Did anybody here retire with no credit cards? How is it working out so far for you?

[bobandsherry]

Heck, I have picked up some new cards just for the reward points. Charge everything I can for reward points. Got free flights this year, companion pass on Southwest, some pretty big discounts and cash back. Any balances are paid off every month. No benefit to paying cash.

 

[audreyh1]

I love my credit cards!!!

And I pay them all off every month!

 

[SheitlQueen]

Why?

That could have a lot to do with the answers you get.

-ERD50

Maybe they are a Dave Ramsey fan.

 

[Bir48die]

To me the alternative is to carry wads of cash which I hate to do. That is more tempting to me than have CC's in my wallet. Per many of the other responses there are just too many benefits to them. I'm in the group of paying them off twice a month.

 

[scrabbler1]

I don't use my credit card anywhere nearly as often as many of you so. I make a few purchases per month, most between $30 and $100, mostly at the supermarket where I can buy as much as I want (and stockpile important items on sale) without worrying about how much cash I have with me. I have a cashback card though not a great one (BofA), and I earn maybe $50 a year. And I pay the balances in full every month.


I haven't flown in 15 years and rented a car once in the last 20 years, but those transactions were routine thanks to a CC. I do buy some important stuff on line so the CC is handy there.


I could use my debit card instead, but the security risk isn't worth it. Haven't used it that way (I do use it at ATMs) in over 10 years.


So, for me CC is a tool, a convenience. I don't go crazy using it, but knowing it's there is very comforting.

 

[ShokWaveRider]

We could not survive without CCs. We buy everything, even cars (where possible) on credit cards. Just pay at the end of the month. Saying that we only have 3 cards, one we do not us and is a "spare". One is a cash back the other is a Miles card to keep our FF points from expiring.

 

[kgtest]

I didn't have a credit card forever before I built credit. Likely the reason DW's credit 'score' is higher than mine. She has established credit about 3 years longer than mine. Both in 800s so no worries but I would never drop the benefits of some of these credit cards. I roll around with all of the good ones...
Saphire Preferred , Ink Bold, Chase Freedom, Southwest RR, Amazon, Delta Gold , Delta Platinum, BoFA Cash back, DiscoverIT, World elite mastercard, Hilton Honors...

I feel well protected with these available to me. The 200k credit line is just an "in case' perk.

 

[pacergal]

I don't carry any cc, they are kept in a safe at home, and we use them primarily for travel or big ticket items.
I prefer our debit card or cash, it has never been compromised in all of the years I have had it. Our credit cards---compromised more frequently than I would like

 

[kgtest]

There are 24x a year my checking account is vulnerable in terms of core deposit theft.

Had my debit card skimmed one day with a combo of skimmer and video camera capturing my hand typing pin

Lesson learned but bank limits my ATM withdrawal to $300 a day. Most they would get away with is $300 and they would need to hack and try to withdraw one of those 24 days othereise they dont get a dime. I have a 100 line of credit that they cant access but I can...so worse case scenario they hack me take the $300 on one of those 24 days it's at that $ amount and then I need to use my LOC quick to get $100. Which $100 covers most of my emergency cash needs. Wouldnt get me a plane ticket home but it would get a cab ride to the nearest bank.

 

[PatrickA5]

According to my spreadsheet, between DW and I we've had well over 100 credit cards over the last 15 years and have saved somewhere in excess of $75K on our vacations during that time. This year alone, we've saved $8K on air/hotels/rentals using points (3 trips). Things have slowed down playing the CC game over the last few years, but we still put everything we possibly can on our CC's.

At some point we'll be out of the travel business at which time I'll just find a good cash back card.

 

[FANOFJESUS]

Maybe they are a Dave Ramsey fan.

You guessed it.

 

[brett]

The opposite for us. We have added some credit cards, dropped others. All depends on the offerings.

Cannot imagine not having a credit card. If only for emergencies when you cannot get to the bank.

We never use our debit cards for retail purchases.

 

[Major Tom]

The best song lyrics are often the ones that are short on detail, and can be interpreted in a myriad of different ways, depending on the individual listener. Forum posts are not exactly analogous but, if you want to generate a lot of responses, a tried and tested method is to post a simple statement, with little or no corroborating information.

"I am thinking of getting rid of my credit cards."

"I'm planning on withdrawing 8% every year."

"Health insurance is expensive. I don't get sick, so I'm not buying it."

Perhaps it's just me, but I think it's a little disrespectful to the kind, helpful, and intelligent members of this forum, to post such a simple statement with no background information whatsoever. Why are you thinking of giving up your CC's? Is it that you cannot trust yourself with them? Do you have a distaste for the whole concept? Perhaps your lifestyle is such, that you are already using cash only for all your purchases and have a big enough checking account balance, that you use a debit card for those times when a card is necessary? What is it?

I'm definitely not suggesting that the OP is a troll - just that he/she is a person of few words. I have often found it quite mind-boggling that it's possible to create a very active thread by posting one sentence, with seemingly little effort or thought put into the post.

Time to finish off my first coffee of the morning. Perhaps I'm just being grumpy.

 

[SecondCor521]

You guessed it.

I think I understand your situation.

I agree with perhaps half of what he says, and I like the guy. Many here do not, so be aware of that.

I've been completely debt free in the past, but lately I've played with snakes as a side gig. So far I have not been bitten badly, and like everyone else I think I'm more talented of a snake charmer than the average bear.

Many of the statements made in this thread are inaccurate with the advent of debit Master Card and debit Visa, as you doubtless know. I don't know how to assess the security risks of those products, except to say that I've never had debit card issues but have had several credit card issues.

Dave's right in that my fortune was not amassed via credit card reward points, but there are several games one can play that make it more profitable than he thinks. But again, snakes.

HTH.

 

[Lawrencewendall]

According to my spreadsheet, between DW and I we've had well over 100 credit cards over the last 15 years and have saved somewhere in excess of $75K on our vacations during that time. This year alone, we've saved $8K on air/hotels/rentals using points (3 trips). Things have slowed down playing the CC game over the last few years, but we still put everything we possibly can on our CC's.

At some point we'll be out of the travel business at which time I'll just find a good cash back card.

+1

 

[bobandsherry]

Another perk of using credit card, many offer purchase protection. Citi cards extend warranty by two years in addition to manufacturers warranty. So really nice to buy a TV from Costco, has 2 year warranty from Costco/Manufacturer, then 2 more years through Citi. 4 years total.

Also, card offers 60 breakage coverage. Worked out nice when daughter had her new iPhone slip out from hoodie pocket, cracked back of the phone. Credit card covered $350 for repair.

 

[JustCurious]

Many of the statements made in this thread are inaccurate with the advent of debit Master Card and debit Visa, as you doubtless know. I don't know how to assess the security risks of those products, except to say that I've never had debit card issues but have had several credit card issues.

You are lucky if you have not had debit card security issues, many people have. There is a distinct difference between asking a bank to refund YOUR MONEY that was stolen, versus disputing a credit card charge on a credit card that is not your money...it is credit advanced by the credit card issuer. Those two things are so distinctly different they are not even close to being the same.

 

[Lawrencewendall]

Just cashed in my $50 for the month of cash back. That's like once a month free Chinese delivery.

 

[jkern]

If you pay off your CC balance each month, what's the purpose of cancelling your CC just to use a Debit Card? They are both just a plastic card and using them is almost identical.

 

[Dtail]

The cash back can add up. I pay for our charges and my DB who lives with us, plus some of my parents' bills.
$2,700 cash back in 2019 so far.

 

[gwraigty]

The best song lyrics are often the ones that are short on detail, and can be interpreted in a myriad of different ways, depending on the individual listener. Forum posts are not exactly analogous but, if you want to generate a lot of responses, a tried and tested method is to post a simple statement, with little or no corroborating information.

"I am thinking of getting rid of my credit cards."

"I'm planning on withdrawing 8% every year."

"Health insurance is expensive. I don't get sick, so I'm not buying it."

Perhaps it's just me, but I think it's a little disrespectful to the kind, helpful, and intelligent members of this forum, to post such a simple statement with no background information whatsoever. Why are you thinking of giving up your CC's? Is it that you cannot trust yourself with them? Do you have a distaste for the whole concept? Perhaps your lifestyle is such, that you are already using cash only for all your purchases and have a big enough checking account balance, that you use a debit card for those times when a card is necessary? What is it?

I'm definitely not suggesting that the OP is a troll - just that he/she is a person of few words. I have often found it quite mind-boggling that it's possible to create a very active thread by posting one sentence, with seemingly little effort or thought put into the post.

Time to finish off my first coffee of the morning. Perhaps I'm just being grumpy.

I have to agree. Especially since the only response from the OP was of a similar nature. Maybe opaque statements should generate a mere "OK" in response. No, you're not being grumpy, IMO.

 

[street]

As much as I dislike CC I would no way give it up. Just like many pointed out there is a time a place for them. I still carry cash and pay cash for many things under 50 bucks.

 

[HI Bill]

The OP can give up his/her cards at will, but here are my reasons for not doing so:

1) Need a CC, not a debit card to rent a car, typically
2) Consumer protections are included with CCs, not with debit cards
3) No foreign transaction fees with many CCs
4) Rewards: % cash back, miles, free checked bags, etc. I pay $200/year for two cards, but receive 50% off companion airline tickets, first class lounge passes, double airline miles, and cash back on the various cards. Proabably on the order of $1,000+ per year.
5) Free money lending for up to 28 days, just pay in full.
6) Emergency funds not tied to a house

 

[gwraigty]

As much as I dislike CC I would no way give it up. Just like many pointed out there is a time a place for them. I still carry cash and pay cash for many things under 50 bucks.

I must confess that I pulled a dollar out of my wallet today. It was like an out-of-body experience. It felt unreal.

I got a $10 Dunkin Donuts as an unexpected thank you gift from a contractor for leaving them a good review on Google. My husband and I went for breakfast this morning. The total was $10.77. I handed over the gift card. Then I took out my Discover card because this quarter the 5% category is restaurants. Then I thought...

I blew the dust off the bill and handed it over. Then she gave me back some strange round disks...

 

[ERD50]

Originally Posted by ERD50 View Post
Why?

That could have a lot to do with the answers you get.

-ERD50

Maybe they are a Dave Ramsey fan.

You guessed it.

Which just leads to the next question: Why are you a Dave Ramsey fan?

I think I understand your situation.

I agree with perhaps half of what he says, and I like the guy. Many here do not, so be aware of that.
....

Dave's right in that my fortune was not amassed via credit card reward points, but there are several games one can play that make it more profitable than he thinks. But again, snakes.

HTH.

Earlier, I would have just said I don't agree with many of his views, and it wouldn't be personal, but the more I was encouraged (on another forum) to look into him (by a fan), the more negative things I saw, and I finally came to the conclusion that I don't like him. Which is kinda sad, but true.

And your example was one of his that really bugged me. So what if no one manged to amass a fortune by using credit card rewards? That is disingenuous on his part. We add to our fortunes in many small ways, and maybe a few large ones. You don't discount a savings just because it may be small, especially when the effort is so low, or even negative effort when you consider all the convenience of not going to the bank/ATM, the float, etc. So I shouldn't go to the gas station in town with the lowest price, or use coupons, because won't make me a fortune? He just twists things to defend his stance, it's just really not helpful to the people he claims to be helping. And that's not the only thing, it just kept building the more I heard from him, it really gets quite hypocritical.

Not that he doesn't give the kind of basic and "tough love" support that some people need when they are at rock bottom, but instead of the "teach a man to fish" approach, he just seems to keep treating everyone like a child. Some of his advice is downright hurtful to some.

Color me "not a fan"!

-ERD50