Do I NEED credit?

Question

Do I need credit or credit cards to live?

I would love to live my life without credit.

makes no sense to use a credit card. You lose and the bankers win, all the time.

Answer 1

Sounds like a good idea to me.

Answer 2

Nope. You dont NEED a credit card but it bails you out sometimes.

Thats the problem these days. People think they need credit cards and credit is there for them to go shopping on. Well no its not. Its for emergency use or something of an important nature. Why would you need to buy something and than pay more for it than what it was worth???

I have credit cards but I dont use them. I saved up even for a rainy day. The reason why I have credit cards is to build up my credit so that I can invest in things like property.

Do you need credit??? Sure some people get by without it but it is difficult. You want a cell phone they check your credit, you rent an apartment...they check your credit, etc.

Frankly, I dont NEED anymore bills than what I already have. If I see something that I want or need...If I have the money I buy it and if I dont than I save up and make arrangements.

The way I see it...all that interest and fees I would be paying to a creditor...is money in my piggy bank!

Good Luck

Answer 3

You don't need credit, but you need a debit card tied to a major issuer (Visa / MC).

Why ... because there are a lot of places that won't take cash anymore (can't get robbed if there's no cash), and that also applies to you.

If you get robbed, and report it immediately, the bank will refund any unauthorized purchases. Try that with cash.

But credit itself - no - just a heft bank account backing up that debit card. Oh, and also get a savings account to back up the checking the debit card is tied to - why ? Because unlike a credit card where the "authorization" decrements available credit, the authorization against a debit card only holds the money for that day. So it's easy to miss a couple of items and end up overdrawn.

Answer 4

Do you need a credit card? Probably not. However, they can be a life saver in an emergency. For example, your furnace suddenly needs replacing for several thousand dollars. You may not have that much just sitting around.

But keep in mind, the bankers don't always win. In my situation, for example, I use a credit card all the time, but I pay it off in full each month. I'm using their money, and I'm not paying finance charges, late fees or any annual fee. I think I'm ahead there.

Answer 5

My belief is that everyone should have ONE credit card (Visa or MC). It makes life much easier in certain situations like renting cars and paying for airline tickets or anything else on the internet or phone. As long as it's used for a convenience as opposed to a loan, both you and the banker win.

Answer 6

yes you need credit. you don't need credit cards to live.

here's the key to financial mgmt. if you pay everything in cash, then don't change your mindset when you switch to credit card. basically, when you get the credit card stmt, you pay it in full because you've already treated it as cash. ie, you get your cable bill, you would normally pay it in cash. why not charge now & pay it when your credit card bill arrives.

here's the advantage--opm (other people's money). you have the cash to pay, all you do is hold on it your cash until the bill comes. you're improving your credit score--especially when you buy a house. earning interest on your checking account, & for credit card that award you points--what better place can you earn $ (in the form of gift cards at the places you use) tax free. i've been using this method for 3 years. you win in this case because bankers make no $ from you when you pay in full & earn points. i'm saving my points to get a free $600 dishwasher from sears.

if you're financially responsible with your $, then take advantage of the opportunities given to you.

Answer 7

If you can live without credit , then do not even start using them. Just you have more opportunity in life if you have good credit. Even to buy a house, you can buy without money, but you can't buy without good credit. So it's you life style, you should do what is more comfortable for you. Good Luck!

Answer 8

You don't need credit cards to live and you don't NEED credit. If you read Dave Ramsey's book "Total Money Makeover" you can see how to live debt free. You just have to save some money up for the emergencies and then you can pay cash when you need a new fridge or whatever.

Answer 9

that is a valid point, although without them it is very hard to establish good enough credit to purchase a home or a new vehicle