I've had a C.C. for 40 years,
Almost never used them,
Three or four times a year, max.

Last year I called them and they offered me 0% interest for a year


Called them again today,
They offered me the same deal again for another year.

Three times last year that came in very handy,

I have to admit c.c.'s are handier ,under the right circumstances ,than cash.

So maybe giv'em a jingle,
Oh!
And the 75% jump in my using the c.c. actually rased my fico score.

What is this credit card “interest” you speak of? I have paid no interest on credit card purchases in decades.

Sorry: I can resist everything but temptation, and it’s been a while since I have had an opportunity to use that silly “What is … you speak of?” phrase.

I have not paid interest either.
But it was wonderfully comfortable
Carrying over a balance, w/o
That looming over head.

Guns don't kill people, interest does

Never run balances, so never pay CC interest. In point of fact, I get an effective discount on my purchases by way of their rewards programs. I have over $500 in rewards points sitting on one of those accounts. I had to buy a new TV recently (old one died at almost 11 YO.) I'll cash in those points to pay off part of the TV.

Yes, I call my credit card company from time to time. Not so much for the lower interest, but to raise my credit limits.

Higher credit limits act as a buffer to your credit utilization. That way, when you buy a $2000 tv on black friday, your utilization looks like 2% of $100k, rather than 100% of $2k.

Your utilization is a fairly significant portion of your credit score.

Many people will chime in right about now that they don't care about their credit score. But credit score is an important component of your interest rate for a mortgage and some people simply don't live where real estate is affordable without a mortgage. Cars too, if you finance your vehicles.

Great advice!

On a somewhat related matter. I successfully refinanced some of my wife’s student loans yesterday (a good portion are on 0% so I left them alone) and we will be saving a substantial amount of money and enjoying a lower minimum payment. Interest rates will likely rise soon so if you are considering a refi do it now!

We pay all our bills and make almost all purchases on credit cards. Just bought a house and would have used the card if we could have.

5% cash back on gasoline purchases and 2.5% on everything else. Pay both cards off each month.

I never carried a balance on CC's. For years this was SOP.
Then I got a divorce. Complete w/ the Custody Battle option pack.
Lawyers/mediators/counselors/social workers got cash, gas and groceries went on CC.

That is over with now, thank goodness.

But I did the same as the OP at the beginning of the year. I called up the ole CC customer service and asked "what can y'all do for me?"
0% for a year. Yes, there is a $0.50/month fee, but that is negligible.

What did that allow me to do, you ask?

Well, I carried a balance for a few months which allowed me to pay off some other debt. Now I am close to paying off the last of the "No Interest" balance on the card.
And I have actually made money from the cash back rewards for the first time in years. A trend I hope to continue.

You guys who say you never pay interest on credit cards must be solely using debit check cards. Unless you have a zero-percent interest rate, even if you pay things off every month like I do, you still pay interest as creditors start it pro-rata on day one (not month one).

I get cash back for using my CC. Costco. Credit score is 875.

Most credit cards provide an interest-free grace period of around 21 days — starting from the day your monthly statement is generated, to the day your payment is due.

If you pay the full balance before the grace period expires, you won’t pay any interest.

quote:

Originally posted by Dakor:
You guys who say you never pay interest on credit cards must be solely using debit check cards. Unless you have a zero-percent interest rate, even if you pay things off every month like I do, you still pay interest as creditors start it pro-rata on day one (not month one).

Obviously, the fine print on your specific card will dictate how interest is calculated.

But, in the last 20ish years of having credit cards (many banks, dozens of cards--including store cards), all my cards have behaved as follows: if you pay your balance in full by the due date, you incur no interest charges.

Yes, interest accrues from the date of purchase IF you do not pay off the purchase before the due date.

Unless your credit card is funky and has some other method of calculating interest (in which case, you should transfer your balance to a better card), you probably are behind one payment cycle and are continually paying interest on the last payment cycle. You need to pay off the last cycle completely, AND pay off the current cycle before the due date to get ahead of the interest charges.

I absolutely do not recommend the use of Debit Cards. Fraudulent activity on a Debit Card will deplete YOUR money (not the bank's money), and you are at the mercy of the bank to approve that the money be returned to you in the case of fraud. In any case, the process can take many days or even weeks/months, and the bank will not be liable for any disruptions or consequential damages (e.g., they won't reimburse you if your mortgage payment bounces because some asshat wiped out your checking account on a fraudulent shopping spree).

Nah, don't care.
You are going to still have to pay the principle anyway.
The interest "savings" wouldn't make much difference to me.

"Your utilization is a fairly significant portion of your credit score."

This fact I did not know.

Thanks for mentioning it.

( Never a debt card or checks, ever)

I have a CC that has a 95.00 year use fee. I called them and told them how times are hard. Lots of people losing jobs. I told them I needed to cancel the card due to the yearly fee. They deposited 100$ to the account to cover the fee. And I’m still using the perks. Your mileage may vary.
Good luck.

quote:

Originally posted by Dakor:
You guys who say you never pay interest on credit cards must be solely using debit check cards.

Nope. I have never owned a debit card and have not paid a cent of interest in decades. Pay the bill before the due date and zero.

And I don’t say that because it makes me superior in some way to people who cannot pay the full balance on their cards all the time. I have paid interest on other loans in the past because sometimes there literally is no other option or because it makes the most sense from an economic or other standpoint. But that’s what it should be: no other option, or a considered choice, not due to impulsiveness or lack of willpower.

quote:

Originally posted by Dakor:
You guys who say you never pay interest on credit cards must be solely using debit check cards. Unless you have a zero-percent interest rate, even if you pay things off every month like I do, you still pay interest as creditors start it pro-rata on day one (not month one).

Mine doesn't.
My card definitely has a interest charge but there is zero interest charged on my card IF the statement paid in full on time. I also get cash back on most purchases.

SO, we buy everything on the card... everything... even our auto pay bills. Even bought a used car on it once. I pay it off fully via an easy online transfer once or twice a month. With the cash back we actually MAKE money by using the card in addition to the convince and safety. It is a regular Visa but is branded through our regional credit union. I get real time notice of every charge made, usually within ten seconds, on my phone.

quote:

Originally posted by sigfreund:

quote:

Originally posted by Dakor:
You guys who say you never pay interest on credit cards must be solely using debit check cards.

Nope. I have never owned a debit card and have not paid a cent of interest in decades.
Pay the bill before the due date and zero.

Same here, never had one in my life except when the Gov't sent us the stimulus cash.
Plus I get "points" from the card use.
I think I actually cost the CC companies money.
A wise man once told me to collect interest not pay it.

quote:

Originally posted by cparktd:

SO, we buy everything on the card... everything... even our auto pay bills. Even bought a used car on it once. I pay it off fully via an easy online transfer once or twice a month. With the cash back we actually MAKE money by using the card in addition to the convince and safety. It is a regular Visa but is branded through our regional credit union. I get real time notice of every charge made, usually within ten seconds, on my phone.

Yup, using a credit card without carrying a balance is free money.

I bought a Concept 2 rower. $50 back.

I bought a new internet router. $25 in my pocket.

Put gas in my car for work. $8 for me.

By the end of the year, I've accumulated more than a couple hundred bucks of "free money."

I’m glad the OP is finally learning how to play the CC game!

We put as much on our cards as possible and of course have it set up to pay off in full the day before it’s due. We are usually able to (pre Covid) take a trip anywhere in the world on business class and free hotel.

I bought a Porsche once with my CC although the dealer wasn’t happy about it ;-)