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Honored Contributor
Posts: 12,259
Registered: ‎10-25-2010

Re: Using Credit Cards Encourages Extra Spending 💳

That's not me at all.  I hate to sit down and pay bills.  I'd rather not have any bills to pay.  It is disheartening to watch my checking account balance go down to pay bills.

 

i try to buy only what I need.

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Valued Contributor
Posts: 755
Registered: ‎01-03-2011

Re: Using Credit Cards Encourages Extra Spending 💳

[ Edited ]

@MINT wrote:

We put everything we can on our card including utilities, phone and insurance.  I know this is true for some people but we have been doing this for years and have never not paid it off at the end of the month. You have to be disciplined to do this though. Some people I know can't do this but it works for us.

 

Mint


 

Same here.  Everything goes on our credit card -- we pay it in full every month -- we travel a lot -- and have been all over the world flying Business Class using miles.  No brainer if you like to travel and have self control.

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Trusted Contributor
Posts: 1,796
Registered: ‎03-15-2010

Re: Using Credit Cards Encourages Extra Spending 💳


@Reiki604 wrote:

@MINT wrote:

We put everything we can on our card including utilities, phone and insurance.  I know this is true for some people but we have been doing this for years and have never not paid it off at the end of the month. You have to be disciplined to do this though. Some people I know can't do this but it works for us.

 

Mint


I'm with you! I have one points card solely devoted to paying my mortgage, health insurance and utilities every month. Then I have the bank automatically pay off the card each month. Lots of points, no debt.


Question for both of you - do you get charged a service fee for putting utilities, mortgage etc on a cc? We use cc for the benefits (points, cash back etc, pay in full). I would gladly pay utilities if there is no penalty. My DH thinks there may be a service charge for paying mortgage on cc.  I tried to "charge our last car purchase" but was only allowed to put $3000 on the card. I wanted the perks!

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Honored Contributor
Posts: 22,153
Registered: ‎05-17-2010

Re: Using Credit Cards Encourages Extra Spending 💳

We changed over to using debit cards years ago. If the money's not in the account, you can't spend it. Easy to stay on budget that way.

 

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Respected Contributor
Posts: 3,111
Registered: ‎03-10-2010

Re: Using Credit Cards Encourages Extra Spending 💳

I like the added protection of the credit card vs the debit card. I really do not find that I spend more using a credit card. Everyone is different, but I spent more when I had Amazon Prime. We gave it up a few months ago, and my spending is noticeably less.

A kind gesture can reach a wound that only compassion can heal. ~~ Steve Maraboli
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Honored Contributor
Posts: 18,887
Registered: ‎03-10-2010

Re: Using Credit Cards Encourages Extra Spending 💳

That is why I always pay my cards off in full each month... it makes me accountable for what I spend. If I am writing out a check that is more than I feel is good, I cut way back on my spending and keep it in control.  

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Honored Contributor
Posts: 22,830
Registered: ‎05-10-2010

Re: Using Credit Cards Encourages Extra Spending 💳

I'm 57, I don't need a link or some research to tell me that...lol   Good grief, that's why credit cards exist, to encourage consumers to buy things that we don't have the cash to buy now or choose not use our cash for.  Yes, some immature or naive people fall into to the credit trap and get themselves into trouble.  Some people make poor decisions in all areas of their lives.    That doesn't make credit a bad thing.  The ability to buy things on credit SPURS or economy.  It creates jobs because someone has to make the things we buy on credit, someone has transport them, someone has to sell them.  That puts food on people's table and it gives thoseworkers the ability to go out buy things...which creates...more jobs. 

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Honored Contributor
Posts: 8,142
Registered: ‎03-09-2010

Re: Using Credit Cards Encourages Extra Spending 💳


@scatcat1 wrote:

 


 


Question for both of you - do you get charged a service fee for putting utilities, mortgage etc on a cc? We use cc for the benefits (points, cash back etc, pay in full). I would gladly pay utilities if there is no penalty. My DH thinks there may be a service charge for paying mortgage on cc.  I tried to "charge our last car purchase" but was only allowed to put $3000 on the card. I wanted the perks!


I don't get charged any fees for having our cells, cable, ez pass, etc. 

 

I tried to put $15K down on our last vehicle using a cc and they would only let us do 5K. 

 

I was ready to walk because of it.  They thought I was bluffing and I thought they were bluffing.

 

They weren't.Woman Sad

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Trusted Contributor
Posts: 1,067
Registered: ‎12-08-2013

Re: Using Credit Cards Encourages Extra Spending 💳

[ Edited ]

I have found this to be true -- that's why I rarely use my cc anymore. Never had trouble paying it off every month just didn't like the realization that I was spending more than was necessary.

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Regular Contributor
Posts: 184
Registered: ‎08-02-2010

Re: Using Credit Cards Encourages Extra Spending 💳

Yes that is exactly what we do. Even buy heating oil etc. with that card. We earn a lot of cash back and as a bonus it makes everything so much more simple. No more writing all those checks.

 

Mint