Comments on: Credit Cards Don’t Have To Be The Enemy http://www.choosingvoluntarysimplicity.com/credit-cards-dont-have-to-be-the-enemy/ About finding balance in your life, connecting with who you are, and creating a lifestyle where you wake up each morning eagerly anticipating the day ahead. Tue, 07 Feb 2012 15:29:49 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: Sarah http://www.choosingvoluntarysimplicity.com/credit-cards-dont-have-to-be-the-enemy/#comment-36488 Sarah http://www.choosingvoluntarysimplicity.com/credit-cards-dont-have-to-be-the-enemy/#comment-36488 Thank you, thank you, thank you! Someone else who lives simply, but uses a credit card! There are so few people of my acquaintance now that do so, and it's frustrating. I use mostly cash (which I rarely carry on me, except my gas money which stays in a hidden spot in my car) because I know myself well enough to know that if I keep any type of money on me (I don't routinely carry my checkbook, credit cards, or debit card anywhere), I will spend it and I refuse to get into more debt than I can handle (currently, I'm simply stuck with my school loans...). I do use my credit card for purchases that I have money set aside already for those things (car maintenance, etc.) and it redeems money for my favorite vacation destination (I have the Disney Reward Card...). I am currently saving my rewards for my next trip with some of my friends. I have one other card that I very rarely use. I keep it only because the account has been open for a long time and that is good on my credit rating. Every once in a while, I utilize it to purchase something small, just to keep the account active, but never without the money set aside. This is all probably more than you wanted to know, especially since I am writing simply because I am happy to find others who utilize a similar system to me. Thank you, thank you, thank you! Someone else who lives simply, but uses a credit card! There are so few people of my acquaintance now that do so, and it’s frustrating. I use mostly cash (which I rarely carry on me, except my gas money which stays in a hidden spot in my car) because I know myself well enough to know that if I keep any type of money on me (I don’t routinely carry my checkbook, credit cards, or debit card anywhere), I will spend it and I refuse to get into more debt than I can handle (currently, I’m simply stuck with my school loans…). I do use my credit card for purchases that I have money set aside already for those things (car maintenance, etc.) and it redeems money for my favorite vacation destination (I have the Disney Reward Card…). I am currently saving my rewards for my next trip with some of my friends. I have one other card that I very rarely use. I keep it only because the account has been open for a long time and that is good on my credit rating. Every once in a while, I utilize it to purchase something small, just to keep the account active, but never without the money set aside. This is all probably more than you wanted to know, especially since I am writing simply because I am happy to find others who utilize a similar system to me.

]]> By: Kevin http://www.choosingvoluntarysimplicity.com/credit-cards-dont-have-to-be-the-enemy/#comment-33223 Kevin http://www.choosingvoluntarysimplicity.com/credit-cards-dont-have-to-be-the-enemy/#comment-33223 All of my credit cards offer at least one percent back, and my Shell card gives back five percent on gas purchases. All of the cards are paid in full each month. When you consider that many bank savings rates are currently less than one percent (I have one small account at a local bank that currently pays .01 percent, but I keep it open for check cashing and the free ATM), I make a better return by spending my money than saving it! Not really, of course, but it is something to think about. All of my credit cards offer at least one percent back, and my Shell card gives back five percent on gas purchases. All of the cards are paid in full each month. When you consider that many bank savings rates are currently less than one percent (I have one small account at a local bank that currently pays .01 percent, but I keep it open for check cashing and the free ATM), I make a better return by spending my money than saving it! Not really, of course, but it is something to think about.

]]> By: Diana in BGKY http://www.choosingvoluntarysimplicity.com/credit-cards-dont-have-to-be-the-enemy/#comment-28386 Diana in BGKY http://www.choosingvoluntarysimplicity.com/credit-cards-dont-have-to-be-the-enemy/#comment-28386 I paid off my last credit card balance in 1999 and have kept the card paid off monthly since then though I use it for most of my purchases. This keeps my checkbook simple to balance. I pay only bills I need a receipt for or have to pay through the mail. And I pay the credit card balance, again, in full online each month. I've worried that I might spend more money than I would have with cash, though probably not with a check...but I've found the convenience enough to continue. Recently I paid my tuition with my credit card. Paying the balance in full this month has made things tight until payday, but I had hoped to not pay interest and I didn't have to. My other options were to take out a student loan, but I didn't want a long-term loan hanging over me, or to borrow from my 401K but that was more trouble and expense (an up-front $75 fee) than it was worth. Both of those options would have required interest. So, I put the tuition on my card, thinking I might have to leave a few hundred dollars there until next month. My interest rate is pretty decent for a no-fee, point-earning credit card (I did not earn points for the tuition, btw). Credit cards were my downfall during most of the 1990s. But they weren't fully the enemy; I put myself in a bad place and they helped me to get there and stay there. One more thing, as soon as I'm paid at the end of the month, I'm starting to save for the next tuition payment. I plan to be more prepared for it next time and to not have to sweat it. I paid off my last credit card balance in 1999 and have kept the card paid off monthly since then though I use it for most of my purchases. This keeps my checkbook simple to balance. I pay only bills I need a receipt for or have to pay through the mail. And I pay the credit card balance, again, in full online each month. I’ve worried that I might spend more money than I would have with cash, though probably not with a check…but I’ve found the convenience enough to continue. Recently I paid my tuition with my credit card. Paying the balance in full this month has made things tight until payday, but I had hoped to not pay interest and I didn’t have to. My other options were to take out a student loan, but I didn’t want a long-term loan hanging over me, or to borrow from my 401K but that was more trouble and expense (an up-front $75 fee) than it was worth. Both of those options would have required interest. So, I put the tuition on my card, thinking I might have to leave a few hundred dollars there until next month. My interest rate is pretty decent for a no-fee, point-earning credit card (I did not earn points for the tuition, btw). Credit cards were my downfall during most of the 1990s. But they weren’t fully the enemy; I put myself in a bad place and they helped me to get there and stay there. One more thing, as soon as I’m paid at the end of the month, I’m starting to save for the next tuition payment. I plan to be more prepared for it next time and to not have to sweat it.

]]> By: Alexandra http://www.choosingvoluntarysimplicity.com/credit-cards-dont-have-to-be-the-enemy/#comment-4069 Alexandra http://www.choosingvoluntarysimplicity.com/credit-cards-dont-have-to-be-the-enemy/#comment-4069 Super post! We do the same. We benefit quite a bit from using credit cards. We pay off the balance every month and use the cash back bonus for gift cards to our grocery and hardware store. We never pay finance fees this way; payments are automatic so that we never forget. There are months where the cash back bonus is 5%. The free money is great if you can discipline yourself to treat the card like a checking account. You are so right; it's just a tool, and a very handy one at that. Super post! We do the same. We benefit quite a bit from using credit cards. We pay off the balance every month and use the cash back bonus for gift cards to our grocery and hardware store. We never pay finance fees this way; payments are automatic so that we never forget. There are months where the cash back bonus is 5%. The free money is great if you can discipline yourself to treat the card like a checking account. You are so right; it’s just a tool, and a very handy one at that.

]]> By: Shirley http://www.choosingvoluntarysimplicity.com/credit-cards-dont-have-to-be-the-enemy/#comment-1145 Shirley http://www.choosingvoluntarysimplicity.com/credit-cards-dont-have-to-be-the-enemy/#comment-1145 Not crazy at all... I think you are very sensible to show your daughter by example and by letting her experience how to be financially responsible. I wish more people did this type of thing with their kids. Not crazy at all… I think you are very sensible to show your daughter by example and by letting her experience how to be financially responsible. I wish more people did this type of thing with their kids.

]]> By: Science For Kids http://www.choosingvoluntarysimplicity.com/credit-cards-dont-have-to-be-the-enemy/#comment-1137 Science For Kids http://www.choosingvoluntarysimplicity.com/credit-cards-dont-have-to-be-the-enemy/#comment-1137 Call me crazy but I actually put my teen on my credit card account. She does not carry it daily, but she is allowed to use it for authorized trips/purchases. Then we sit down together and pay the bill. I am hoping she gets the idea of responsible credit usage. Not just spending because you haven't hit your limit yet. Call me crazy but I actually put my teen on my credit card account. She does not carry it daily, but she is allowed to use it for authorized trips/purchases. Then we sit down together and pay the bill. I am hoping she gets the idea of responsible credit usage. Not just spending because you haven’t hit your limit yet.

]]> By: Bryan http://www.choosingvoluntarysimplicity.com/credit-cards-dont-have-to-be-the-enemy/#comment-991 Bryan http://www.choosingvoluntarysimplicity.com/credit-cards-dont-have-to-be-the-enemy/#comment-991 Finally, some common sense advice about using credit cards! I am sick of people blaming their credit cards for their own lack of money sense. Like you I pay all my expenses with a credit card and those cash bonus points are a Godsend. I wish people would learn to use their credit cards sensibly and buy only what they can afford. Thanks for the super article. Finally, some common sense advice about using credit cards! I am sick of people blaming their credit cards for their own lack of money sense. Like you I pay all my expenses with a credit card and those cash bonus points are a Godsend. I wish people would learn to use their credit cards sensibly and buy only what they can afford. Thanks for the super article.

]]> By: Bruce http://www.choosingvoluntarysimplicity.com/credit-cards-dont-have-to-be-the-enemy/#comment-994 Bruce http://www.choosingvoluntarysimplicity.com/credit-cards-dont-have-to-be-the-enemy/#comment-994 I used to do the same thing. Getting money back was a great thing. We never carried a balance and loved getting the "free" money. Now I am not so sure it really worked. We were disciplined for the most part, but when I really analyzed what was going on, I came to see we really were spending more than we would have due to the convenience of the card. I doubt we really got ahead. So we fine tuned it a bit. Now we use the credit card for monthly bills, scheduled giving and very large purchases (that we have already saved cash for) only. So we still get "free" money from time to time. But for daily, consumer type spending sticking with the old fashioned cash has really worked out well. I used to do the same thing. Getting money back was a great thing. We never carried a balance and loved getting the “free” money. Now I am not so sure it really worked. We were disciplined for the most part, but when I really analyzed what was going on, I came to see we really were spending more than we would have due to the convenience of the card. I doubt we really got ahead. So we fine tuned it a bit. Now we use the credit card for monthly bills, scheduled giving and very large purchases (that we have already saved cash for) only. So we still get “free” money from time to time. But for daily, consumer type spending sticking with the old fashioned cash has really worked out well.

]]> By: MaryEllen http://www.choosingvoluntarysimplicity.com/credit-cards-dont-have-to-be-the-enemy/#comment-982 MaryEllen http://www.choosingvoluntarysimplicity.com/credit-cards-dont-have-to-be-the-enemy/#comment-982 This is exactly what we do! We buy everything with a credit card just so we can rack up points. We never buy anything we wouldn't normally have bought and always pay it off at the end of the month. I guess we think of it kind of like a debit card -if the money is not in the bank, we don't put it on the card. This is exactly what we do! We buy everything with a credit card just so we can rack up points. We never buy anything we wouldn’t normally have bought and always pay it off at the end of the month. I guess we think of it kind of like a debit card -if the money is not in the bank, we don’t put it on the card.

]]> By: Aaron Wakling http://www.choosingvoluntarysimplicity.com/credit-cards-dont-have-to-be-the-enemy/#comment-955 Aaron Wakling http://www.choosingvoluntarysimplicity.com/credit-cards-dont-have-to-be-the-enemy/#comment-955 Good Blog. I will continue reading it in the future. Nice layout too. Aaron Wakling Good Blog. I will continue reading it in the future. Nice layout too.

Aaron Wakling

]]>