I know how to use credit cards!

[trirunner]

Okay this is going to be a bit of a rant. I'm sorry that I'm starting it out this way, but I'm getting very frustrated in all the forums that I'm visiting. I'm getting tired of everybody telling me the credit cards are evil and that I'm going to regret having them. I have had credit cards for over 10 years and I have never had a problem with them. I'm hoping that I can find a forum where the only reaction to credit cards is not that they are evil.

I realize that a lot of people get into credit card debt and the credit cards can cause a lot of financial problems for people don't use them correctly. I am not one of those people. I pay off my credit card every month and I never carry a balance on it. I use it as a tool, not as something that would get me into debt. I'm tired of having to explain this to everybody every time I mentioned that I use credit cards.

I am hoping that there are others in this forum that also know how to use credit cards correctly so that I am able to talk about credit card use without people saying that I need to get rid of them. I know I must not be the only person who has run into this problem, and I know there must be others that use credit cards correctly out there. I guess this is kind of a test post to see the reaction from the members here to see if this would be a forum where I would be welcome.

I apologize for starting off on such an aggressive stance, but it seems that every place I tried to go all people want to do is talk about how terrible credit cards are.

[tan fish]

I am exactly like you. I use my 4 rewards credit cards as much as I possible can. I pay them off immediately, and have never carried a balance longer than 3-4 weeks. I use a discover card, citi dividends master card, visa fidelity card, and chase freedom master card. I rack up points and make money from the card companies. They hate people like me.

[Pansori]

I work in credit card services for USAA, I've seen a lot of irresponsible and responsible use of credit. For most people credit cards truly ARE the devil. I have a couple of credit cards and one store card. I PIF every month, but in all honesty that is after my own very hard lessons were learned.

[facebookdigg123]

I'm 20, and I use my credit cards wisely. Always pay off in full, and reap the cashback rewards. Love it!

[JoshuaHeckathorn]

There are a lot of us like you here, but there are a few credit card haters too. You'll just have to ignore their rants about how ALL credit cards are evil :-). Welcome to the forum!

[Shewillbemine]

Yikes. You're mad.

[bjl584]

Credit cards are not evil. They can be used in an irresponsible manner, which causes many people to react and say that they are evil. There are many people on this forum that use credit cards to take advantage of various rewards programs. They are responsible, pay their bill in full each month, and receive the rewards that their cards offer. There's nothing evil about that.

[moneybags]

For the past 20 years, I've used my credit cards to pay for everything I buy. I have never paid interest or annual fees on a credit card. I have earned $300-$1000 per year from the credit cards. I have no debt. Why would I do it any other way?

People are too quick to blame their lack of responsibility on someone else. I'm in debt - must be the credit card companies fault. I'm overweight - it's all McDonald's fault. (Sorry, pet peeve rant.)

[marvholly]

OP
Like you, I have a BUNCH of cc. Like you AND many others here I use them responsibly, PIF every month and rack up the rewards. However, WAAAY too many do not follow these principles. WAAAY too many have NO clue where all their $$ is going BUT they want all the fancy toys NOW!!!

That is the road to disaster.

[GREENBACK]

I have used credit cards for over 20 years and the only time I had some debt was in college but that was part of a plan. I needed things and the cc was a tool to obtain those things which I paid off when I started earning more. The key is knowing what you have to spend. People who get in trouble usually have no idea of their monthly expenses or their true income.

In short, I use "evil" cc's for almost everything and reap the rewards. For those who don't know their true financial situation cc's are evil and should be avoided.

[disneysteve]

OP, welcome to the site. As others have said, you are not alone here. Many of us see credit cards as what they are, a financial tool. Just like any other tool, they can be used properly or used improperly. If someone chooses to use their card improperly, that isn't the fault of the credit card company. It is the fault of the user.

I got my first credit card in college. That was over 25 years ago. Since then, I've had several others. With one exception (done on purpose after running the numbers), I have never paid a penny in interest charges, late fees or any other extra costs. We charge everything we can to our cards, pay in full each month and earn typically about $800/year in rewards.

There are those who spout studies showing credit card users spend more money than cash customers. I think that is a bunch of nonsense. If I get my auto insurance bill, as I did the other day, whether I write a check or charge it on my Visa, the premium is the same. If I book a hotel room for a family vacation, the price is the same no matter how I pay. If I take my car in for service, the cost of the repairs is the same no matter how I pay. Our monthly phone bill, which gets charged to our card, isn't influenced by how I pay. We don't spend any more with a credit card than we would if paying by cash or check. Maybe some people do, but we don't.

[snafu]

One point not mentioned by other thoughtful CC users is timing. I have several cards with various benefits and different billing cycles. When booking a holiday or buying an expensive item, I use the card whose 'cut off' date passed. It means I have fall back if the supplier fails to deliver plus if the cut off date was April 20th, it will not be processed until May 20th and due June 5th. I am using their credit power for about 40 days.

Although it's not advertised, many retailers have offers/discounts for preferred [store credit card] customers like free delivery, 90 days interest & fee free, 10% - 15% discount off sale price and occasionally no fee service contract.

Sadly, most consumers who get into credit card difficulty base purchase decisions on whether they can make the monthly payment unaware of how much interest adds to the 'great deal' they thought they were getting!

[Joan.of.the.Arch]

Yep, I only wish I had realized the benefits of rewards credit cards sooner. Like others, we always pay off what we charge. Our purchases have nothing to do with availability of credit. I wish we could get more of our regular expenses onto credit card without the usage fee that is more than the benefits on the rewards credit cards.

Oh, and the consumer protection offered by CC companies has helped us more than once.

[trirunner]

Thanks for all the comments. And I apologize again for my initial rant about credit cards. This is the first forum where I actually feel comfortable after reading all the comments. I think I will be sticking around a bit. I'm glad to finally have found a group of people who also think as I do.

[Pansori]

I do have to mention another huge misuse of cc that is something that frustrates me the most: adding a secondary user on a whim. For the cards that I service there is a huge difference betweeen auth user and secondary user. Auth users can do balance transfers, cash advances, and use the card. They can inquire on what the balance and available credit is. And that.Is.It. Since they are not owners of the account they are not allowed to make payments, not given access to the cc on the website, not even allowed to discuss the terms and conditions.

When we add secondary users to the account we have to go through this explanation that by adding as a secondary user you are both responsible for whatever debt is left on the card and we cannot remove the secondary (would have to close out the account). Then we have to get permission from both parties.

I get a lot of calls usually from 20something newlyweds who demand to be added as secondaries to the husband's already maxes out credit card. I get calls from young husbands who joke "If you divorce my ass then you're responsible for the debt" as he hands the phone to the wife who is ALWAYS too quick to agree on being a secondary... and believe me, 9x out of 10 that card is usually maxed out to the hilt.

And then I get the other calls... the angry ex husband who is wanting to know how his wife is owner of an account he has had since college (you added her!) or the wife who wants that bastard ex to pay the cc as the divorce decree states (we don't honor divorce decrees).

To me, that is one of the major misuse of credit cards... the flippant attitude to adding someone as a joint account holder, usually to a card that is already very close to being maxed out.

Of course people get married, and never expect a divorce... but it happens. 50% of marriages end in divorce in the U.S., so no matter how strong your love is my suggestion is to NOT add that person as co owner of the account. I love my SO to death... he has been fulfilling to me in so many ways... but I told him up front my cards are mine, and his are his. I learned that lesson by watching the train wreck happen to so many other people.