this post was submitted on 26 Dec 2023
631 points (96.2% liked)
Memes
45666 readers
903 users here now
Rules:
- Be civil and nice.
- Try not to excessively repost, as a rule of thumb, wait at least 2 months to do it if you have to.
founded 5 years ago
MODERATORS
you are viewing a single comment's thread
view the rest of the comments
view the rest of the comments
I got talked into bankruptcy (by a bankruptcy lawyer, surprise surprise). It cleared $12k of credit cards and bank fees but not the then-$50k of student loans and the spending habits that were the real problem. Now I learned my lesson. No credit cards. Save up and pay. Have an emergency fund that can cover your expenses for months and months in the event you lose your job, or your most expensive unplanned repair. That's the real life saver.
Credit cards are fine for people who can control their spending. I never pay interest, so I get my rewards for free and am building my credit. If you cannot control your spending habits, you might consider a card with a low limit.
I used to feel this way with 2% cash back, but I don’t think it’s worth the privacy loss of giving a for-profit corporation all of my spending data. Where I live now, almost no one accepts credit cards in person & if they do, there’s a high minimum payment & you will be paying the transaction fee. After getting used to carrying cash again, I can confidently say I prefer the anonymity. What weirder in hindsight is many other places either not accepting cash or baking the credit fees into the prices so it’s cash payers getting screwed—meanwhile the credit companies get to skim fixed costs while providing minimal value.