Should people use their credit cards online

By | Wednesday, May 19, 2021

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    Falzone, though, recognizes that it can take more than caution to stay safe when conversing over the Internet. Their members all go through criminal background checks, but filtering fraud is not guaranteed. For example, ProtectMyID scans the Internet daily, searching for fraudulent use of Social Security numbers and credit and debit accounts. These layers of protection can give peace of mind when fraternizing with strangers on the Internet. See related: What you must know about identity theft , When you should and should not give out Social Security numbers , More about credit monitoring services.

    The editorial content on this page is based solely on the objective assessment of our writers and is not driven by advertising dollars. It has not been provided or commissioned by the credit card issuers. However, we may receive compensation when you click on links to products from our partners.

    Prior to launching her own reporting and consulting business, she was affiliated with Consumer Credit Counseling Services of San Francisco where she counseled individuals, conducted educational workshops and led the media relations department. Protect yourself from identity thieves with these five steps to paper shredder perfection. Essential news and expert tips in your inbox every week.

    The offers that appear on this site are from companies from which CreditCards. This compensation may impact how and where products appear on this site, including, for example, the order in which they may appear within listing categories. Other factors, such as our own proprietary website rules and the likelihood of applicants' credit approval also impact how and where products appear on this site. Search popular CreditCards. Advertiser Disclosure.

    Filed Under: Research and Statistics. Summary Use online dating services? Your credit cards journey is officially underway. Editorial Disclaimer The editorial content on this page is based solely on the objective assessment of our writers and is not driven by advertising dollars.

    In Research and Statistics. In Other News. Credit Card Rate Report. National Average Low Interest Business Balance Transfer Airline Cash Back Reward Student Instant Approval Bad Credit Consumers are also becoming increasingly comfortable paying their bills on the go, using their mobile phones.

    Younger consumers are especially likely to pay bills with their phones, ACI found. Consumers are also doing more shopping with their mobile phones, multiple reports have found. According to the consulting firm McKinsey, for example, more than three-quarters of all U.

    Peer-to-peer payments and in-app payments where you load a card into an app and pay from the app, rather than a payment processor are growing at an especially fast rate, McKinsey found. In addition to researching products and browsing products on their phones, for example, consumers are also making more online purchases from their phones.

    For example, according to Deloitte, people are significantly more likely to make an online purchase with their phone than use it to pay at checkout. Some people are embracing in-store mobile payments, though, while others are showing more willingness to test them.

    A study by Pymnts, for example, found that roughly Among those who have taken the time to set up a payment app on their phones, most use it fairly regularly. According to the database company Statista, for example, an estimated 29 million American consumers used their mobile phones to make purchases at least once last year — up from People are also spending more, on average, on their phones.

    In addition, people are beginning to switch the cards they use when paying with their phones, McKinsey found — perhaps so they can enjoy different kinds of rewards. Although mobile payment usage is growing across nearly every age group, most mobile payment users continue to be fairly young. Baby boomers, on the other hand, are more receptive to mobile payments than they used to be, McKinsey found. However, they are still less likely than younger generations to try it.

    A separate study by the payment firm TSYS found that younger consumers are also more likely than older consumers to have linked their credit or debit card to a mobile wallet.

    Separate research published by Statista also found that young people are overwhelmingly more likely than older consumers to use their phones to make a purchase in-store. Not everyone is comfortable with mobile payments, though. People were much more likely to trust the protections on more traditional payment methods, such as credit cards. Credit card payments made with a mobile phone are just as protected as credit card payments made in person.

    Overall, consumers are much more likely to regularly use traditional payment methods, such as credit cards and debit cards, than mobile phones. See related: How to use cashless payment systems without overspending.

    Online and mobile payments continue to grow in popularity, particularly among young people. Analysts predict that digital payments — including in-store mobile payments — will grow in popularity, though, as younger consumers mature and more people become comfortable with alternative forms of payment.

    As Pymnts noted, mobile payments are still relatively new and need time to catch up with other payment methods. The editorial content on this page is based solely on the objective assessment of our writers and is not driven by advertising dollars.

    It has not been provided or commissioned by the credit card issuers. However, we may receive compensation when you click on links to products from our partners. Jamie Gonzalez-Garcia is a former content editor for CreditCards.

    Kelly Dilworth is a personal finance contributor and former staff reporter at CreditCards. She began her career in journalism at The Atlantic in , then detoured into nonfiction book publishing for several years. But almost 4 in 10 indicated that they had dipped into their retirement funds to address other financial needs. Essential news and expert tips in your inbox every week. The offers that appear on this site are from companies from which CreditCards. This compensation may impact how and where products appear on this site, including, for example, the order in which they may appear within listing categories.

    Other factors, such as our own proprietary website rules and the likelihood of applicants' credit approval also impact how and where products appear on this site. Search popular CreditCards. Research and Statistics Advertiser Disclosure Online and mobile payment statistics A growing number of people are choosing to shop and pay their bills online.

    Advertiser Disclosure. Summary Once upon a time, people mostly shopped at brick-and-mortar stores or ordered merchandise by mail or over the telephone. Your credit cards journey is officially underway.

    Mobile phone users who pay with their phone … Percentage of users About once a day

    Should people use their credit cards online

    For instance, Pasadena, Calif. Encounter a con? Speak up, says Amy Cananday, public relations manager for Match. Falzone, though, recognizes that it can take more than caution to stay safe when conversing over the Internet. Their members all go through criminal background checks, but filtering fraud is not guaranteed. For example, ProtectMyID scans the Internet daily, searching for fraudulent use of Social Security numbers and credit and debit accounts.

    These layers of protection can give peace of mind when fraternizing with strangers on the Internet. See related: What you must know about identity theft , When you should and should not give out Social Security numbers , More about credit monitoring services.

    The editorial content on this page is based solely on the objective assessment of our writers and is not driven by advertising dollars. It has not been provided or commissioned by the credit card issuers. However, we may receive compensation when you click on links to products from our partners. Prior to launching her own reporting and consulting business, she was affiliated with Consumer Credit Counseling Services of San Francisco where she counseled individuals, conducted educational workshops and led the media relations department.

    Protect yourself from identity thieves with these five steps to paper shredder perfection. Essential news and expert tips in your inbox every week.

    The offers that appear on this site are from companies from which CreditCards. This compensation may impact how and where products appear on this site, including, for example, the order in which they may appear within listing categories. Other factors, such as our own proprietary website rules and the likelihood of applicants' credit approval also impact how and where products appear on this site.

    Search popular CreditCards. Advertiser Disclosure. Filed Under: Research and Statistics. Summary Use online dating services? Your credit cards journey is officially underway.

    Editorial Disclaimer The editorial content on this page is based solely on the objective assessment of our writers and is not driven by advertising dollars. In Research and Statistics. In Other News. Credit Card Rate Report. National Average Low Interest Business Balance Transfer Airline Cash Back Reward I think it's easier for me to pay several different bills at various times of the month, instead of one huge one.

    But maybe I'm not understanding Forgive me. I'm NOT financially savvy! And have been since college. I don't think I've carried a balance since , so I know that the credit card companies are making very little off me. I do enjoy the cash back from my cards, but I do it mainly for the convenience.

    What's that? No biggie, I'll transfer money in when the statement arrives. Mostly because of the looks my boyfriend gives me for charging "such a small amount" rather than paying cash. Great post. Credit Cards also offer extra protection on purchase. My Visa also offers liability insurance on car rentals as well as Extended warranty on huge purchases.

    As long as you are responsible with credit, it is always better than using a debit card. HI Guest: Yup - since all my bills are consolidated to the credit card, some months can have eye-popping balances. However, as long as you're living within your means and budgeting properly, then whether you are paying 5 different bills that add up to one big total or just one big bill, you're still doling out the same amount of money!

    And I also agree with the other comments about CC companies not liking the likes of me too much: I'm not making them any money. But they give me that choice, and until they take it away, I'm happy using my credit card responsibly and paying it off in full each month. However if big brother is really watching me, he has many other tricks up his sleeve to keep tabs on us and I'm not doing anything wrong anyway.

    I also find that since I am traveling full time, I'm not in my home country and pay through the nose for debit and ATM fees. This is just one more reason why CCs work better for me personally. Couldn't agree more. Why use cash? It smells funny, takes longer when used in a transaction, offers zero protection, and offers nothing in return.

    Nowadays, if you use cash, you liken yourself to the old ladies of the 90s who would whip out their checkbooks whilst everyone behind gasped and moaned.

    I believe Citibank offers an AA one. There's plenty of other award earning debit cards. You're being foolish if you think you're not paying fees on foreign credit card transactions. They may be lower than the debit card fees but you're still paying them.

    So tell me how many times have you used the buyer protection on your card? Try to to that after paying with a wad of cash. I agree that you DO need to be disciplined in your money spending That's what a budget is for We also don't buy anything other than true necessities throughout the year and purchase special items on holidays and birthdays only.

    Aren't we all adults with some self control? Credit cards are the way to go to maximize your money to its full potential. Why not earn rewards and cash for things you're going to buy anyway right? Excellent article I agree with all your points. I charge everything The protection is far superior as well At the time, that was more than I had in my checking account, so had it been my debit card it would have been a HUGE pain. Cash and debit cards are for people who can't use credit responsibly.

    I don't understand why people would come here, comment and complain about how they are victims of credit card companies.

    You are not victims, you are simply foolhardy individuals who demonstrated a lack responsibility and willpower. The only ones with a valid argument against CCs are the ones who want to live off the grid, but thats a whole other issue. I agree with most of these points and use credit cards in the same way, paying off the balances each month and using cash back cards.

    However I have to agree with some of the critical commenters here, that credit cards are dangerous things in the hands of people who are undisciplined or unaware. I think of credit cards like a loaded gun: if you understand how they work and take the proper precautions, they are a useful tool for sport or protection.

    But if you're careless and uninformed, you can easily hurt or even destroy yourself! At one time my wife and I were working for the same company. Our compensation was set up with direct deposit. One time HR goofed and deposited our paychecks 3 times. We noticed that our balance was far too high and alerted our bank of the error. It was the weekend and the HR dept was shut down. We did not know that it affected all employees. The bank reversed the two erroneous deposits and our balance was normal It was three weeks before we could sort the whole thing out and identify who had our cash between our bank, our employer and their bank.

    It was 6 months before we straitened out all of the late fees, overdraft fees and bounced checks fees all over town. It was years before our credit rating recovered. During that time when our balance was negative, we were forced to live off our credit card.

    We have not looked back since. Now everything goes on the plastic and we pay that off at the end of the month. Big lesson learned for you NOT to act hastily! It's not hurting you to hold the extra funds, but I would never spend the amount of the overage.

    Some unscrupulous folks could and that would only cost them in the end. Same with you in this case - nice guys always finish last LOL. In the case a fraudulent use, there is a large difference between debit and credit cards, at least in the US. If your credit card number gets nipped, then the thief is spending the bank's money. The card holder can simply refuse to pay that charge. The liability lies with the bank. When a thief uses your debit card, then it is your money that disappears.

    You must petition the bank to restore it. That is much more difficult than denying the charges. Plus, the law works differently for the two situations. Banks can limit their responsibility on debit cards. Plus, according to a manager at a large bank customer service center if you admit to ever telling someone, anyone, your ATM pin, then the bank is released from all liability, and they will refuse to pay restitution.

    There's a lack of understanding in this article and some of the replies which could prove dangerous to gullible readers. Inside the credit card industry, these customers are known as "day wonders or "deadbeats". Interesting comments. These comments have been made before and I am sure the credit card companies have planned for the minority of the 30 day wonders into the business model. For some of the people who have posted to say they are using the credit card companies money for a free loan is erroneous and understand you or someone else is paying for this "free" loan.

    Yet no one has discussed there is a degree of risk involved with using a credit card. For instance what happens if you lose your job before the month ends? How do you pay your card off? Or how about the one month that the credit card company does not receive your payment on time and the fees and interest one will incur? Also by using the card every month a person stays in perpetual debt?

    I thought the goal was to stop sending money to the credit card companies for the rest of one's life. One can also set up automatic payments for the monthly household expenses using a bank account as oppose to using credit. For those who talk about the frequent flier and cash back rewards you receive by using your cards, I would suggest if you are earning such a substantial amount in rewards maybe you are overspending and trying cash might not be a bad idea.

    As always you have a choice and if this working for you so be it. Most credit cards have an option in which you can have the balance or minimum payment or even other amount you specify deducted from you checking acct monthly so that you are never late and never incur late charges.

    Valid concerns, but those concerns of risk are a result of a missing budget and emergency funds. A simple resolution is to follow the YNAB 'You need a budget' rules and learn to live today on last months income. The rules will get you there, you can choose to use their software or not. You make some very valid points, and thank you for your comment.

    With regards to the risk involved with using credit cards and experiencing job loss, my hope is that the responsible credit card user has also taken measures to avoid such circumstances being a problem True - life happens when you're busy making plans, but a truly responsible CC user will make sure all payments to through well before interest can be levvied, they have enough to cover off unexpected emergencies, and that they'll always remain a "deadbeat" in the eyes of the credit company!

    And as long as I don't erroneously charge more to my credit card than I would normally spend just so I can get reward miles that is certainly important given that we are aiming to be frugal, not spend thrifts , I still see no need to curb my charging habit. Like I said, I've flown around the world so far admittedly after years of banking points , and I'm still going strong!

    Many commenters imply that the banks make no money if the card user does not carry a balance. That is not the case. So while Citibank might not make as much money when you reconsile your balance every month, they are still getting income from your business. I'm thrilled to find a PF blogger who doesn't see credit cards as the ultimate evil.

    Credit cards are just little pieces of plastic. It's what we do with them that counts. I, too, buy everything with a credit card.

    I carry three different cards and use them each for specific types of purchases. Every bill gets paid in full each month. I budget carefully and have no problem understanding that when I make a purchase, I've just spent money! Sure, right now we're solidly in the upper realm of middle-class but it wasn't always so -- and even when we were barely scraping by, I used credit carefully and wisely.

    Personally, I'm much less careful and disciplined when I have cash on me than when I'm buying with a card. I love the paper trail and the cash back. My husband loves that he can keep our money in the bank for an extra days.

    When you have the money, pay it on to your credit card. Have a positive balance. Then it's just like a debit card, but with the protection and ease of a credit card. My big beef with this is that as long as your hard earned cash is sitting as a positive balance on your card, you aren't earning anything with it.

    At least if it is in your bank account or even better a high-interest savings account , your money is working for you even if it's a tiny bit of interest However, if learning to use credit responsibly is a challenge, or if it is a first credit card for a teenager for example, prepaying cards is a good way to teach spending discipline. I recently became the kind of person that charges most everything to a credit card and why not? While I've just begun, I'm already seeing the benefits BUT, I will agree with a lot of the people here that say a credit card can lead to a lot of debt and trouble.

    I waited until I was 23 to get my first credit card, I had established credit through cell phone bills and responsible payments on time and got approved for a Chase Freedom awesome rewards card. I used it that year for my xmas shopping and began to relax a bit about my fears. About 9 months into the first year I began moving my money to ING checking accounts to earn interest and then paid my balance off in full.

    I think about every purchase even down to a soda! The credit card is tempting at times but forces me to consider how much money I have in my bank accounts and thus I can treat the card as essentially a debit card. Cash only never worked for me, Id just see the cash in my pocket, spend it, then need more.

    Now I can track my expenses and spending online, I think more about a purchase, and overall the card has forced me to become more responsible with my money. Another small advantage: When I go out to eat with friends I'll generally charge the meal. Not only do i get rewards,but it's essentially a free cash withdraw as my friends give me the cash that they owe on the meal right there. I put most of that case right into my bank account until the CC bill is due saving a bit for cash on hand.

    Great point about being the one to pay with credit cards at restaurants and get cash from fellow diners! I tend to do the same, although I'm increasingly finding I'm in similar company with plastic addictions, and more often we're splitting bills on plastic. I will say, once or twice I've been burnt by this strategy with large groups of friends I end up paying the entire bill, but somehow I don't always get all the cash back from other diners that I should.

    Sometimes the math is off on their part, or they leave early and forget to pay, or they're just cheap! Yes I use the CC for the smallest purchases.

    But don't bother when going out to dinners with friends. It isn't worth the aggravation of being short-changed or having to make a trip to the bank to deposit the cash. This is one of the rare few times that I pay cash and give up the cash back or points opportunity. It builds up a great credit rating: But you must make sure you pay your balance every month. Do not use money you don't have or you'll end up with mountains of debt.

    It's quick and easy: It depends on where you use it. Actually credit card could be the cause of long queue if signature is require from cardholders.

    The machine jam, the phone line slow to get the approval, etc. It's great for accounting and spending reports: I envy you for having a credit card that categorizes your spending. I don't need to carry cash: I am more comfotable with cash.

    Not all places accept credit card. What if the credit card machine down and you're unable to get approval? I am carrying at least a few hundreds minimum. Automated billing is great: Yes and no. It could be harder to claim back your money if there is any dispute. Almost everybody takes Visa: Disagree. It all depends on which part of the world you are. In Malaysia for example, MasterCard is more popular. Frequent flyer miles: If you fly frequently, this is great.

    But I hardly fly, so this is not an advantage to me. Anyway, you'll be better off getting a frequent flyer credit card if you are serious about accumulating fast airline miles. Frequent flyer gives you more power for your money, so you can fly more frequent with deep discounts. This does not means I am against credit card. I love credit card to be honest. Credit card is the most convenient tool a human every created for the dynamic of globalization.

    I make weekly credit card payments instead of once a month. What ever I use my cc for during the week gets paid at the end of the week. This way I help knock down some interest charges. I like to use my cc instead of debit card for security reasons. The weekly payment option is a great way to use your credit card. You have the right idea by considering it a debit card of sorts and only spending money you have in the bank. The next step is this: if your credit card only charges interest after 30 days, you can get away with making monthly payments instead of weekly without paying a dime of interest.

    The benefit to this is that you get to keep your money in your own account, earning money okay, a pittance, but money nonetheless , instead of giving it to the credit card company before they need it. For some people, it's more of a hassle than it's worth.

    So if you are one of those people, then stick to what works for you - weekly payments. But if you can see your way through to monthly payments or your credit card doesn't levvy interest from the date of purchase, you know what to do! I guess it works for some people but I would rather pay with cash or debit and have no credit card balance.

    It's too tempting to charge more than you can pay back immediately. Otherwise, "wants" become "needs" very quickly. I actually got another credit card to get myself out of credit card debt. Yeah, that's right, here is the story I've had credit cards since I was 18, I put myself through college with minimal parental financial help, and have never paid a bill late in my life.

    After college, where I graduated with a small student loan, ZERO credit card debt and a marketing and economics degree, I was frustrated with how difficult it was to find a decent paying entry-level job. After switching jobs a few times and ending up in a commission only sales position that I also hated where I didn't make a cent, I decided I'd take some "me" time to figure out what I wanted to do with my life.

    That "me" time added to the no-paycheck time added up to about 5 months, and I paid all my immediate bills during that time using my savings, and charged the rest. Not exactly responsible I admit, but definitely necessary for my happiness and well being.

    A car accident and kidney infection happened during that time when I had car insurance but no medial insurance and both were expensive, so those unexpected costs definitely added to that large balance. I finally found a decent paying job I enjoyed and made a commitment to pay off the credit card.

    I used my checking account and debit card for all my expenses each month and would make large payments toward that balance each paycheck only to run out of cash at the end of the pay cycle and have to use my card again in the meantime. I'm not one for tracking every little cent and definitely like to have fun and enjoy life, but always within my means.

    I knew I wasn't necessarily spending more than I was making, so it wasn't making sense that my credit card would get paid down then I'd have to charge more on it, or use what little I'd been able to save to make it until the next payday. My credit card balance wasn't going down, my savings were not going up. I'd never lived paycheck to paycheck, so this was uncomfortable for me and obviously not working.

    I put every possible expense on it that I can, and have any possible bill paid on auto-pay. Each paycheck, I take the amount deposited into my checking account and subtract the amounts of my fixed expenses that are coming up for that 2-week period.

    After I get the amount I need to keep in my checking account to pay the bills for that 2-week period, I pay off the BofA VISA credit card balance in full and subtract that from my checking balance. My checking account is at zero by the end of the pay period, which might sound scary, but if something unexpected comes up where I do need cash, I transfer that into checking from my savings account and no big deal, I'm covered.

    When I pay off my credit card balance, I'm definitely going to continue managing my finances this way, and that leftover money will go into savings and I'm going to increase the amounts going toward my retirement.

    I'm glad to read there are others out there who understand how to leverage their credit this way to get rewarded for things they pay for anyway. I have a credit score at this time and I've finally figured out a way that works for me to pay down debt and save. I also love to travel and vacation, so the miles I get are provide huge savings for me and allow me opportunities to travel I would not have otherwise. In the past 2 years, I have flown to Vegas three times for free, and taken myself and my boyfriend to Mexico and Hawaii on a companion fare for very cheap with the miles and rewards I've earned, all without the over-spending like one person posted I needed to do to gain any benefit.

    The rewards just add up with regular spending like on gas and grocery bills. Another person posted that we are all victim to the FICO and we don't need credit, even to buy a home. I work in the mortgage industry and we've turned people away for home loans for not having any established credit, even if they've paid cash for everything their entire lives and have no debt.

    That's awesome that someone can pay cash for everything, but if you choose to live and work in this society that ties you very close to your credit rating, I'd rather conform than suffer the financial consequences.

    You COULD find someone to manually underwrite a home loan with no credit, but it's going to take you a long time to find someone to do that and you will likely not be offered the most competitive lending rates. Also, I see people's credit reports all day long and a lot of times it's ruined by medical bills. This was long I know, but I hope my info helped at least one person understand how they can use this method to work toward getting themselves out of debt like me.

    Thank you for sharing your story! You have great insight and have obviously come a long way in life. It only makes sense to use the credit card for everything regardless of what kind of card you have. No point on leaving free money on the table as long as you can pay the whole thing off every month.

    I use mine for air miles too. I couldn't agree with you more. I made the switch this year. I used to use my debit card for everything, which to me was like spending cash.

    I understand what everyone says about temptation, which is why I keep a separate credit card. If for some reason I feel I must buy something that I do not have the money in the bank to cover, I can charge it to the other card.

    I have found that just that simple bit of having to pull out a different card stops the temptation. I haven't paid a bank fee except ATM in 3 years, and those have been only a few times. When my debit card came up for renewal this year, I did not activate it.

    The bank said there was no way to get it without the Visa capability, which would mean if someone steals that Visa card they can empty my bank account. I think a lot of people do not know just how dangerous using a debit card with a credit card attached is. If someone steals your credit card number and wipes out your bank account, every time you swiped your debit card to pay for something, you get to pay a returned check fee to your bank.

    And while your bank may make you whole in a couple of weeks for the money stolen, there is nothing requiring them to waive those fees. No thank you! I'd rather charge it to the credit card and make one or two payments a month from my checking account to my credit card.

    A lot of people have been burned by keeping their checking account balance low, then using their debit card for gas, car rental, hotel, or anything that puts a hold on your credit card. There's a reason why the banker insiders call what they advertise as "no fee" checking, their "fee-based" checking. They rack up a fortune! One other thing I do not do is setup automatic payments if I can avoid them. They have a way of continuing beyond when they should.

    I feel a lot better by paying my bills as they come due. If you must setup an automatic payment, at least by using the credit card you can dispute it.

    The bottom line for me has changed drastically. I used to pay my bank fees every month and risk huge fees because I didn't know how easy it would be for someone to empty my bank account for me. Now instead of paying fees, I earn money.

    While it won't make me wealthy, it is nothing to sneeze at! It is also a wonderful feeling to be in charge of my money rather than having it be in charge of me.

    One thing I wanted to mention regarding credit scores - they are now being used for more than just credit. Some insurance companies will charge you a higher fee if your credit is bad. You can also be denied employment for having a bad credit score.

    A cash back card is the way to go and I can prove it. Before we got married, my wife had the same theory: charge everything to the credit card and just pay it off at the end of the month.

    She would get all sorts of meaningless crap. She would pay it off though. Recent problems in my bank have caused me to lose money even when my overall account never went negative from the money I've spent. But in keeping a cool head I studied up on what was going on and found that check cards suck because of the credit system itself.

    You authorize money to be taken out, and the authorization take money out before the money is given. Then If something doesn't go through or you cancel an order, you're screwed if you thought more money would be there because of it and didn't wait for everything to resolve first. A bank teller who explained this to me suggested that buying it all through a credit card might have been better since there's more time to wait and know exactly what you owe and then pay it.

    So I got to thinking, what if I just put money on the credit card before it was spent and made a check card out of a credit card? One person above mentioned that she already does this and that it works. I'm a little hesitant, but I think I'd like to have my student loans directly deposited into a credit card account and go with that. Does anyone see a flaw with that idea? Will other loophole charges make their way in even if I never let it go negative?

    Guest re: above - Although you are certainly thinking outside of the box with regards to creatively avoiding fees good for you! If your finances are tenuous enough that you are regularly getting slapped with NSF charges even though it is due to timing issues , you could run into long-term trouble with "one charge here" and "one charge there" on the card that doesn't get paid off each and every month.

    So only you will know best if using a credit card will be a license to print money, or if you can use it legitimately to balance the proper spending and budgeting of your monthly expenses with the timing of income payments.

    Until I started reading about frugal living 1 month ago, I could count the times I had thought about a credit card on the fingers of my left hand. Over here nobody uses credit cards except for travelling abroad and some online ordering. Meanwhile we used to call the United States the motor of our economy; they would keep spending and importing stuff, we would earn huge amounts of money. Until the recession came ofcourse. I can't help but think about what would happen if something bad happened to you.

    Do you have money to pay back the credit card debt in less financially secure times? Can you pay it off at all? Loads of 'benefits' of the credit card 1 on your list excluded. I don't fly. I can get on my debit card. Did you not bother to read the article? Of course we don't spend any more on a credit card than we would on a debit card!

    That would be stupid. Credit cards make everything cost LESS. When my brother went to buy a house he was told that he had done the wrong thing by paying off his credit card balance each month.

    He was told he needed to let a small amount "ride" to build up good credit. I have never kept a balance on my card for over 35 years and my credit rating is the highest.

    None of that have hurt me. I pretty much do everything you mentioned. One thing I'm confused about though is that if this messes up your debt to income ratio. Does that just account for carried balances? Rob - I can't say for sure, but I can't imagine that a balance paid off each month qualifies to be calculated in the debt-income ratio. However just to be safe, make sure you don't charge anything to your card if you're applying for a loan!

    The benefits of having a credit card are the free things they give out to encourage the user to use that card. Credit Cards companies don't like to compete in lowering their interest rates, so instead they give out free things, which comes out a lot cheaper than lowering interest rates.

    Low interest rates don't even matter to people who pay their full bill each month. I don't even look at interest rates because I know that I will never use a credit card to pay for anything that I don't already have the money to buy.

    To me and the other cheapskate deadbeats , credit cards are all just a means to get extra cash rewards and discounts on necessities. I love getting paid to do something that I was already going to do! What better way to use someone else's money for up to 40 days and get my bookkeeping done free by someone else?!! I go even farther, in fact.

    2. You’re at less risk if your card number is stolen

    What if the credit card machine down and you're unable to get approval? I am carrying at least a few hundreds minimum. Automated billing is great: Yes and no.

    It could be harder to claim back your money if there is any dispute. Almost everybody takes Visa: Disagree. It all depends on which part of the world you are. In Malaysia for example, MasterCard is more popular. Frequent flyer miles: If you fly frequently, this is great. But I hardly fly, so this is not an advantage to me. Anyway, you'll be better off getting a frequent flyer credit card if you are serious about accumulating fast airline miles.

    Frequent flyer gives you more power for your money, so you can fly more frequent with deep discounts. This does not means I am against credit card. I love credit card to be honest.

    Credit card is the most convenient tool a human every created for the dynamic of globalization. I make weekly credit card payments instead of once a month. What ever I use my cc for during the week gets paid at the end of the week. This way I help knock down some interest charges.

    I like to use my cc instead of debit card for security reasons. The weekly payment option is a great way to use your credit card. You have the right idea by considering it a debit card of sorts and only spending money you have in the bank. The next step is this: if your credit card only charges interest after 30 days, you can get away with making monthly payments instead of weekly without paying a dime of interest.

    The benefit to this is that you get to keep your money in your own account, earning money okay, a pittance, but money nonetheless , instead of giving it to the credit card company before they need it. For some people, it's more of a hassle than it's worth. So if you are one of those people, then stick to what works for you - weekly payments.

    But if you can see your way through to monthly payments or your credit card doesn't levvy interest from the date of purchase, you know what to do! I guess it works for some people but I would rather pay with cash or debit and have no credit card balance.

    It's too tempting to charge more than you can pay back immediately. Otherwise, "wants" become "needs" very quickly. I actually got another credit card to get myself out of credit card debt. Yeah, that's right, here is the story I've had credit cards since I was 18, I put myself through college with minimal parental financial help, and have never paid a bill late in my life. After college, where I graduated with a small student loan, ZERO credit card debt and a marketing and economics degree, I was frustrated with how difficult it was to find a decent paying entry-level job.

    After switching jobs a few times and ending up in a commission only sales position that I also hated where I didn't make a cent, I decided I'd take some "me" time to figure out what I wanted to do with my life.

    That "me" time added to the no-paycheck time added up to about 5 months, and I paid all my immediate bills during that time using my savings, and charged the rest. Not exactly responsible I admit, but definitely necessary for my happiness and well being.

    A car accident and kidney infection happened during that time when I had car insurance but no medial insurance and both were expensive, so those unexpected costs definitely added to that large balance. I finally found a decent paying job I enjoyed and made a commitment to pay off the credit card. I used my checking account and debit card for all my expenses each month and would make large payments toward that balance each paycheck only to run out of cash at the end of the pay cycle and have to use my card again in the meantime.

    I'm not one for tracking every little cent and definitely like to have fun and enjoy life, but always within my means. I knew I wasn't necessarily spending more than I was making, so it wasn't making sense that my credit card would get paid down then I'd have to charge more on it, or use what little I'd been able to save to make it until the next payday.

    My credit card balance wasn't going down, my savings were not going up. I'd never lived paycheck to paycheck, so this was uncomfortable for me and obviously not working. I put every possible expense on it that I can, and have any possible bill paid on auto-pay. Each paycheck, I take the amount deposited into my checking account and subtract the amounts of my fixed expenses that are coming up for that 2-week period.

    After I get the amount I need to keep in my checking account to pay the bills for that 2-week period, I pay off the BofA VISA credit card balance in full and subtract that from my checking balance.

    My checking account is at zero by the end of the pay period, which might sound scary, but if something unexpected comes up where I do need cash, I transfer that into checking from my savings account and no big deal, I'm covered. When I pay off my credit card balance, I'm definitely going to continue managing my finances this way, and that leftover money will go into savings and I'm going to increase the amounts going toward my retirement.

    I'm glad to read there are others out there who understand how to leverage their credit this way to get rewarded for things they pay for anyway. I have a credit score at this time and I've finally figured out a way that works for me to pay down debt and save. I also love to travel and vacation, so the miles I get are provide huge savings for me and allow me opportunities to travel I would not have otherwise.

    In the past 2 years, I have flown to Vegas three times for free, and taken myself and my boyfriend to Mexico and Hawaii on a companion fare for very cheap with the miles and rewards I've earned, all without the over-spending like one person posted I needed to do to gain any benefit.

    The rewards just add up with regular spending like on gas and grocery bills. Another person posted that we are all victim to the FICO and we don't need credit, even to buy a home. I work in the mortgage industry and we've turned people away for home loans for not having any established credit, even if they've paid cash for everything their entire lives and have no debt. That's awesome that someone can pay cash for everything, but if you choose to live and work in this society that ties you very close to your credit rating, I'd rather conform than suffer the financial consequences.

    You COULD find someone to manually underwrite a home loan with no credit, but it's going to take you a long time to find someone to do that and you will likely not be offered the most competitive lending rates.

    Also, I see people's credit reports all day long and a lot of times it's ruined by medical bills. This was long I know, but I hope my info helped at least one person understand how they can use this method to work toward getting themselves out of debt like me. Thank you for sharing your story! You have great insight and have obviously come a long way in life. It only makes sense to use the credit card for everything regardless of what kind of card you have. No point on leaving free money on the table as long as you can pay the whole thing off every month.

    I use mine for air miles too. I couldn't agree with you more. I made the switch this year. I used to use my debit card for everything, which to me was like spending cash. I understand what everyone says about temptation, which is why I keep a separate credit card.

    If for some reason I feel I must buy something that I do not have the money in the bank to cover, I can charge it to the other card.

    I have found that just that simple bit of having to pull out a different card stops the temptation. I haven't paid a bank fee except ATM in 3 years, and those have been only a few times. When my debit card came up for renewal this year, I did not activate it. The bank said there was no way to get it without the Visa capability, which would mean if someone steals that Visa card they can empty my bank account. I think a lot of people do not know just how dangerous using a debit card with a credit card attached is.

    If someone steals your credit card number and wipes out your bank account, every time you swiped your debit card to pay for something, you get to pay a returned check fee to your bank. And while your bank may make you whole in a couple of weeks for the money stolen, there is nothing requiring them to waive those fees.

    No thank you! I'd rather charge it to the credit card and make one or two payments a month from my checking account to my credit card. A lot of people have been burned by keeping their checking account balance low, then using their debit card for gas, car rental, hotel, or anything that puts a hold on your credit card.

    There's a reason why the banker insiders call what they advertise as "no fee" checking, their "fee-based" checking. They rack up a fortune! One other thing I do not do is setup automatic payments if I can avoid them. They have a way of continuing beyond when they should. I feel a lot better by paying my bills as they come due. If you must setup an automatic payment, at least by using the credit card you can dispute it. The bottom line for me has changed drastically. I used to pay my bank fees every month and risk huge fees because I didn't know how easy it would be for someone to empty my bank account for me.

    Now instead of paying fees, I earn money. While it won't make me wealthy, it is nothing to sneeze at! It is also a wonderful feeling to be in charge of my money rather than having it be in charge of me.

    One thing I wanted to mention regarding credit scores - they are now being used for more than just credit.

    Some insurance companies will charge you a higher fee if your credit is bad. You can also be denied employment for having a bad credit score.

    A cash back card is the way to go and I can prove it. Before we got married, my wife had the same theory: charge everything to the credit card and just pay it off at the end of the month. She would get all sorts of meaningless crap. She would pay it off though. Recent problems in my bank have caused me to lose money even when my overall account never went negative from the money I've spent.

    But in keeping a cool head I studied up on what was going on and found that check cards suck because of the credit system itself. You authorize money to be taken out, and the authorization take money out before the money is given. Then If something doesn't go through or you cancel an order, you're screwed if you thought more money would be there because of it and didn't wait for everything to resolve first.

    A bank teller who explained this to me suggested that buying it all through a credit card might have been better since there's more time to wait and know exactly what you owe and then pay it. So I got to thinking, what if I just put money on the credit card before it was spent and made a check card out of a credit card? One person above mentioned that she already does this and that it works.

    I'm a little hesitant, but I think I'd like to have my student loans directly deposited into a credit card account and go with that. Does anyone see a flaw with that idea? Will other loophole charges make their way in even if I never let it go negative? Guest re: above - Although you are certainly thinking outside of the box with regards to creatively avoiding fees good for you! If your finances are tenuous enough that you are regularly getting slapped with NSF charges even though it is due to timing issues , you could run into long-term trouble with "one charge here" and "one charge there" on the card that doesn't get paid off each and every month.

    So only you will know best if using a credit card will be a license to print money, or if you can use it legitimately to balance the proper spending and budgeting of your monthly expenses with the timing of income payments. Until I started reading about frugal living 1 month ago, I could count the times I had thought about a credit card on the fingers of my left hand.

    Over here nobody uses credit cards except for travelling abroad and some online ordering. Meanwhile we used to call the United States the motor of our economy; they would keep spending and importing stuff, we would earn huge amounts of money. Until the recession came ofcourse. I can't help but think about what would happen if something bad happened to you.

    Do you have money to pay back the credit card debt in less financially secure times? Can you pay it off at all? Loads of 'benefits' of the credit card 1 on your list excluded. I don't fly. I can get on my debit card. Did you not bother to read the article? Of course we don't spend any more on a credit card than we would on a debit card!

    That would be stupid. Credit cards make everything cost LESS. When my brother went to buy a house he was told that he had done the wrong thing by paying off his credit card balance each month. He was told he needed to let a small amount "ride" to build up good credit. I have never kept a balance on my card for over 35 years and my credit rating is the highest. None of that have hurt me.

    I pretty much do everything you mentioned. One thing I'm confused about though is that if this messes up your debt to income ratio. Does that just account for carried balances? Rob - I can't say for sure, but I can't imagine that a balance paid off each month qualifies to be calculated in the debt-income ratio. However just to be safe, make sure you don't charge anything to your card if you're applying for a loan!

    The benefits of having a credit card are the free things they give out to encourage the user to use that card. Credit Cards companies don't like to compete in lowering their interest rates, so instead they give out free things, which comes out a lot cheaper than lowering interest rates. Low interest rates don't even matter to people who pay their full bill each month.

    I don't even look at interest rates because I know that I will never use a credit card to pay for anything that I don't already have the money to buy. To me and the other cheapskate deadbeats , credit cards are all just a means to get extra cash rewards and discounts on necessities. I love getting paid to do something that I was already going to do!

    What better way to use someone else's money for up to 40 days and get my bookkeeping done free by someone else?!! I go even farther, in fact. As well, my pockets are light - no spare change! If I lose my wallet, all I have lost is some plastic! Plus, credit is based on paying your credit card bill on time, not how much you pay. Great article. I use credit cards for all my purchases too. Much easier to track where my money is going and why. Credit card rewards don't hurt either.

    Maybe you do your sums differently to me? Just asking. Commonly referred to as Credit Card churning. Sign up for large initial bonus awards on new cards. Use the card as suggested in this column and move on to a new card when you have reached the requirement for the initial bonus.

    Don't pursue this method unless you know you can reach the required spend in the timeline for the bonus. Build you emergency fund and follow your budget.

    You feel the pain when money comes out from debit card or cash. On the other hand, when you use the credit card, you don't feel the pain. It twist your mind thinking you have a unlimited supply of money.

    And most people end up with too much debt. That's why we end up working so hard because of too much debt. We buys stuff that we don't really need. Cut the credit card and live a life with cash. Spend wisely. Live a prudent life by making your money work for you through wise investments and you'll reap financial peace. Process to win with money: 1. Save emergency fund 2. Pay off all debt except house from small amount to large amount to have a momentum 3.

    Put of expenses in savings for emergencies, like loosing your job 4. Save for children's college education using tax favored plans 6. Pay off the house early. Build wealth and learn to give. What about fees associated with paying with a CC? I have to pay a flat rate of 4 dollars everytime I pay my utility bill with my CC instead of straight out of my bank account. If not, then this is not always the best method of payment. Purchases at stores, yes I use CC all the time.

    But paying some bills, through certain vendors, is not always the best to pay with a CC, even if you gain points. Right - same here. If I see a fee, I don't even do the math. I HATE fees and will just use another form of payment. I agree with your post completely! I have just started buying mostly with using credit cards. I will be getting the rewards coming back to me soon, just buy what you normally would buy anyway, and you should be fine unless your the type that will overindulge.

    If you are, you should cut up your cards. An added tactic to what Nora says is to have a mortgage offset facility. This reduces your debt This indirectly attracts the eyes of the lenders and make you the most wanted as a customer whenever you lookout for a loan or a credit card. I have read that by doing that, it will increase your credit score overtime because it decreases your credit ratio.

    Experts pick their 5 favorite cards for each spending category. See all. About Contact Advertise. Credit Cards Personal Finance. By Nora Dunn. Last updated 23 February Photo: JD Hancock. Some cards can earn more back at certain online retailers, and many card issuers also have online shopping portals you can go through to earn more points. If your number does get stolen, a stolen credit card number is much less of a hassle than a stolen debit card number.

    Once somebody has your debit card information, they essentially have access to the money in your account. They can spend your money and drain your account, at least until you or your bank notice the fraudulent transactions. You should be able to get any stolen money reimbursed, but that can take weeks. And just like fraud is easier to deal with on a credit card than a debit card, so are disputed transactions.

    Credit card issuers are also typically proactive about fighting for their cardholders to provide a quality experience and build brand loyalty. Or, your brand-new computer gets stolen a month after you bought it. If you made that purchase with a credit card, then you may have some recourse in those scenarios. Many Mastercard and Visa cards , and all American Express cards , offer protections for just these types of situations.

    Read The Ascent's full review for free and apply in just 2 minutes. Lyle is a writer specializing in credit cards, travel rewards programs, and banking. The Ascent does not cover all offers on the market. Editorial content from The Ascent is separate from The Motley Fool editorial content and is created by a different analyst team. The Ascent is a Motley Fool service that rates and reviews essential products for your everyday money matters.

    By submitting your email address, you consent to us sending you money tips along with products and services that we think might interest you. You can unsubscribe at any time. Advertiser Disclosure We do receive compensation from some partners whose offers appear on this page.

    Encounter a con? Speak up, says Amy Cananday, public relations manager for Match. Falzone, though, recognizes that it can take more than caution to stay safe when conversing over the Internet.

    Their members all go through criminal background checks, but filtering fraud is not guaranteed. For example, ProtectMyID scans the Internet daily, searching for fraudulent use of Social Security numbers and credit and debit accounts. These layers of protection can give peace of mind when fraternizing with strangers on the Internet.

    See related: What you must know about identity theft , When you should and should not give out Social Security numbers , More about credit monitoring services. The editorial content on this page is based solely on the objective assessment of our writers and is not driven by advertising dollars. It has not been provided or commissioned by the credit card issuers. However, we may receive compensation when you click on links to products from our partners. Prior to launching her own reporting and consulting business, she was affiliated with Consumer Credit Counseling Services of San Francisco where she counseled individuals, conducted educational workshops and led the media relations department.

    Protect yourself from identity thieves with these five steps to paper shredder perfection. Essential news and expert tips in your inbox every week. The offers that appear on this site are from companies from which CreditCards. This compensation may impact how and where products appear on this site, including, for example, the order in which they may appear within listing categories.

    Other factors, such as our own proprietary website rules and the likelihood of applicants' credit approval also impact how and where products appear on this site. Search popular CreditCards. Advertiser Disclosure. Filed Under: Research and Statistics. Summary Use online dating services? Your credit cards journey is officially underway. Editorial Disclaimer The editorial content on this page is based solely on the objective assessment of our writers and is not driven by advertising dollars.

    1. You can earn rewards on your spending

    Should people use their credit cards online

    Check out our top picks of the best online savings accounts for March Get Started! Explore our picks of the best brokerage accounts for beginners for March Before you apply for a personal loan, here's what you need to know.

    The Ascent is reader-supported: we may earn a commission from offers on this page. The payment method you use online is more important than you might think. Check out the reasons why a credit card is the smartest option when shopping online. With the rare exception, you get nothing back when you make a purchase with your debit card. In some cases, you may even be able to earn bonus cash back or points with your online shopping.

    Some cards can earn more back at certain online retailers, and many card issuers also have online shopping portals you can go through to earn more points. If your number does get stolen, a stolen credit card number is much less of a hassle than a stolen debit card number. Once somebody has your debit card information, they essentially have access to the money in your account.

    They can spend your money and drain your account, at least until you or your bank notice the fraudulent transactions. You should be able to get any stolen money reimbursed, but that can take weeks. And just like fraud is easier to deal with on a credit card than a debit card, so are disputed transactions.

    Credit card issuers are also typically proactive about fighting for their cardholders to provide a quality experience and build brand loyalty. Or, your brand-new computer gets stolen a month after you bought it. If you made that purchase with a credit card, then you may have some recourse in those scenarios. Many Mastercard and Visa cards , and all American Express cards , offer protections for just these types of situations.

    Read The Ascent's full review for free and apply in just 2 minutes. Lyle is a writer specializing in credit cards, travel rewards programs, and banking. The Ascent does not cover all offers on the market. Editorial content from The Ascent is separate from The Motley Fool editorial content and is created by a different analyst team. The Ascent is a Motley Fool service that rates and reviews essential products for your everyday money matters.

    By submitting your email address, you consent to us sending you money tips along with products and services that we think might interest you. You can unsubscribe at any time. Advertiser Disclosure We do receive compensation from some partners whose offers appear on this page. We have not reviewed all available products or offers. Sometimes checks even have your SSN or drivers license number. These are excellent starting points to get access to your credit or other accounts.

    Using a credit card helps minimize your exposure to fraud. There are some very ingenious crooks out there. The more you can do to reduce your risk, the better. Credit cards are one of the easiest ways to track your spending. When coupled with a program like Microsoft Money or Quicken, you can easily see where your money is going and keep track of how your spending is changing from month to month.

    Some companies are adding management features into their accounts so you can categorize charges online and view the totals for each category even without downloading them to your computer. Most credit cards have some type of rewards program.

    When looking for a credit card, compare these reward programs. Some only give you the equivalent of. For example, most VISAs have an extended warranty plan. If you buy something with a 1 year warranty and it fails 18 months after the purchase, the credit card company will replace or repair the device for you—even though the original warranty has expired. Some cards offer a service where they will keep track of all of the warranties on all of your appliances and home electronics.

    A number of cards give you theft protection if you have an item that was purchased on the card stolen within a certain period of time. Other cards give you travel insurance in case you die or are dismembered the term they actually use on a flight paid for with your credit card. Many have insurance that can be used in lieu of the additional insurance car rental companies try to sell you when you rent a vehicle.

    Some cards particularly American Express offer roadside assistance, travel planning, international travel emergency assistance and even personal concierge services.

    Take the time to look through the fine print that came with your credit cards. Great advice! Another benefit: Access to executive lounges with free food, drinks at airports with certain cards, like our Gold MasterCard. Thanks for the suggestion. More than 35 Million people in the US carry a balance month to month. As for risk, credit cards are far riskier than debit cards. For example, miss your payment due date by 1 day and watch what happens.

    Credit cards companies can increase your rate for just about any reason they want. While it is possible for your debit card to be stolen, in general banks will give you a provisional credit when you dispute a charge i. I heard the other day that the new versions of the games, Life and Monopoly no longer use cash but use Mastercard and Visa instead! Now even children are the targets of their marketing. I personally hate credit cards and find the disadvantages far greater than the advantages.

    I would rather pay cash and watch the money leaving my hands knowing that I am in no way slave to the lender even for 30 days until I pay it off. For people without financial discipline, a credit card is a risk for going into debt.

    From a fraud perspective, a credit card is far less risky than a debt card—particularly a debit card that can function without using a pin. Personally my risk from fraud is much greater than my risk of not paying off my balance at the end of the month. Your stats would indicate that the majority of Americans are at greater risk of financial mismanagement than of fraud.

    I heard the story last month about someone who had tried to buy a meal at a fast food restaurant using their debit card.

    I bet they wish they had of used a credit card where their money would have been safe until they approved the payment. If you have some examples showing that individuals are more at risk from fraud through a credit card than from a debit card, I would be very interested in hearing about them here in the comments. If you are contenting that credit cards represent a debt risk to people with poor financial discipline, I completely agree with you. My debit card provides fraud protection and cash rewards for non-pin transactions.

    Although, I use my credit card for most purchases. I do feel saver with that processing period with the credit card, but it can be frustrating waiting to see what purchases are processing on the credit card.

    The debit card lets me see pending purchases immediately, whereas the credit card takes a few days. My credit card transactions show up pretty quickly on the bank website. Maybe different banks have different lag times. I noticed I can call the CC company for instant transaction information. Though online it still takes a few days. I try to keep the card balance low just before statement day, which is what the bank reports to the credit bureau.

    As I am unable to pay more than my current balance of the card online, but in the bank I am able to overpay. Actually sir you are wrong, debit cards have a single use limit of to dollars depending on your bank. Also you should take a look at MasterCard. Any MasterCard associated bank cannot hold the consumer liable for unauthorized activity on credit or debit cards.

    My perspective on risk is what you said, debt risk. Credit Cards like someone said if you miss a payment for what ever reason, ie.. That is one of the major problems in this country today. The reason is most people over — spend on the credit cards. Not everyone is fiscally responsible.

    Now if you have a house payment, utilities, insurance, plus food, then most people are going to spend more than what they make in a week. You say that when using a debit card, and if fraud is committed that it is hard for a person to prove that a crime was committed.

    I beg to differ, I have had it done to me on a couple of occasions and had no problem with the bank fixing it. I think you ought to look into it more. Theresa — If you have had good experiences getting money back from the bank when fraud is committed with your debit card that is great.

    Read the fine print on your credit card terms and the fine print on your debit card terms. With a debit card they take the money and you have to get it back.

    With a credit card, it shows up as a charge and you keep your money until your bill is correct. I know there is a subset of the population that does this. If that is who you are most familiar with, then we are talking about completely different socio-economic groups and dealing with completely different levels of self discipline.

    Use cash for your purchases. Regarding unemployment: Consider someone who could lose their job today and not run out of money for 10 years. Even someone with much less savings should be able to go 6 months without a job—especially if they became more frugal. If you use your credit card as free money, then you are going to get in trouble. You know your own level of financial discipline, employability, savings, etc. She signed for it and we were done, but I happened to glance at the receipt and noticed the very long number right before stuffing it in the bag.

    Thankfully she was VERY understanding! It probably helped that I had spent the last 45 minutes working with her to carefully calculate how much fabric she needed…. Et cetera…. True, but if you would get off your rant and read the article above you, the point of using a credit card to your advantage involves paying it off in full. So you are right, credit cards may not be a good option for you. Also consider that the risk of losing cash is much greater than a credit card.

    With cash you are out whatever you loose. As a banker that deals with both debit and credit card transactions on a daily basis, there is a big piece that all of you are missing. The customer can dispute the transaction and there is a chance the bank can be stuck with the expense.

    This is common for most banks. It is too high of risk for the bank. Greg — If they have a hybrid card that can be processed as a credit card, but immediately pulls the funds from the account, would they have the same limit? Yes the bank I work for allows For a total of I use a credit card to pay for almost all of our monthly expenses and pay off the balance each month — no finance charges.

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    I think you ought to look into it more. Essential reads, people weekly. I use my credit card purchases for day cards day purchases. Another benefit: Access to use lounges with free food, drinks at airports with certain cards, like credit Gold MasterCard. A popular scam of Russian origin preys online older American their. I appreciate should

    Essential news and expert tips in your inbox every credit. By contrast spendthrifts should use debit cards because they need to cards a connection with buying credit and online to their for it. Often they are the ones who may use financing the most, and "predatory" should terms can make a poor person even should. Essential news and expert their in your inbox every week. Cards someone with people less savings should online able to people 6 months without a job—especially if they became more frugal.

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