do.

 

[martha1014]

I just had my debit card numbers stolen over the internet. I have protection from fradulent charges. All my charges were reimbursed.

I know some of you use good judgement in using credit cards and there is definitely benefits. But what I am saying that most of the country does not do this. They use credit cards when they don't have the cash to back it up and end up just paying the minimal amount or not paying at all. The number of unpaid credit card is really high and this causes everybody to have to pay more.

Credit card usages have caused a lot of people to ruin their credit or to file bankrupty.

 

[HzG8rGrl]

People ruining their credit is not due to the credit card. It is due to those people and their inability to spend only what they can repay. Some people also bounce checks, it is not the banks fault. Some also have lost their homes, still this is not the fault of the mortgage company.
You are correct that a good bit of the country wants to have more and more and will overspend and borrow their way into a downward spiral. And wonder what happened.
Money and things do not make one happy. Happiness comes from the inside. Contentment also comes from within.
Dave Ramsey is a good start to ggetting your finances in order. He has alot of great points.
Spending other peoples money has gotten out of control. Only spend the money you have earned and you will find yourself back on track. Besides, watching the government spend our children into the poorhouse is enough to make one puke. Why should we continue to follow that same path?