Comments on: Pay for Car Repairs with a Credit Card (45/365)

By: Dana

Dana — Fri, 17 Feb 2012 20:33:27 +0000

I always use my credit card for car repair bills. Thankfully I’ve never needed to use the fraud protection but it’s nice to know it’s there if I need it.

By: ChrisD

ChrisD — Fri, 17 Feb 2012 09:48:43 +0000

Yes the credit consumer act in the UK gives you more protection than you get for a cash purchase.
Barclays used to do a series of advertisements about how they offered all this free insurance (i.e. cashback if there is a problem with the purchase). I thought this was a special deal they had organised on our behalf to sell their card. Turns out it is the law and applies to every form of credit, even non credit card based credit. (Pointing out the obvious is still a clever advertising tactic if it is not, in fact, obvious).

By: todo es bien

todo es bien — Fri, 17 Feb 2012 02:40:35 +0000

#18 Valleycat – I dont care how much the charge the merchant. That is the merchants decision. They charge all credit card users the same amount. It does not raise the price I pay at the store, as I only use it where I favor the price, I am never required to buy from any store. And, as I mention, I can use my money for month interest free, whereas you pay at time of sale. AND I get rebates, buyer discounts, price protection, and theft protection. And hug rebate whenever I want it. If you think paying cash is better go for it. But, I have thousands of dollars in my pocket at end of year buying this way, and you have none. You do the math.

By: Debbie M

Debbie M — Thu, 16 Feb 2012 18:08:05 +0000

I have used this protection once, for a Spanish class that turned out not to exist. It’s still a pain dealing with the problem, but totally worth it.

I usually use credit cards for everything for the rewards, but, although I am not good at bargaining, I do ask, for large purchases, “is there a cash discount?” Generally there’s no discount, but occasionally, especially for car repairs, there’s a big cash discount. In that case, I pay with cash. But the point is well taken that using the card may be a better idea with unknown or out-of-town merchants.

By: valleycat1

valleycat1 — Thu, 16 Feb 2012 16:37:10 +0000

#15 – Amex’s fees to the retailers that accept their card are the highest (which is why many places don’t accept Amex) which raises the prices you pay at the store. And go back & re-read my comment #11. They are not giving you money.

By: Tom

Tom — Thu, 16 Feb 2012 12:29:44 +0000

“Having a quality mechanic doesn’t make a car immune from failures.”
Agreed. I have a mechanic I like very much, but once your car gets old enough, things break down. We basically had to get rid of our 17 year old Taurus station wagon because our mechanic couldn’t get some obscure failed parts, but I trust he could have fixed it if he did.

By: todo es bien

todo es bien — Thu, 16 Feb 2012 04:07:18 +0000

#10 JOSH, I am going to let you in on my secrets. Hope too many people dont rush the gate and get this card cancelled. For the grocery card, you want the “American Express Blue Cash PREFERRED” (yes preferred… they have a free one similarly named, but this is the one that charges $75 a year. 6% back on groceries.
I have a version of Discover that gives 5% on gas, up to $100 a month, and a Citi that gives 5% on gas, but only every other quarter.
The above mentioned Amex also gives 3% back on gas, so that is worst case scenario.
Both the Citi and the Amex give 1% back on any purchase. Actually, more than one of them give 2% on travel. As I mentioned in my first post, the AMEX card is $75 a year, but on that card alone I get back about $2000.
And check this out!!! If you buy from a store with the AMEX card you get automatic 90 day return privileges, THEFT INSURANCE, and extended warranty. No, I am not kidding. Frankly, if you can qualify for this card (not hard) you would be crazy not to get it. So, yes, that kind of card does exist. And yes, you are welcome. Now, go forth and prosper! Peace.

By: valleycat1

valleycat1 — Thu, 16 Feb 2012 02:04:13 +0000

The figure AnnJo gives in #12 is a minimum spending amount. To get less than 6% of my own money returned to me eventually is not worth the hassle of keeping tabs on which CC I use for a specific type of purchase.

I do agree with Trent & the other commenters that making major purchases on a CC but then paying it off as quickly as possible does offer you some protection.

By: krantcents

krantcents — Thu, 16 Feb 2012 01:46:07 +0000

Most people forget about the leverage of the credit card and how you can settle disputes.

By: AnnJo

AnnJo — Wed, 15 Feb 2012 23:53:12 +0000

@8, todo esta bien, if you’re getting $2700 a year back, you must be spending $45,000 a year on groceries or even more if any of that spending is on gas and department stores. Wow!!

I’d never spend anywhere near that kind of money on such items, but those rewards are enough better than the current cards I have that I may have to take the hit to my credit score and get it. I don’t spend much at gas or department stores, but an extra 5% off on groceries over my current rewards would be about $200 a year.

By: valleycat1

valleycat1 — Wed, 15 Feb 2012 23:28:15 +0000

todo es bien #8 – using the percentages you gave, we’d get rebates totalling maybe $500 a year. And FYI, it isn’t free money, it’s money you’re letting the CC hold for you (which they invest & make some off of for the time they hold it) and then give it back. I rarely buy something on sale because it’s marked down 5 or 6%. You aren’t MAKING any money by using these cards.

By: josh

josh — Wed, 15 Feb 2012 23:23:29 +0000

@#8 todo es bien

There is a PenFed card that gives 5% back on gas, which is only available for a very limited market. Is that the one you have? Also, I find it pretty hard to believe you have a card that gives 6% back on groceries without any sort of limitations. That type of card just doesn’t exist.

By: todo es bien

todo es bien — Wed, 15 Feb 2012 23:12:25 +0000

“I’m surprised a place that gives shoddy brake jobs would tow for free”

If they gave good brake jobs they would not need to tow for free. Getting a free tow is the oldest trick in the book for sketchy auto shops to get customers, as they know once you are in their shop with a broken car the chances of you moving your car decrease massively, regards of what happens subsequently. Just because they offer free towing does not mean they are crooked, but whenever someone gives away something for free that has genuine market value you would do well to assume that you need to look more deeply into the motivation.

By: todo es bien

todo es bien — Wed, 15 Feb 2012 23:08:52 +0000

#3, Vanessa. That is factually incorrect. I know, as American Express just handled something for me 2 weeks ago and the merchant was not involved. I got my refund direct from Amex in less than 24 hours and they did not contact the vendor.

IF, you can handle credit cards, and that is a BIG if…
I get SIX percent back on all my groceries, FIVE PERCENT back on all of my gasoline, THREE percent back on all my restaurants, TWO percent back on travel, and ONE percent back on anything else. And I don’t pay tax on any of that… So in essence I get an extra $2700 + – dollars or so TAX free every year. All of those cards are free except one, which costs $75. In addition I get all kinds of extended warranty, loss protection, vendor discounts, auto rental protection… If you know how to work it AND you have the discipline and good fortune to be able to not carry a balance it is a LOT of free money. They are not for everybody.

By: jim

jim — Wed, 15 Feb 2012 22:01:23 +0000

“I’m surprised a place that gives shoddy brake jobs would tow for free”

I think it was Visa that paid for the tow and additional repairs to make right the bad repair? I’m not clear on that but thats how I interpreted it. Either Visa paid or the initial shop had to then tow and repair again for free after the complaint. I’m not sure…

“if you had a quality mechanic at home, you wouldn’t have had the need for the emergency brake job”

Having a quality mechanic doesn’t make a car immune from failures.

By: Gretchen

Gretchen — Wed, 15 Feb 2012 21:53:14 +0000

Editing a photographer should know how to do.

I’m surprised a place that gives shoddy brake jobs would tow for free. Although if you had a quality mechanic at home, you wouldn’t have had the need for the emergency brake job in the first place.

By: kc

kc — Wed, 15 Feb 2012 21:31:24 +0000

A tiny bit of editing could have jumbled or removed the numbers on the credit card

By: lurker carl

lurker carl — Wed, 15 Feb 2012 21:04:35 +0000

Use a credit card that offers rewards like cash rebates or airline miles. May as well accumulate perks with the your expenditures.

If Trent had used a certified mechanic to inspect his truck on a regular basis, like during routine oil changes, the out-of-town brake job would have been avoided. Automobiles shouldn’t be treated like kitchen appliances, preemptive actions can prevent breakdowns.

By: Vanessa

Vanessa — Wed, 15 Feb 2012 21:00:43 +0000

Credit card companies will always want you to attempt to settle the dispute with the merchant before they get involved. It is only fair to give the merchant a chance to make things right before you complain. I don’t see what calling VISA first accomplished.

By: Other Jonathan

Other Jonathan — Wed, 15 Feb 2012 20:50:15 +0000

I bought plane tickets for my honeymoon with my CC. 4 months later, and 2 months before the wedding, the airline declared bankruptcy and shut down operations. I had to re-book with another company for about $400 more, but I got back the full cost of my original tickets from the credit card company, no questions asked. They may or may not have ever gotten any money back from the airline through bankruptcy procedures.