Credit Cards

[Jerry F]

I have always been against having credit cards and paying cash for everything we need. My wife has been wanting to get a credit card for the last few months with the thought that we can slowly pay off surprise items like car repairs and such. I think we should use what money we have saved to do things like this.

What is your stand on credit cards?

 

[pokerdad]

We are in the process of paying down our debt and getting rid of most of our cards. But, we will probably keep one or two for emergencies and for the simple fact that having some credit help keep your credit score up as long as your in good standing.

 

[William]

Pokerdad has a good point. Keeping one credit cards for emergencies is good because you never know when emergencies would arrive. Sometimes the savings is not enough to pay for the fees that will incur on emergencies so a credit card will be useful.

 

[AbsDad]

I agree with your wife actually. Credit cards shouldn't be used for every day expenses-or for frivolous uses. But they are truly a gift when you need to pay a sudden emergency repair off and spread the cost.

 

[NoEnergy]

Credit cards are a big risk. I had one almost fresh out of school and got in trouble. I had to take extra hours in my part time job (I was in college) to pay it off, but I learned my lesson. Now I don't keep a credit card.

 

[greatdad]

I listen to Dave Ramsey and have paid off and cut up all my credit cards. I'm working on my emergency fund now. I'm paying cash for what I buy and not having those bills every month is great. I totally agree with you, Jerry F.

 

[jason]

I have been for the longest time a cash person. Paid for everything in cash. Until I started with credit card rewards. It started with getting 5% back on gas, and has grown from there. It has taken a lot of work not to go crazy. But food, gas, phone are paid by credit cards, and then get paid off every month. And now I earn gift cards and cash back on my purchases. Last year I turned them all in for gift cards for Christmas presents. Cut my Christmas spending in half.