Comments on: 25 Rules to Grow Rich By #17: Credit Cards http://www.thesimpledollar.com/2006/12/05/25-rules-to-grow-rich-by-17-credit-cards/ Financial talk for the rest of us Sat, 16 Feb 2013 01:14:45 +0000 hourly 1 http://wordpress.org/?v=3.5.1 By: Kris http://www.thesimpledollar.com/2006/12/05/25-rules-to-grow-rich-by-17-credit-cards/#comment-702729 Kris Fri, 19 Jun 2009 18:54:03 +0000 http://www.thesimpledollar.com/2006/12/05/25-rules-to-grow-rich-by-17-credit-cards/#comment-702729 Usually your posts are good, but this one… not so much. Using credit cards is not a way to grow rich, PERIOD. Only people who think they can outsmart the credit companies think that and none of them are rich.

@ Bill, if you use your bank debit card as a credit card when paying ( as most people do ) then you have the same protections as a credit card.

In any case, the absolute best way to pay is with CASH. You don’t have to worry about overdraft protection, accidental charges, stolen number etc..

]]> By: Bill http://www.thesimpledollar.com/2006/12/05/25-rules-to-grow-rich-by-17-credit-cards/#comment-14447 Bill Sat, 31 Mar 2007 01:30:04 +0000 http://www.thesimpledollar.com/2006/12/05/25-rules-to-grow-rich-by-17-credit-cards/#comment-14447 Debit cards are convenient for the bank, not the customer.

There is very little consumer protection compared to a credit card (where your maximum liability for any unauthorized use is $50)

With a debit card, there are very short time limits

If you don’t report the unauthorized use of a debit card within only a few days, your liability increases substanitally.

In as little 2 months you can lose your entire account balance if you don’t report the unauthorized use to your financial institution.

Some issuers have adopted policies similar to credit cards, but those are strictly voluntary and could change at any time (the credit card limit is law)

I’m a former banker, and would never have a debit card.

If you use a debit card, I suggest linking it to a separate checking account and keeping the balance low enough that it wouldn’t be a catastrophe if you lost the entire balance in that account.

And for that account, be sure to disallow any automatic transfers from another account (_don’t_ get “overdraft protection”)

]]> By: Dannyboy http://www.thesimpledollar.com/2006/12/05/25-rules-to-grow-rich-by-17-credit-cards/#comment-7106 Dannyboy Wed, 21 Feb 2007 06:03:40 +0000 http://www.thesimpledollar.com/2006/12/05/25-rules-to-grow-rich-by-17-credit-cards/#comment-7106 Change credit cards whenever you can get a better rewards deal and use more than one if they cover different things. I currently have 3 cards. Chase Rewards (5% on gas, groceries and drugs (no longer being offered)), American Express/Costco (3% on restaurants, 2% on travel) America Express/Fidelity 1.5% deposited into a Fidelity 529 plan on everything else). These cards all pay CASH rewards — I avoid “thank you points” and airline rewards cards. I pay everything I possibly can with these cards and rarely use cash. BUT DON’T USE ANY CARDS IF YOU DON’T PAY THEM OFF IN FULL EVERY MONTH!

]]> By: KalluMama http://www.thesimpledollar.com/2006/12/05/25-rules-to-grow-rich-by-17-credit-cards/#comment-2635 KalluMama Fri, 05 Jan 2007 16:58:29 +0000 http://www.thesimpledollar.com/2006/12/05/25-rules-to-grow-rich-by-17-credit-cards/#comment-2635 I think using a credit card is great. I have been using my capital one CC for sometime now and I make sure to put all my expenses on one card. The only thing is i pay 100% every month and carry no balance.

Doing this gives me so many points. I have already earned enough points to get 2 ipods for free! If you have the discipline then there is no better way.

]]> By: J.D. @ Get Rich Slowly http://www.thesimpledollar.com/2006/12/05/25-rules-to-grow-rich-by-17-credit-cards/#comment-697 J.D. @ Get Rich Slowly Wed, 06 Dec 2006 00:58:34 +0000 http://www.thesimpledollar.com/2006/12/05/25-rules-to-grow-rich-by-17-credit-cards/#comment-697 I agree. The best credit card is no credit card. I know I’m in the minority, though.

]]> By: Jag Nogg http://www.thesimpledollar.com/2006/12/05/25-rules-to-grow-rich-by-17-credit-cards/#comment-679 Jag Nogg Tue, 05 Dec 2006 19:54:28 +0000 http://www.thesimpledollar.com/2006/12/05/25-rules-to-grow-rich-by-17-credit-cards/#comment-679 Using no credit card is actually the best way to go, in my opinion. You can use a Visa Debit card everywhere Visa is accepted.

It’s impossible to get into credit card debt if you use debit every time and it teaches you to live within your means.

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