What credit cards do you use?

[Macman45]

Yeah. Using a debit card as a credit card to get the rewards is smart. I was more taking a principled stand against people with principled stands against credit cards

Since I've had the BOACC, I have redeemed £150+ in points, it stacks up when you use it. They will also give you single points wherever you shop.

Apple had a deal going last year with AMEX whereby you got a discount on AC (this has now finished) but used sensibly the rewards are well worth having.

Of course it's idiotic to spend money you don't have, but if paid in full you get better purchase protection, and the added bonuses and deals. Credit card companies hate people who pay in full each month too...They don't make any money out of us! Their trick then is to keep upping the credit limit..They won't get me that way either. If I was planning on doing a disappearing act, I could put my hands on an awful lot of money instantly..

 

[alexlovesmacs]

I recently applied for two college credit cards since I am starting college next month so I can purchase my books with either of the credit cards then pay back in full with my financial aid.

So I applied for the Discover Student More Card and the Wells Fargo Cash Back College Visa Card. I am currently awaiting a decision to see if I get approved or not.

 

[AhmedFaisal]

Corporate Mastercard and a joint Credit Union Credit Card with my wife. We closed our commercial bank Bank accounts a year ago and never looked back.

 

[Queso]

Ummm, yes the vouchers are free. I'm not paying any extra for them.

The vouchers are paid for out of the charges the card company makes from the retailers. The retailers have to raise their prices slightly to cover this cost, meaning you actually pay slightly more for every item in every shop whether you use your card or not.

Still think they're free?

 

[Ifti]

The vouchers are paid for out of the charges the card company makes from the retailers. The retailers have to raise their prices slightly to cover this cost, meaning you actually pay slightly more for every item in every shop whether you use your card or not.

Still think they're free?

Yes, they are still free.
The credit card company does charge the retailer a fee, and yes the retailer may well increase the price of the item slightly to account for this.
However, retailers do not increase their prices just for those paying by card. It is increased regardless. Even if you pay by cash, you pay the same prices, whether it's inflated or not.
I do not go into a store and have to pay more then someone else if I am paying by credit card, I pay the same price.

For example, you go into a store and purchase a MacBook for 999 with cash.
I go to the same store, buy the same item, and pay the exact same price.
I do not pay any extra because I am using the credit card.

Therefore we both pay the exact same price at the end of the day. However, I accumulate points as well, which lead to vouchers, which for me are free since I have paid no extra for the product then someone paying cash.

 

[Queso]

Therefore we both pay the exact same price at the end of the day. However, I accumulate points as well, which lead to vouchers, which for me are free since I have paid no extra for the product then someone paying cash.

Without the voucher programs paid for by excessive card charges the retailers could lower their prices for everyone. Over the course of your life you will most likely pay at least the amount of the vouchers you receive in increased prices, because unless you are using your credit cards for every single purchase from every single retailer you aren't accumulating points quickly enough to offset the additional costs being added to goods.

Whilst the vouchers in your hand seem to be free (which goes back to Mord's comment about marketing), they are really just a rebate on some of the extra money you've had to pay out.

 

[Ifti]

Without the voucher programs paid for by excessive card charges the retailers could lower their prices for everyone. Over the course of your life you will most likely pay at least the amount of the vouchers you receive in increased prices, because unless you are using your credit cards for every single purchase from every single retailer you aren't accumulating points quickly enough to offset the additional costs being added to goods.

Whilst the vouchers in your hand seem to be free (which goes back to Mord's comment about marketing), they are really just a rebate on some of the extra money you've had to pay out.

Yes but the point is that by me not using a credit card it is not going to reduce prices. I will still pay the same if I pay with cash. Hence this makes the vouchers free for me, as I am paying the same price as any other person not using a credit card.
Even if it is a rebate, I am still getting something back for the money I spend. Better then not getting anything back at all.

As for not getting enough points back, over the past 3 years I have had the following from vouchers accumulated from only my credit card:
Bought and sold 3 PS3 consoles.
Bought and sold 2 360 consoles.
Bought a wireless multifunctional printer.
Several external HDDs.
Lots ofs DVDs and BluRays.
And a whole lot more!

On another note, it does help when a lot of work purchases are put through on my card, some of them quite large!

Although many choose not to use a credit card for their own reasons, the extra few pennies charged on top of products is not going to suddenly stop. It'll always be there regardless. You simply have to accept that. At least this way I get something back for doing nothing more then my usual purchasing.

 

[Roller]

I can see that using a credit card requires some discipline - it's easier to spend beyond your means than with cash or a debit card. But, as others have pointed out, if you pay your account in full each month, you can gain a lot by using a credit card. I've saved thousands of dollars this way. It's also worth noting that having a credit card that you manage responsibly is a good way to establish credit for other things like home or car purchases, unless you can afford to pay cash for them, too. My current main card is a Delta Amex, with a MasterCard for businesses that don't accept Amex.

 

[wvuwhat]

I use an Amex Blue Cash.

Also have a Discover Card that I use when the 5% promotions are on something I buy a lot of (read: Gas and Grocery's)

Keep a Chase Sapphire Visa in my wallet as well, but only for emergencies, in case some place doesn't accept Amex or Discover. I've only run into this problem about 5 times in the past 7-10 years.

 

[RainCityMacFan]

I can see that using a credit card requires some discipline - it's easier to spend beyond your means than with cash or a debit card. But, as others have pointed out, if you pay your account in full each month, you can gain a lot by using a credit card. I've saved thousands of dollars this way. It's also worth noting that having a credit card that you manage responsibly is a good way to establish credit for other things like home or car purchases, unless you can afford to pay cash for them, too. My current main card is a Delta Amex, with a MasterCard for businesses that don't accept Amex.

This.

Those who carry a regular balance on their cards need to learn how to manage credit. Seriously. If you pay your balance in full every statement then like the poster said, a CC is a very useful tool. It builds credit so you can get better interest for future loans, saves money, and gives decent benefits. Face it, people aren't going to stop using credit cards in a long time, so you might as well jump on the bandwagon, unless merchants give discounts for using cash (which most dont).

Unless someones gone through some serious medical problems, bought a car, or took out a student loan or mortgage they should not be carrying balance with an interest.

 

[Mord]

Ummm, yes the vouchers are free. I'm not paying any extra for them. I use the card for my normal weekly shop and normal purchases that I would have made anyway. I then pay off the card in full at the end of the month.
It hasn't cost me any extra whatsoever, and I have had no desire to spend any more then I normally would.
The added benefit is that the points accumulate and are transferred into vouchers that are automatically emailed to me.
Hence they are free. Nothing is being influenced by the card. My purchasing decisions are completely the same as if I would have paid cash.

I didn't mean in terms of direct monetary cost, as Queso outlined, there are many ways I could make/save money on the side but for the most part they're not worth the hassle for me personally. I value my personal time and peace of mind too highly to be buying and selling PS3s with vouchers.

I guess it depends on your own circumstances. Cards aren't for everyone. I, on the other hand, know exactly when I can play the banks at their own game. I'm lucky enough to be living comfortably and have everything I need and want, but if I ever need a loan I would never pay interest on it, I'd use 0% cards instead - they are a form of interest free loan!

Without going into my life story, I am 32 years of age with a 3 bedroom semi detached house with garage in a well-off area. At 32 years old I have almost completely paid off my mortgage. I have done this by using credit cards! Every time my mortgage offer comes up for renewal, so every 2-3 years, I open a few new credit cards that are all 0% interest for at least 14-16 months and put the maximum amount possible into my mortgage. I then pay off the cards before the 0% offer ends.
By doing this I am not paying the extortionate interest on my mortgage, and am using 'interest free' methods to pay off my mortgage.

If you are good with cards and can keep up with the offers etc, knowing when to pay off cards and close them, when the monthly minimum balances need to be paid, and so on, you really can benefit from them. You need to be well organised, and it can pay off ten fold. I've certainly saved huge sums of money from the interest of my mortgage, and live a comfortable lifestyle completely debt free (besides the small amount of my mortgage remaining). I will be mortgage free by the time I turn 35 if I carry on as I am. Although by then I also plan to move to a larger house and leave this one to rent out to tennents.

Credit cards can really pay off if you use them wisely and play the banks at their own game.

Funny, our situations are kinda similar in a way, I'm 23, own a 3 bed semi with garage in a well to do area and I should be able to pay it off within the first half of my 30s.

While that strategy may have some merit to it it's still a bet in a sense as the cost to not being able to pay off that card is greater than missing a payment or two of the mortgage. If interest rates shoot up then it may well be worthwhile for me but for now I think I'll just stick with paying off as much as I can extra as I can. Looking into it most lenders do not accept credit card payments anyway, so by doing this one would constrain one's choice in lender.

It reminds me of the interest free overdrafts you get with student accounts, while they may be attractive and appear to have no flaws they just lure you into considering your limit the new zero. I paid mine off while still at 0% just for the peace of mind. I prefer keeping the option of borrowing open for true fiscal emergencies rather than juggling funds to save the odd quid here and there.

 

[Ifti]

I didn't mean in terms of direct monetary cost, as Queso outlined, there are many ways I could make/save money on the side but for the most part they're not worth the hassle for me personally. I value my personal time and peace of mind too highly to be buying and selling PS3s with vouchers.

Personal time and space have nothing to do with it. Im spending normally - I have to shop for the family anyway. Using a credit card is taking no more personal time then normal. lol
When it comes to selling - again, takes very little effort. Im an established seller on several sites so find it very easy to sell, with the buyer coming to collect at a time thats convenient for me.
Ive literally made hundreds, maybe into the thousands, doing this!

Funny, our situations are kinda similar in a way, I'm 23, own a 3 bed semi with garage in a well to do area and I should be able to pay it off within the first half of my 30s.

While that strategy may have some merit to it it's still a bet in a sense as the cost to not being able to pay off that card is greater than missing a payment or two of the mortgage. If interest rates shoot up then it may well be worthwhile for me but for now I think I'll just stick with paying off as much as I can extra as I can. Looking into it most lenders do not accept credit card payments anyway, so by doing this one would constrain one's choice in lender.

Thats very true. You need to know that you will be able to pay off the card, otherwise there is little benefit. Although if you reach the end of the 0% offer you simply transfer the balance across to a 0% on balance transfers card and continue. Although this incurs a small fee, its still a hell of a lot cheaper then interest on mortgage rates.

It reminds me of the interest free overdrafts you get with student accounts, while they may be attractive and appear to have no flaws they just lure you into considering your limit the new zero. I paid mine off while still at 0% just for the peace of mind. I prefer keeping the option of borrowing open for true fiscal emergencies rather than juggling funds to save the odd quid here and there.

Save the odd quid here and there?
By using the cards to pay into my mortgage Ive saved thousands in interest. Literally thousands!


At the end of the day it all boils down to how well you manage the cards, and how good you are with finances and paying them off. They arent for evereyone and each person has their own view on them. I've been able to use them successfully so far, save thousands, make extra cash for myself, and [touch wood] been able to pay them off wthout incurring a single penny in interest on them.
Guess its all personal preference.

Seem to have strayed off topic from the main thread!

 

[0098386]

The extended warranty protection on my AmEx got me a new iPad when my old one broke outside of Apple's one year warranty. Rewards have gotten me hundreds of dollars in cash-back over the years.

Still no reason to have a credit card?

Also works the other way. Two of my university buddies used to put everything on credit cards, they had jobs and (at different times) lost their jobs out of the blue. I (and some others) put some money together to pay off their rent one month.

 

[miles01110]

Also works the other way. Two of my university buddies used to put everything on credit cards, they had jobs and (at different times) lost their jobs out of the blue. I (and some others) put some money together to pay off their rent one month.

What does this have to do with having a credit card, aside from using it irresponsibly? It's obvious that irresponsible use of a credit card is a bad idea.

 

[0098386]

What does this have to do with having a credit card, aside from using it irresponsibly? It's obvious that irresponsible use of a credit card is a bad idea.

Well yes, but students do have jobs to bulk out their loan. If you throw relying on credit cards into that (which I imagine quite a few do) and cut off that job you're going to get into trouble. A very simple situation really.

This isn't somebody who recklessly threw money around.

 

[mmccaskill]

I'm thinking of getting a Chase Sapphire Preferred. I've read that it has an extended warranty benefit. So if I buy a MacBook Pro with it I should get an additional year of warranty. If this is true, why buy AppleCare?

 

[Major.Robto]

I got a bmo master card, I like it,

I get 12% intrest (one of the lowsest in canda)

I have yet to use it though, I just dont see a need.

 

[Mr. McMac]

Costco AMEX and my Fidelity MasterCard. I have a Chase debit card I use only to withdraw cash directly from Chase. I don't trust debit cards for purchases

 

[Starfighter]

VISA. I have no idea why or what's out there, it was just the cheapest one that allowed it's users to be as poor as me.

 

[turtle777]

Amex Blue Cash (for extended warranty, return protection, general good customer service)
Discover and Chase Freedom (for 5% promotions)

My Amex Blue Cash still carries the original rebates:

5% on gas, groceries, drugstore
1.5% on everything
(both above $6,500 spending per year)

This is pretty much the best around.

-t

 

[ace198]

If you use a CC right, you could benefit a whole lot. Like what if you only get paid once a month. With a CC you might not have to pay for a purchase for up to two months.

 

[OneMike]

For me, I don't believe in credit cards. Debit only.

 

[turtle777]

For me, I don't believe in credit cards. Debit only.

CC have countless advantages over debit: cash flow, better fraud protection and detection, added warranty and insurance benefits, cash back etc.

It's a great tool for those who know what they are doing.

Of cource, every tool can be dangerous if you are negligible or stupid.

-t

 

[Crazy Badger]

In the UK and have 3 (only use 2):

- Barclaycard World Mastercard (was Egg Money) with 1% cash back to max. £200
- Capital One Mastercard with 1-1.5% cash back uncapped
- First Direct Visa which I don't use as no cash back, but bank with First Direct so they gave me a card

Always paid in full at the end of each month so 40-50 days interest free credit, cash back worth about £500-600 a year and the added protection benefits of using a credit card for most purchases.

Brilliant when used well, very dangerous when not!

 

[Surely]

I use one primarily- a Citibank thankyou Preferred Rewards MasterCard. I have around 125,000 points that I've racked up over the past 4 years sitting there waiting for me to redeem. We'll probably use them on a nice trip somewhere....

I also have another Citibank thankyou Rewards MC as a backup, just in case I need it.

And just FTR, we don't buy anything that we can't afford, and we especially don't buy anything that we can't afford to pay off IN FULL when the bill is due each month.

I've had a credit card since I was 18, and in all these years, I've never allowed a balance to carry forward after it was due. My credit scores have always been top notch because of this.

Yes, I am that weirdo who spends responsibly.