topic Re: PAYING FOR EVERYTHING WITH CREDIT in Credit Cards

PAYING FOR EVERYTHING WITH CREDIT

Anonymous — Wed, 17 Dec 2014 04:22:33 GMT

Risk VS Reward. How many of us do this and why?

Re: PAYING FOR EVERYTHING WITH CREDIT

Anonymous — Wed, 17 Dec 2014 04:36:46 GMT

I literally put everything on my credit card and happily do. I just sit there and stare at the people who come in our store with these Chase Freedom's and Discover cards in their wallet and pay a $4 purchase with cash.. Tsk tsk.

I understand the "studies" show that you buy more goods whenever you pay with plastic, but it all boils down to self-control.

Re: PAYING FOR EVERYTHING WITH CREDIT

NRB525 — Wed, 17 Dec 2014 04:36:17 GMT

I used to run everything through a debit card, except for open balances on my credit cards that I've been paying down for years. Now that I have the balances down to a more manageable level, and cards freed up with no balances, I am able to spend daily items on the credit cards, and don't use my debit card anymore.

On those daily purchases, I am on a nearly PIF schedule, although I cycle the cards I use, so I use the float on any one card for as much of the two months as possible.

I've gotten a call from a bank in the past when I was using a credit card to build a balance on daily expenses, they wanted to see significant payments, so there is risk in using credit for daily expenses and building a balance that way. That is one data point that leads me to think banks don't mind charging, but they really want to be certain you are going to pay down what you charged.

If I do a BT to a card, I only use it for very limited "daily charges" if at all. Usually I'll let a BT card just keep paying down at a rapid rate for many months, no new charges. The banks should be more comfortable with that. I've had an experience in the past where I had a BT, started doing just a few new charges, and the bank did a CLD on the account, so again, they like to see balances declining and not increasing balances with new charges.

YMMV.

Re: PAYING FOR EVERYTHING WITH CREDIT

revvystoke — Wed, 17 Dec 2014 05:19:29 GMT

I use an app called Spense to help with staying on budget. I set it to a certain amount of money each pay period that I budget for. For me it doesn't matter what card I use, as long as I enter every purchase in the app, I know I will have the cash to pay for it in full, and keeps me on track.

Re: PAYING FOR EVERYTHING WITH CREDIT

FinStar — Wed, 17 Dec 2014 05:24:22 GMT

@Anonymous wrote:
I literally put everything on my credit card and happily do. I just sit there and stare at the people who come in our store with these Chase Freedom's and Discover cards in their wallet and pay a $4 purchase with cash.. Tsk tsk.

I understand the "studies" show that you buy more goods whenever you pay with plastic, but it all boils down to self-control.

Exactly. Plus, a variety of other features/benefits that are by default available by the card issuer associated with purchase/fraud liability protection, discounts/rewards (as applicable), float, primary CDW (where applicable by issuer/card type), etc., that are otherwise not provided if you paid cash or via debit card.

Re: PAYING FOR EVERYTHING WITH CREDIT

Dw4250 — Wed, 17 Dec 2014 06:05:20 GMT

I run everything through my cards except for my mortgage. I actually find charging everything very helpful in sticking to a budget as I can track in real time exactly how much I spend and adjust accordingly.

Cash just kinda goes....

Re: PAYING FOR EVERYTHING WITH CREDIT

One7 — Wed, 17 Dec 2014 06:10:47 GMT

Everything on credit, it actually upsets me I have to pay cash lol

Re: PAYING FOR EVERYTHING WITH CREDIT

chwebb1 — Wed, 17 Dec 2014 06:25:24 GMT

I personaly haven't used cash in many years (except for those extremely rare cases when I happen to have some), and use my credit cards for my daily spending. I find that it helps keep me honest (you can see how much you owe, and if you see that you're spending too much to pay in full, then cut back on spending), where with cash, there's no record of "I just spent $100", it just disappers. For me, I use my AMEX BCE and Discover It on a near daily basis, and I use my BoA Cash Rewards card around every other day (for when merchants don't take my beloved AMEX or Discover). It's also significantly more convenient than having to rember to go to the ATM to get cash. I just find it easier to pay 3-4 bills at the end of the month than to have to worry about losing cash.

Re: PAYING FOR EVERYTHING WITH CREDIT

Anonymous — Wed, 17 Dec 2014 06:34:20 GMT

Everything is bought w/credit. I was robbed once, and if I am again, they will get plastic only.

Re: PAYING FOR EVERYTHING WITH CREDIT

MT936 — Wed, 17 Dec 2014 06:39:38 GMT

I pay everything with credit as well i absolutely hate carrying cash around i think it's way more tempting to spend when you have cash in your wallet than credit cards because i just always want to empty my wallet of cash whenever i get it

Re: PAYING FOR EVERYTHING WITH CREDIT

Anonymous — Wed, 17 Dec 2014 07:04:23 GMT

I have found that I spend more per month when I use my cc's. Before I was using my debit card for everything. I mainly use the cards for the perks because I still pay in full, but I noticed myself making several payments per month. I only starting building my credit about a year ago so my limits are not high my highest limit is 1k for credit and 4k for retail. Found myself showing payments of over 3k on my cc with a limit of 1k. I have learned to only use cards that will give me something back if not I would just use debit. I benefit from the utility, grocery, and gas perks of each card.

Re: PAYING FOR EVERYTHING WITH CREDIT

IamB2 — Wed, 17 Dec 2014 07:10:22 GMT

@Anonymous wrote:
Risk VS Reward. How many of us do this and why?

I have not paid on my debit card or cash since April of this year (when I was approved for the first rewards card - Barclay's Rewards Mastercard). I am going to spend the money anyways, I am going to show usage, and earn rewards points

Re: PAYING FOR EVERYTHING WITH CREDIT

lg8302ch — Wed, 17 Dec 2014 07:44:14 GMT

I would do this if I could but I just spent 2 months in Asia (Cambodia = 99% no credit cards - CASH ONLY policy) and (Vietnam = maybe 20% CC acceptance with +3% credit card fees) and yes I definitely preferred to pay the 3% CC fees than struggling with cash especially with their currency ... you are a millionare if you need to go to the ATM and most ATMs allow max of 2'000'000 VND withdrawals and this is less than 100USD.... I think Fidelity will hate me for this and I wonder if they will stop refunding my ATM fees. Hopefully they will not close my account for the cost I have generated

Re: PAYING FOR EVERYTHING WITH CREDIT

Anonymous — Wed, 17 Dec 2014 08:01:03 GMT

I pay for whatever I can with a CC. I just don't like having to deal with cash/change. Plus, aside from the rewards, I know exactly where I spend money with a CC.

Re: PAYING FOR EVERYTHING WITH CREDIT

Anonymous — Wed, 17 Dec 2014 08:31:57 GMT

TBH, I don't feel bad about using my credit card at the gas pump in sake of the gas station owners solely due to their upcharge for credit card users (of course because of merchant fees). Example: I went to the Shell pump today and saw this: Regular/Cash - $2.49 Regular/Credit - $2.59

It's funny because our credit card rewards we receive back dominates the cost of the $0.10 extra charge per gallon.

Re: PAYING FOR EVERYTHING WITH CREDIT

Anonymous — Wed, 17 Dec 2014 09:18:07 GMT

No risk for me paying with plastic as just about everything I spend during the day is a write off for the business and is easier to track then cash, having to keep receipts for the IRS and such.

The reward is the cash back from different cards while having the bookeeping done for me every month.

I still keep cash in my pocket for those times that I might be able to 'dicker' with someone for a better deal, but cash is no longer king for me.

Re: PAYING FOR EVERYTHING WITH CREDIT

Anonymous — Wed, 17 Dec 2014 11:37:20 GMT

I generally pay for everything with plastic. Cash is just too hard to keep track of, whereas I think about it more with a credit card (I know that doesn't really make sense, but it's what happens). The only times I pay cash are (1) No CC accepted, or (2) If I'm at a small business AND spending less than $10. However, both of those events are rare. I have a couple utilities that don't accept CCs or charge >2% fees, so those tend to get checks/auto bill pays

Re: PAYING FOR EVERYTHING WITH CREDIT

Membersince2013 — Wed, 17 Dec 2014 11:58:45 GMT

I put $1 charges on my card. $0.50 charges...Whatever it is, goes on my PRG. People probably think i'm broke, but those little charges add up.

Re: PAYING FOR EVERYTHING WITH CREDIT

Anonymous — Wed, 17 Dec 2014 14:25:03 GMT

Agreed - everything goes on my credit card, even if it is just a few cents. I cannot stand to carry cash and only use my debit card to deposit my checks from work (no direct deposit ) It helps me stay on track. Bills go on one card and I rotate daily spending on the card that maximizes the most rewards or CB.

Re: PAYING FOR EVERYTHING WITH CREDIT

sunkissed — Wed, 17 Dec 2014 14:31:40 GMT

@Anonymous wrote:
Agreed - everything goes on my credit card, even if it is just a few cents. I cannot stand to carry cash and only use my debit card to deposit my checks from work (no direct deposit ) It helps me stay on track. Bills go on one card and I rotate daily spending on the card that maximizes the most rewards or CB.

No direct deposit?!?!?! That's archaic! So sorry