The Holidays and Credit Cards

[gptmca]

I heard a radio story recently about Credit Cards, It basically said that if you cannot pay off the bill at the end of the month then you should not have a credit card.
Recognising that we all spend a little more over the holidays....if you cannot pay off the Holiday debt by February than you should not have a credit card! I personally dont' know anyone who would want me to go into debt just to get them a nice present. So when using your credit cards over the holidays...THINK and dont live beyond your means!!

[PRICEPLUS]

Great advice! I am paying only cash this holiday season! I have had my fill of the CC companies!

[disneysteve]

I would modify that very slightly and say if you can't pay the bill in full that month, you shouldn't use your CC. That's not to say you shouldn't have a CC for other times.

Credit cards, used responsibly, are a very valuable financial tool. They allow you to get totally free short-term loans for thousands of dollars whenever you wish. I know of no other way of doing that. They also allow you to rack up hundreds of dollars in cash-back or other rewards such as hotel stays, airline tickets or other merchandise.

To me, switiching to cash is letting the credit card companies win. I'd much rather keep using the cards and beat them at their own game.

[asmom]

I agree with Steve. If you do not have the money before you shop, then do not use the CC period. I have a budget and the only reason I will use my CC to purchase is for convenience, cash-back and some extra warranty protection. All monies will be paid before the next statement.

[Ima saver]

I just got a check for $100 for using my credit card. I might charge more than I budget each month (which is $240 a month), but I also save $30 a week for Christmas, so I will just pay the card off with my christmas money.

[cicy33]

Originally Posted by gptmca

I heard a radio story recently about Credit Cards, It basically said that if you cannot pay off the bill at the end of the month then you should not have a credit card.
Recognising that we all spend a little more over the holidays....if you cannot pay off the Holiday debt by February than you should not have a credit card! I personally dont' know anyone who would want me to go into debt just to get them a nice present. So when using your credit cards over the holidays...THINK and dont live beyond your means!!

This is something that most people should already know. of course that is also the problem with most people! they charge and can't pay. We did that one year, charged I mean. It really sucked when bills came. We decided that was not happening again. EVER. Now we only pay cash for gifts. it is amazing what you can manage when you simply decide that is how it is going to be.

I have a credit card since I was 16 and it was cosign with my father name. I don't buy christmas presents to people that much well it's really rare if I buy someone one anyways. It's quite useful for me to not pay it now and pay later but I have to make sure I have the money now if I have to pay it in the future. The last time I used my credit card, I bought 22$ of stuff and a week later, I decided to repay my card even if they didn't send me the bill yet (in three more weeks I think). I hope to keep doing it in the future and not get myself into debt because of them.

[Diolla]

I also have the money in my account before I use the card and then pay it off when it's due. It is more convenient for online purchases and gas and I don't trust using a debit card for those things.

The important thing is to never charge more than you can pay.

[Smj29]

I agree with Diolla. I only use the cc when I know I have the cash to pay for an item. I too will not use my debit card for online purchases. Its so much easier to use the credit card company's purchase protection then the banks.