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).