Current Events > Are millenials who use debit over credit cards low information consumers?

(+) Yeah! (+)

kg88222 posted...

There are tons of hidden fees though.

They charge you an annual fee just for having the card regardless. They also charge you for other things.

There are no hidden fees in my card, everything is explicitly stated. Also no annual fee.

You know how much I've paid in credit card fees since I got my first card 14 years ago?

Zero.
---

What you are talking about are finance charges. They will charge you a finance charge if you carry a balance. The apr accrues differently for each card.

kg88222 posted...

What you are talking about are finance charges. They will charge you a finance charge if you carry a balance. The apr accrues differently for each card.

Solution: pay off your balance every month

Why would the bank want to keep me as a customer if they're not making money off me?

Simple, merchants eat the cost of accepting credit card transactions.
---

kg88222 posted...

What you are talking about are finance charges. They will charge you a finance charge if you carry a balance. The apr accrues differently for each card.

Scenario:
If a card has 0 annual fees, I charge $500 on my credit card on things on May 2nd.
CC payment due date is May 31st.
I pay $500 towards my credit card on May 30th.

What specific fees would I pay

kg88222 posted...

What you are talking about are finance charges. They will charge you a finance charge if you carry a balance. The apr accrues differently for each card.

....we have answerd at least 3-5 times in this topic directly to this criticism. Why do you keep bringing it up?
---

kg88222 posted...

What you are talking about are finance charges. They will charge you a finance charge if you carry a balance. The apr accrues differently for each card.

The APR accrues differently for each card because the APR is different for each card. Except if you pay your balance off every month, then you don't pay any APR.

A 15% APR on a card that has a 0 balance means you pay 0

a 10% APR on a card that has a 0 balance means you pay 0.

A 50% APR on a card that has a 0 balance means you pay 0.

A 255^10x9897 APR on a card that has a 0 balance means you pay 0.
---

People who are afraid of credit cards recognize they lack self control or are just uneducated about their benefits (or both).

We pay off our balance every month and have top tier scores. Weve spent years building up our credit to get there. We got the best interest rates on our mortgage and car leases. We also benefit a ton from the rewards. We like hotel rewards because we like to travel. Were spending a week in the Caribbeans at a great hotel (saving over $2000) for free. We spent 2 weeks in free hotels in Hawaii for our honeymoon years ago. And we pay no interest because we pay our balance off. If youre responsible, theres no downside.

If youre responsible, theres no downside.

Yup. I saved over $1000 in flight costs on my European trip thanks to my card. I also have paid 0 interest over my entire time owning a card

The point is the same though. A debit card you are just doing the same thing and payng out of your own funds. There is no risk of going past a certain point on a debit card.

Credit cards there is a time limit if you don't pay. If you are paying with debit you have the money and there is no time limit. There are also no hidden fees on purchases.

kg88222 posted...

The point is the same though. A debit card you are just doing the same thing and payng out of your own funds. There is no risk of going past a certain point on a debit card.

Nope. Credit card gives you points for purchases you would have made anyway and better fraud protection

kg88222 posted...

The point is the same though.

false
---

What are these magical hidden fees he keeps referencing
---

THere really is very little advantage to having a credit card unless you just like to pay your bill at the end of the month and give yourself another bill to pay. There are no hidden fees on certain transactions etc.

There is no annual fee. There is none of that.

kg88222 posted...

THere really is very little advantage to having a credit card

CapnMuffin posted...

- Increased security (bank side and agency side).
- Fraudulent charges are a degree removed from your actual liquid cash.
- Non PIN disputes are also more quickly resolved than PIN disputes.
- Rewards such as points, cash back, perks, etc.
- Building credit in the revolving category.
- You can even request an ATM PIN for your credit card and not have to also carry your debit card around if you need cash.
- The ability to purchase things such as rental cars, hotel rooms, etc.
- The ability to make emergency beyond your means purchases when needed.
- The ability to make purchases of large amounts when needed. (Debit cards have small daily limits and Ive seen customers get screwed because they suddenly needed to make a large transaction.)
- Ease of budgeting and taxes. Credit cards usually have annual or monthly reports you can access. You can even sort transactions by merchant type (such as medical) when doing your taxes or other budgeting tasks.

---

Tell me how many people who have a credit card really pay it off every month too. You have to do that. You don't with a debit card. It gives you a grace period sure. That's nice.

THere really is very little advantage to having a credit card unless you just like to pay your bill at the end of the month and give yourself another bill to pay. There are no hidden fees on certain transactions etc.

It can be set automatically to pay off and its been stated many times over and over the benefits you get for using the CC over Debit. Seems my topic title is 100% correct

kg88222 posted...

The point is the same though. A debit card you are just doing the same thing and payng out of your own funds. There is no risk of going past a certain point on a debit card.

Credit cards there is a time limit if you don't pay. If you are paying with debit you have the money and there is no time limit. There are also no hidden fees on purchases.

1) I can tell you from 1st hand experience that there is risk of going past a certain point with a debit card.
- overdraft fees are a thing

2) The point isn't the same. Credit cards give you much better security on purchases. You can pretty much use a credit card just like you would a debit card just by going about your normal day and buying what you would normally buy, then paying the balance off as soon as it shows up a couple days later.

3) You still have yet to mention what these "hidden fees on purchases" are. Again, sounds like you're making stuff up.
---

kg88222 posted...

The point is the same though. A debit card you are just doing the same thing and payng out of your own funds. There is no risk of going past a certain point on a debit card.

Credit cards there is a time limit if you don't pay. If you are paying with debit you have the money and there is no time limit. There are also no hidden fees on purchases.

You literally get money by using credit smartly. Either in rewards or savings by getting lower interest rates. You dont get that by using debit cards.

Also, you apparently have not heard of NSFs or overdraft charges.

kg88222 posted...

Tell me how many people who have a credit card really pay it off every month too.

I do. I just budget accordingly and don't treat it as free money.
---

A debit card is the same thing though. If you handle things responsibly and just spend the money you have what's the difference.

I'm 31 and have never used a credit card. Those things are a scam
---

kg88222 posted...

Tell me how many people who have a credit card really pay it off every month too. You have to do that. You don't with a debit card.

I have 8 credit cards. One of them is the card I use with daily purchases. The others are just kept at 0 balance all the time. I pay my credit card balance off every month without fail.

Using a credit card and paying it off immediately isn't much different than using a debit card other than the fact that you get better security and rewards points with the credit card. And you're building your credit score with a credit card.

Having good credit makes life easier.
---

kg88222 posted...

A debit card is the same thing though.

false
---

kg88222 posted...

A debit card is the same thing though.

No it isn't. You aren't building credit with a debit card, and you don't have very good protection against fraudulent purchases with a debit card. You also don't get rewards points for using a debit card.
---

kg88222 posted...

If you handle things responsibly and just spend the money you have what's the difference.

The differences have been mentioned multiple times.

1) Better security against fraudulent purchases
2) Rewards points
3) Building credit. Having good credit makes life easier.
---

HylianFox posted...

I'm 31 and have never used a credit card. Those things are a scam

false
---

my philosophy is "don't spend money you don't have"

simple
---

HylianFox posted...

my philosophy is "don't spend money you don't have"

simple

And with a little self control you can easily avoid doing that with a CC >_>
---

I've had credit and debit cards. I really don't think there is much of an advantage to having a credit card. You either have money or you don't.

HylianFox posted...

my philosophy is "don't spend money you don't have"

simple

you can still abide by that and use a credit card and reap its benefits
---

kg88222 posted...

I really don't think

yeah, I noticed
---

Bloodychess posted...

Anyone can use your credit card

Your debit card has a pin number

Here you have to use a pin as well.
---

kg88222 posted...

I've had credit and debit cards. I really don't think there is much of an advantage to having a credit card. You either have money or you don't.

We've already spelled out the advantages to you multiple times.
---

kg88222 posted...

I've had credit and debit cards. I really don't think there is much of an advantage to having a credit card. You either have money or you don't.

Does trolling make you happy about insignificant things like credit card? Is there nothing else more productive youd rather do?

Either way the bank is going to screw you if you don't have money. Credit cards will screw you worse and reward you slightly more.

kg88222 posted...

Either way the bank is going to screw you if you don't have money.

Water is wet
---

Credit cards can really screw you bad too. Like much worse and they just reward you slightly more.

kg88222 posted...

Credit cards can really screw you bad too

how so
---

kg88222 posted...

Credit cards can really screw you bad too.

If you use them poorly, like a lot of things in life.
---

Do you like playing with fire? Choose a credit card. Debit cards are much safer. Playing with fire is not overly smart.

kg88222 posted...

Either way the bank is going to screw you if you don't have money. Credit cards will screw you worse and reward you slightly more.

Exactly.

I use my credit card properly; never pay any interest, but I have 'made' $50+ so far this year from it.
---

kg88222 posted...

Debit cards are much safer.

why
---

chill02 posted...

kg88222 posted...

Debit cards are much safer.

why

They arent. If someone 'steals' your information, the money is gone. If someone steals your credit card, you can dispute it.
---

kg88222 posted...

Credit cards can really screw you bad too. Like much worse and they just reward you slightly more.

I've been in all 3 boats.

1) I've had just a debit card with no credit card.
2) I've had terrible credit due to terrible financial decisions made with a credit card.
3) I currently have great credit due to years of good decision making with credit cards, and I currently have 8 credit cards and 1 debit card.

Option 3 = the best. I have great protection against fraudulent purchases, lots of rewards points on my Capital One Venture card (the rewards I get far surpass the cost of the annual fee), and I have great credit which makes life easier than option 2 and option 1.
---

kg88222 posted...

Do you like playing with fire? Choose a credit card. Debit cards are much safer. Playing with fire is not overly smart.

Credit cards are actually safer than debit cards. If you have a fraudulent purchase on your debit card, you have to fight to get your own money back. If you have a fraudulent purchase on a credit card, the credit card company forces the vendor to prove the purchase was valid.
---

Credit cards are not a smart way to make money. They are a bad investment. If you want to make money. Either work or start your own business and invest your money wisely. Credit cards are not a good way to do that.

kg88222 posted...

Credit cards are not a smart way to make money. They are a bad investment. If you want to make money. Either work or start your own business and invest your money wisely. Credit cards are not a good way to do that.

https://engagingplaces.files.wordpress.com/2016/08/goal-posts-moving.jpg
---

kg88222 posted...

Credit cards are not a smart way to make money. They are a bad investment. If you want to make money. Either work or start your own business and invest your money wisely. Credit cards are not a good way to do that.

Credit cards aren't an investment. They're a spending tool. A better spending tool than debit cards are.

wtf are you even talking about
---

CableZL posted...

kg88222 posted...

Credit cards are not a smart way to make money. They are a bad investment. If you want to make money. Either work or start your own business and invest your money wisely. Credit cards are not a good way to do that.

Credit cards aren't an investment. They're a spending tool. A better spending tool than debit cards are.

wtf are you even talking about

Pretty sure Kanye West got a gamefaqs account

They are a good way to keep track of how much you are spending every month. A calculator would be better though. I sound old now. But honestly there isn't much advantage except being able to whip out your amex gold card and just look cool.

And yes you need credit to get loans to buy a house etc... You just need good credit though. The banks are going to get you either way.