My wife's aversion to debt in any form has kept our family from
being in this danger zone. I feel sorry for everyone else who is up
to their eyeballs in debt.
@phoneboy: And she'd be
right. :) When I finally got all my debt paid off years ago, I
swore never again. If I can't pay for it in cash (metaphorically
speaking, usually its my ATM/Debit card), I don't buy it. The only
thing I'd consider fair to take on as debt these days is a home
mortgage, since the mortgage cost and rent costs are
comparable.
I've always been very careful, as well. I keep 2 credit cards,
one of which is only used for small things and is really only kept
cause it's my oldest one. The other I get points on, and I use it
just like a debit card - then at the end of the month, I simply
transfer the funds from my checking account to my credit card and
wa-la, fresh start for the next month. It builds phenomenal credit,
and it flew me to California and back a few years ago.
I do keep a Best Buy credit card, but only use
it for my new laptop every other year, and I insist that they do
the 18-months no interest (the store guy tried to tell me it wasn't
possible last year, so I called the 1-800 number right in front of
him, and handed him the phone.). Then I pay it off before the
interest hits.
5 comments so far
yep, very interesting, nice spot
1 month, 4 weeks ago by jimh.
My wife's aversion to debt in any form has kept our family from being in this danger zone. I feel sorry for everyone else who is up to their eyeballs in debt.
1 month, 4 weeks ago by phoneboy.
@phoneboy: And she'd be right. :) When I finally got all my debt paid off years ago, I swore never again. If I can't pay for it in cash (metaphorically speaking, usually its my ATM/Debit card), I don't buy it. The only thing I'd consider fair to take on as debt these days is a home mortgage, since the mortgage cost and rent costs are comparable.
1 month, 4 weeks ago by CAW.
I've always been very careful, as well. I keep 2 credit cards, one of which is only used for small things and is really only kept cause it's my oldest one. The other I get points on, and I use it just like a debit card - then at the end of the month, I simply transfer the funds from my checking account to my credit card and wa-la, fresh start for the next month. It builds phenomenal credit, and it flew me to California and back a few years ago.
I do keep a Best Buy credit card, but only use it for my new laptop every other year, and I insist that they do the 18-months no interest (the store guy tried to tell me it wasn't possible last year, so I called the 1-800 number right in front of him, and handed him the phone.). Then I pay it off before the interest hits.
1 month, 4 weeks ago by rcadden.
Even though they are paid off at the end of the month, credit cards are used for major or online purchases. You get extra protection that way.
1 month, 4 weeks ago by phoneboy.