POLL: Credit or Debit Cards?

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Not really, there is where the beauty of online banking comes in, a statement will tell me every single transaction that I make, plus the bank no just takes money from my checking acct to my saving, but the bank puts money to my saving. The money put into the saving is not mine, but the banks.

 

I have neither. I use cash, even if I have to buy something expensive.

There are three reasons for this:

1. I don't like it when someone knows what I am buying where. Call me paranoid. I refuse to use bonus cards because of the same reason.

2. The barrier to buy something is lower if you use cards. With cash, you can see the actual money changeing possession. With cards there is no perceived loss.

3. It's awkward. Every time you use a card, you have to put in your PIN or sign a copy of the bill around here. I hate it if there is someone in the queue who pays with his debit card. It takes a lot of time.

 

You're paranoid.

Rubbish. You must have super slow debit card machines where you live. A debit card transaction should take no longer than a cash one because you don't have to fiddle about with coins and change.

That all depends on how you manage your finances. If you have no willpower when it comes to spending then cash is the probably a better option.

 

I never really use cash anymore to pay for stuff, even little stuff. It's all chip and pin on a debit card now. It's just easier. Even tiny little corner shops have a chin and pin machine nowadays.

 

They are both evil...but I use my debit card as my primary card since it takes money directly out of my checking account.

Credit cards are too easy to fall in to debt. I try not to use mine at all costs...not to mention the killer interest rates!

 

Kitrax is right about the main argument against credit cards (except for super-disciplined people like Blackthorne TA and Rallymama). I know too many people who are up to their ears in credit card debt to say that they are suitable for everyone. Some people should stick to debit cards or cash.

 

I use both and I pay the full balance on my credit card off every month so I don't pay interest. My debit card I use for food shopping and clothes shopping.

 

You've never met my friend.

I have both, but I never use the debit card, and I use the credit card for buying stuff online. I will pay in cash if I have to do things in person.

 

A friend of mine in Oregon had to juggle her bills for almost three months because a merchant drained her checking account by double charging her for a transaction. It took them that long to get things straightened out because it was her word against theirs. They had no incentive to resolve the situation quickly.

On the other hand, any credit card worth holding provides the account holder with protection from liability for charges rung up in cases of card theft or identity theft.

 

Rallymama - that sounds like crappy service from the bank. Any bank worth dealing with should have sorted that out straight away. I would have moved banks if I got service that bad.

 

Again, someone mentions the whole disputed transaction thing. Man, you guys must have the world's dodgiest and most corrupt merchants if you're always afraid of them ripping you off. I've been using debit cards for just about everything for 20 years and nothing like that has ever happened to me or anybody I know. And I keep pretty religious track of my expenses so I would notice if it had happened.

 

I see your point, dmc, but that would be such a rare occurrence for me (it has never happened to me that a merchant would be so dubious) that it would be vastly outweighed by the convenience of not having to carry cash. Actually, we're probably not debating the issue at all, because I said originally that I use both debit and credit cards. For most of the major purposes that would come into the sort of situations you describe I would be using my credit card anyway. I use my debit card for smaller purchases or where credit cards are not accepted. For online purchases, I always use Credit Cards, Paypal, or direct bank deposits. My main point is that I never use cash for anything any more.

 

Credit Card. I know it's got me into trouble, but without it, I'd be sufferring the need for about 3 to 4 thousand dollars of medical procedures not covered under our healthcare system (Dental and Chiropractic). I've been burned by times I bought stuff thinking that I'd have it paid off sooner rather than later only to get laid off immediately afterwards and have to live off it for a couple months. Also, I would not have my own computer. When you have money coming in, you can make some headway against the bill, but when your situation goes downhill, you really get screwed...

 

It's not that I fear false charging or something. But you do know what the credit or bonus card companies do with the information they receive? The sell it. Maybe not under your name, but they sell it. (Although the bonus card systems do it with your name.)

Why?

Mostly for the reason of marketing. It makes it easier for the companies to set up their PR strategies if they know how much of their stuff is sold.
I consider advertising one of the biggest scourges of mankind, and I will not do anything to further it.
If your name is sold with the information, you receive personalised ads. Those pesky little (or large) letters that make a trashcan out of your mailbox.

@HB: As I said: You have to enter your PIN oder sign a bill at the supermarket. It takes longer than taking your cash money out and receiving the change.

 

Your bank probably sells your info, too.

 

Debit card exclusively, dont like the idea of being able to buy stuff for more money than what I might actually have. Not that I really fear for my discipline but using a credit card is basically like taking a loan and I dont see why I should do that unless I really have to. With credit cards you also have the added problem of perhaps racking stuff up early in the mnoth adn then you get an unforeseen expanse when the bill is due and you cant pay your credit card bill and then you are very quickly in a negative spiral of interest upon interest. Put it shortly, I prefer to buy stuff for money I have, not for money I will hopefully have in the future.

I also dont see how people can be paranoid about debit cards, imo it seems like that is due to the banks and credit card company propaganda due to the fact that they make SO much more money on credit cards. This for the simple fact that for every BTA or Rallymamma who handles their finances flawlessly and build up bonus points and make money by using a credit card there are five suckers not being able to handle their money and who racks up nasty interests and debts. Credit cards pray on morons and seeing as most people are morons they make loads of money and I personally think it is quite an immoral business practice. The entire idea behind credit cards is that people when given the oppurtunity will spend money they cant afford to spend and I dont really want to have any part of that.

Also here, with debit cards if there is a conflict between a merchant and a customer the bank pay the money back to the customer and then they take the fight with the merchant but seeing as you have to either sign a slip or enter a PIN code to be able to use a debit card conflicts are kinda rare from what I know.