Friday, February 19, 2016

Cutting Back on the Credit Card

Back in January, I posted about credit cards -

In that post, I basically talked about the positives of continuing to use my credit card for purchases. Now, I've changed my mind. I've cut back on using my credit card to make purchases. In the last couple of weeks, I've used my debit card for probably 90% of my non-cash purchases. Here are my reasons why - 

  1. I think I spend more when I use my credit card. I've never carried a credit card balance, but knowing the money isn't taken directly from my checking account, I'm OK with not thinking as much about my spending. 
  2. Fraud protection is covered under debit cards as well as credit cards. 
  3. Cash back bonuses are nice, but not life-changing. If I'm intentional about where I spend my money and where to find good deals, I can make up the difference that I lose with the cashback bonus. 
  4. If I don't have the money to buy something directly, I shouldn't buy it. (I treat my credit cards like debit cards, but still).
  5. I didn't get approved for another credit card, so now I'm pouting by not using them at all. 
  6. With my credit score being wrecked by my house, I don't really care anymore about the "idea" of credit scores. Again, I'm pouting, but it's a way by the "establishment" to control us and make money off of us. 
  7. I treat my credit card like debit cards, and I'm tired of taking time to pay off my credit card balance every few days. 
So this is where I am at right now. There are multiple ways to think about using or not using credit cards, but right now, I'm not going to. I won't be buying a house again for a looooong time, if ever. I also hope to buy my next vehicle outright. So without needed my credit score for a house or car, I don't see my credit score being an issue. 



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