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Posted: 2/17/2002 7:00:20 AM EDT
Here's another stupid question. I see many members say they don't own credit cards. I want to know why. I worked as a Car Salesman for 3 years. So, I had to help people fill out numerous credit checks. One of the references that banks liked to see was a credit card. Granted, all they really needed for a credit check was your Social Security number, but they still liked to see how honest you were on paper. I always had a few people who would say, "We don't have any credit cards!", or "WE do not believe in credit cards!", like it was some kind of snobby badge of courage. They acted like they were proud of it? For me, this was an instant red flag. I knew even before the bank's answer came back that they had a poor credit history, and the interest rate would be stupid, or worse, they would get denied all together. Now, some times they did come back fine, but I'll bet I can count that number on one hand. Most times, they had been through the big BK, and I'm not talking about Burger King. I don't think credit cards are an evil thing, like a few people(usually those who have abused them in the past). Credit cards are a tool; very convienent for On-line purchases, hotel reservations, rental cars, ect. Actually, I'll bet it is a real pain in the a$$ to have to try to use those survices with out a credit card. My wife and I each have two, but we do not run a balance. We always pay them off each month. My rule is, if you don't have it in the bank and plan on paying it off at the end of the month, don't charge it. It's about self control. My mother-in-law and sister-in-law, each run stupid balances near 5K. That's crazy IMHO, but that's their choice. It dosn't make them bad, or worse than those who don't uuuuuse credit cards(nose in the air).
Link Posted: 2/17/2002 7:12:34 AM EDT
Link Posted: 2/17/2002 7:18:30 AM EDT
I've had a CC for about 16 years. Paid off the balance every month. Never carried a balance at all. Hopefully never will.
Link Posted: 2/17/2002 7:21:27 AM EDT
Originally Posted By The_Beer_Slayer: since th advent of the VISA/checkcard. I have dropped all the cards. I use it for online purchases and it never carries a balence or charges interest. Credit cards are for people that can't pay for what they want. They were the ONLY way to do mail order or long distance purchases years ago. But that time has passed. If you don't need to run a balance on it. why have it? The whole purpose is to use it for credit for something you don't want to fork out the cash for.
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Same here. I've got one credit card now that I keep just in case, and I've got two check/debit cards. I rarely use the credit card at all anymore.
Link Posted: 2/17/2002 8:31:49 AM EDT
[Last Edit: 2/17/2002 8:32:36 AM EDT by LARRYG]
The only bad thing about Check Cards is that if someone gets the number they can empty your checking account pretty quick and you don't have much recourse. Traveling like I do for a living, I use my Visa Gold which has excellent protection against fraud.
Link Posted: 2/17/2002 8:41:04 AM EDT
Originally Posted By LARRYG: The only bad thing about Check Cards is that if someone gets the number they can empty your checking account pretty quick and you don't have much recourse.
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How would it be any different than someone stealing a checkbook and writing a bunch of fraudulent checks before you find out? My bank does not hold me accountable for fraud, would it be different for the check cards?
Link Posted: 2/17/2002 8:53:22 AM EDT
I have gotten annoyed with my Visa Check card once or twice. The first time, I was "double" charged--a hold is put on the money in the checking account until the charge actually comes through. Just like a regular charge card. I bought an airline ticket, and wound up having 2 holds for the value of the airline ticket put on my account. If I had written any checks, the bank would have paid them BUT charged me an overdraft fee because my "available balance" didn't have enough to cover the check (my "current balance" shows all the money in the account, the "available balance" shows what is left after the holds are placed on the money). The other time, I went to rent a car while one of mine was in for repair. You know how the advertisements for the Visa Check card say "accepted anywhere you see the Visa logo"? Not at most rental car agencies!! They don't take check cards.
Link Posted: 2/17/2002 8:57:11 AM EDT
[Last Edit: 2/17/2002 8:59:29 AM EDT by Lazyshooter]
My dad rolled over our car with trailer on the the interstate near Madison WI in the very early '70s. No one would rent him a car initially because he didn't have a credit card. Can't imagine how it is now. He had to sweet talk the right person with his work ID to get a car. My problem is the card I have the longest is one that still charges an annual fee. Unfortunately, this is the only one whose number and exp. date I have memorized, so even if I don't have the card, I still can use it someplaces (catalog orders, etc.) I've got to start memorizing the other card numbers and ditch this one because paying an annual fee is stupid. If you don't have a credit history, have someone put you on their account and get a second card for you with the same number. I pay off all balances at the end of the billing cycle. If I have a large purchase that I'm in no hurry to get, I will purchase the item a couple days after the credit card company closes its billing cycle and have basically six weeks or so until I have to get the check in the mail to pay off the balance. Not that you can get any interest on your money anyway now, but better in my pocket for a while than in theirs. Oh, and BTW, don't carry more than one or two with you at one time in case you lose your wallet.
Link Posted: 2/17/2002 9:02:37 AM EDT
[Last Edit: 2/17/2002 9:22:12 AM EDT by Waldo]
Link Posted: 2/17/2002 12:25:43 PM EDT
Originally Posted By guns762: ... I always had a few people who would say, "We don't have any credit cards!", or "WE do not believe in credit cards!", like it was some kind of snobby badge of courage. They acted like they were proud of it? For me, this was an instant red flag. I knew even before the bank's answer came back that they had a poor credit history, and the interest rate would be stupid, or worse, they would get denied all together. Now, some times they did come back fine, but I'll bet I can count that number on one hand. Most times, they had been through the big BK, and I'm not talking about Burger King.
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I don't get it. I presume if they are going through a credit check then they are financing the vehicle. So why is credit card debt bad but car loan debt is not? IMO you only need one credit card account and should never carry a balance. This is simplest to do if you have a savings account and card from the same bank/credit union and have the card set up to auto-deduct charges from the savings account.
Link Posted: 2/17/2002 12:50:41 PM EDT
I used to have a MC but payed it off finally! I would charge it up and then get a consolidation loan, and then charge it up again. Now I have a check card. I am now debt free, with the exception of my house payment, and it feels great! But, I'm about to buy a new motorcycle.
Link Posted: 2/17/2002 1:01:11 PM EDT
Wife and I learned the lesson the hard way, did what most do - charge, consolidate and then charge them up again. DOH! Now, we've cut'em all up, consolidated them all and the only thing we have now is the debit card and a couple small store cards. Figure it'll take another 4 years to pay off the consolidation completely then aside from the house and one final year of a car payment we're in the clear. So yeah, I'm eating mac and cheese, buying far fewer gun items than I'd like too and melting snow for drinking water [;)]. But hell, I suppose I gotta grow up and start being responsible, might as well be now.
Link Posted: 2/17/2002 1:26:08 PM EDT
Credit cards helped pay my way through college, because I did not qualify for financial aid. It took me a couple years after graduating to get them paid off. I got rid of most of them, and now only use them when I have too, and pay them off within a few months.
Link Posted: 2/17/2002 1:44:57 PM EDT
I don't usually keep a balance on mine, but being an unemployed bum for, uh, ten months now has meant running up about $5000 at this point. I pay off a chunk every month, but if I paid off the whole amount I wouldn't be able to pay my mortgage or property taxes. Two fair possibilities for jobs coming up. Here's hoping.
Link Posted: 2/17/2002 1:46:51 PM EDT
I think you'd be crazy to go without a credit card. It's the cheapest protection you can get for purchases or rentals, etc. Like someone above mentioned, the bank is much more interested in fixing any problems with charges when it's [b]their[/b] money and not yours (via check card, etc.). If someone steals your card number (like from a restaurant dumpster, or gas station, or a dishonest clerk) you'll have so many fewer problems than if it came out of your checking account (in which case you'll be seriously effed for several weeks trying to sort things out). Ditto for if the company goes bankrupt before delivering your order, or just decides to rip you off, whatever. If you really want to stick it to the cc companies, get their card and pay it off during the grace period. They absolutely [b]hate[/b] that. lol.
Link Posted: 2/17/2002 1:55:40 PM EDT
he who dies with the most debt wins! hee,hee,hee....
Link Posted: 2/17/2002 2:28:21 PM EDT
None of the above. Need'em, got'em, use'm, pay the main one off every month, run a balance on a couple.
Link Posted: 2/17/2002 2:36:42 PM EDT
Originally Posted By The_Beer_Slayer: since th advent of the VISA/checkcard. I have dropped all the cards. I use it for online purchases and it never carries a balence or charges interest.
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Same here
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