I have only one credit card, an my balance is zero. I only use it on rare occasions.

Citi Bank just instituted a fee, if you don't charge more than $2400 a year, they charge you $60.

The #1 myth about credit cards is that people need them.

I got rid of my last one a decade ago, and I've never missed it. I decided I would no longer play their game. My credit worthiness is meaningless if I refuse credit. They can't rate me; I'm an unattractive target for ID theft; I've lost no sleep over how to pay my bills; my credit score is something that never crosses my mind. And in all that time I've not missed out on anything I wanted or needed.

Amen, Valis. Good for you.

If all Americans, at the same time, stopped paying their credit cards and their insurance premiums, what would happen?

It is freeing, isn't it, Valis!

We got rid of all our cards last year. Only inconvenient when you want to book a hotel or rent a car, since they want deposits or CCards to act as buffers for bucks.

Gotta say that it is very liberating. And it makes purchasing something a bit more reflective instead of impulsive, since we have to decide it is worth $X.

If all Americans, at the same time, stopped paying their credit cards and their insurance premiums, what would happen?

#9 | Posted by LetUsPrey at 2010-02-20 12:34 PM | Reply | Flag:

1. They would violate legal contracts which they willingly signed

2. A person's credit rating is often used by employers to evaluate an applicant's integrity and reliability. Defaults would thus be competing with you for that part time job at Dunkin' Donuts

#7 | Posted by valis at 2010-02-20 08:45 AM | Reply | Flag:

Congrats to you.

My business requires me to travel regularly, so I have a credit card for plane tickets and hotels.

In Taiwan I can pay for those at an ATM by transferring from my account to theirs, but I've gotten screwed too many times that way. They already have your money if something is wrong.

With the credit card, I can deny payment to them until things are made right. It also makes record-keeping easier.

Credit cards are an excellent tool if they're used properly. The card companies would prefer that we didn't use them properly.

The card companies hate me. I run several thousand across them a month and then pay them in full.

i used to be like that Whatsleft, then I got laid off a job at the end of the month and did not have enough to pay in full. A very long spiral began that is almost over. I have one card left to pay off and I already closed the account so when it is paid off I will be done with credit cards.

I never fly and the rental car places will take a visa check card as a credit card. That is the only time I use the visa debt even. Cash is king and I plan to keep it that way. If I don't have cash for it I don't need it. I take enough for gas and groceries at the begining of each week. If it runs out I walk or am hungry but I don't spend more than I have.

#14 | Posted by TaoWarrior

Thanks for the concern but it's not a problem. I'm self employed, and I never spend what I don't already have. People need to get past this idea that cards can be considered emergency reserve. If you're already in financial trouble, that's the worst time to start using your cards.

Whats I wasn't concerened I don't presume to be anyone's finacial manager. Just telling you what happened to me. I didn't use credit in the crisis but I couldn't afford to pay off what I had already used all month. My own fault and I don't blame anyone. I was a bit upset with the employer who I found out knew all month my department would be closed and chose not to give us any warning but I even understand why they did it.

It was a lesson for me and I have learned from it that is all.

I have 4 cards, a cc card, a debit card and 2 gas cards. Never had a balance not paid within first 30 days. I like the 1% back on the debit card!

1.2 billion credit cards?? This really is a representative government we have!