hi..

i think you know much about credit cards as i have ready your post. you have categorized card users to either convenient or credit users.

i want to ask you this question: what are the usual rewards that i can redeem out of the points i have earned. my sister has been exchanging her points with flight ticket as she keeps on visiting our parents from another state.

but i have also been using my sister's credit card whenever i go shopping and im sure i have also accumulated some points out of my expenses. i want to use my points rather than my sister exchanging it for tickets. by the way, i do have a credit card but my sister do have a high credit limit than mine.

can i get some gadgets out of my points especially that i want to get an ipad for myself. its one of the things under my "to buy list" or other stuff like some snickers or what?

thanks..

Hi RichelleM,

that's what I call a convenience user. When somebody uses their credit card and then pays it off at the end of the month. So they have the cash and are not using up their credit line.

that's exactly how we want using the travel rewards cards are convenience users. Because we don't want to pay interest on items that there collecting travel rewards on. So good point!

What year it comment about resisting shopping, I guess it's dependent on the person. If a person's got lots of cash in the bank and they can afford whatever they want, then they are usually not to be out of control when it comes to spending.

I find that people who have little or no money and constantly want things will use their credit cards as a line of credit. I call these credit users instead of convenience users. Credit users are people who use a credit card to access the line of credit. And they pay interest on this every month.

Thanks for your input RichelleM!

Here’s another deal. What I love about credit card is that you no longer have to carry a lot of legal tender in your wallet and fear of losing them. Only one small plastic card is all it takes and you can pay for no matter what you wish for. What is more is that you can just sit at home and shop with your credit card.

But the majority of credit card users cannot resist shopping when they have a credit card in their hands. Shopping on impulse and purchasing superfluous things is one of the principal tribulations with a credit card. Consequently, a large number of people finish up with credit card debit and therefore face a really bad credit.

The essential function of credit card is to make use of it to pay for things which you need at the time you do not have ready money on hand. Afterward, we began making use of it as a substitute of cash as there is no need to prepare and plan daily regarding on how much you require taking with when you set out.

The rewards that people acquire from credit cards are not unlimited in themselves. And for an individual who is frenzied to make use of a credit card certainly perceive rewards to be functional in any way. For recurrent business merchants or buyers, diverse rewards will help them in special ways.

However, if you have ready money on hand and have no uncertainty in bringing along with you to pay money for your purchases, then there are still countless advantages which may not be promising if you make use of the credit card. For instance, when you purchase something using a ready money, you can talk about and make some arrangements with the cost as the merchant have to take note of the deal in his accounts.

But above all, what works for others might not work for you so just spend what you know you can pay for.

I would keep the accounts open with a zero balance and make a $20.00 purchase every few months to keep the accounts active.If you close the accounts your score will drop a bit but i believe it will go back again in due time.

If I have 4 credit cards:
1 is a card that you're using as a balance transfer card - 5000 limit - 3.99%
1 is a travel rewards card - $2,500 limit - 19.75%
1 is a Future shop card - $1500 limit - 29.75 %
1 is a Esso gas card - $500 limit - 29.75 %

Should I cancel some of these... I really only need the balance transfer card because it gives me a low interest rate of 3.9%

I heard that if you cancel your credit cards your credit score will drop.

I want to use my credit cards to save money and then to gain rewards later on.

you're admitting that it's a money management problem and not a credit card problem. Back in the 1940s people paid cash for things. they saved their money and even about things on lay away plans.

Why can't people do that now? Admittedly the problem has increased since there has been credit cards available. People of gotten used to instant gratification over the last 20-30 years. they want everything now. And that's really the problem here.

In the 1940s before credit cards people had a really good saving ethic. They saved their money really well each month. and also at that time there wasn't as much of a social net, so people realized that they had to take care of themselves by putting money away into a savings account each month.

It's entirely possible for people to save their money and not use credit cards. I am an example of that. My policy has always been "if I don't have the cash, it doesn't happen". and that's the way I've always dealt with purchasing consumer items.

Admittedly, I have used credit cards as a source of income in the past. but only in dire circumstances. I paid a lot in interest costs and stress when that happened.

The bottom line is this, credit cards are here to stay for the time being anyways. All the retailers, restaurants, travel agents, rented cars use credit cards as a method to gather payments. It seems passé to carry around large wads of cash when you're going shopping.

If you don't have the cash, then don't use your credit card.

This is a long philosophical discussion, that's taken generations to develop. I hope future generations will understand how to use credit better than the last two or three generations.

I have to disagree with you lol.If people had no credit cards then they would manage their money much better and would think twice about purchasing something they can not afford on plastic. The only purchases that were made in the 60’s70’s and maybe 80’s were home and cars. If you look at peoples credit card statements you will see the majority of purchases are want and not need.

I guess I should backtrack on this discussion. Okay I'll admit, if you have no cash and no prospect for making more cash but maybe credit cards are the best for you. This is especially true if you got problem with spending.

If you can't control your spending, and you're always using your credit cards for income, then maybe you shouldn't have credit cards.

I guess there is a time and place when people shouldn't have a credit card.