Should I cancel my credit cards?

[josephadel_3]

Just based on the principle of it? I am very responsible with my money, and figured keeping the two I have would be a good way to play the "game." You know buy something cheap with the credit card, pay it back, and get a good credit "score." Although I am awake now thanks to Ron Paul's campaign, especially on economics, part of me wants to play it "safe" and play their credit game. I have about 120$ of gold and silver stashed, and barely any greenbacks in savings, as I am a student. What did you do? What should I do?

 

[tekrunner]

Cash out your credit and buy more gold/silver.

 

[scooter]

Cash out your credit and buy more gold/silver.

That's a terrible idea.

To the OP, as long as you pay of the cards at the end of every month without interest or fees, then it does you no harm to keep them. If you want to borrow later on you're going to need a decent credit score, whether you like the system or not.

 

[Acala]

Max them

Max them out buying guns, ammunition, gold and silver. Then when the bills come do, ask the Fed to bail you out.

(just kidding, of course)

 

[Libertytree]

LOL Acala,

That same thought ran through my head...ah hell, the Fed will bail me out, just like they are the fat cats on W St.

Seriously, is there a difference?

 

[Acala]

yes

Yes, there is a difference. Bankers are a higher form of life and must be shielded from harm. You, on the other hand, need to feel pain in order to learn. Therefore, all your property will be taken and given to the bankers.

Should have been a banker.

 

[youngbuck]

Should have been a banker.

Hmm, maybe I still have time

 

[Libertytree]

We've all heard and seen the stuff about creating a bank run but if people thought it through the thing to do would be for everyone to default on their credit lines, file a class action and sue for a Fed bailout.

 

[TastyWheat]

If you're smart enough to only use it for things you can afford then there's no problem. Credit cards have more protection and no fees (usually) compared to ATM cards. Just pick your favorite and stick with it.

 

[grizzums]

That's a terrible idea.

To the OP, as long as you pay of the cards at the end of every month without interest or fees, then it does you no harm to keep them. If you want to borrow later on you're going to need a decent credit score, whether you like the system or not.

I agree with you. Although I no longer have credit cards or any debt from them. There are other ways to establish a credit record as buying something on a credit card and paying it right off doesn't really establish much of a credit record anyway...

OP please just continue to do as your doing and do not buy anything you cannot afford to immediately pay back off. Or get rid of them altogether IMHO. If you are a student and have student loans then making those payments on time will do much more to establish a sound record then your current strategy.


Good luck.

 

[seapilot]

I have credit cards due to my business. The thing that bothers me about them is the banks know everything, what you are buying and when. The banks will soon be nationalized as almost they already are. Cash brings more privacy (though more hassle) the reason the govt says mainly criminals use it and banks hate it cause it cuts them out of the deal of screwing the merchants for convienence.

The banks could care less if the credit card is paid off in full every month because they are making huge money off the merchants. The merchants pass it on to customers of 1 to 3% increase in prices.

I have only bought PM with a CC once, but never again. Ammo and PM should be bought with cash only.

Depending on how bad this credit crunch is(and it looks freaking like a doozie), many people may be using cash for purchases as in the past only the rich could access cheap credit. This will be because many will default on thier C.C. thus having bad credit and the banks will pass on the costs to the merchants who will increase thier prices. Eventually many smaller local merchants may not want to hassle with the C.C. fees and only accept cash.

 

[forsmant]

I like cash. It makes the banks have to work.

 

[kyleAF]

I have 3 open credit cards, only one of which I ever use. It expires in a few months, and I may or may not extend it. The only times I use it are for the occasional online purchase, and it gets paid off before it's due. My credit score is excellent, but I don't care that much, as it has never really affected me, and I don't plan on relying on it.

Cash really isn't that much of a hassle, and your purchasing history cannot be as easily logged. Not that I have anything to hide by current laws, but when the laws change to make more criminals, who knows? Maybe ammo and such will be tracked. WalMart is already starting to do just that.

One argument is airline miles and other benefits from card purchases, but it's trivial to me. I also think that debt is immoral if it can be avoided. Why? Because it leads to very bad things, as we're seeing now. And revolving debt can certainly be avoided.

 

[jack555]

I am a student too. I started buying a few months ago and have somehow come up with a nice little stash. I work part time a few hours a week. I spend 1/4 of my cash on fun and 3/4's on pm's. at least at the moment. your call on the credit cards. every 1 oz helps...

 

[josephadel_3]

What is PM?

 

[[email protected]]

Absolutely. You should start listening to Dave Ramsey.

 

[RSLudlum]

Absolutely. You should start listening to Dave Ramsey.

LOL...


I'm Debt Free!!!!

 

[Cowlesy]

PM = Precious Metal, I think with respect to your question.

Keep an Amex, and a Visa. The nice part about American Express is if you have problems, they are really good about siding with you, returning your funds, and making an angry merchant sort things out.

Keep a Visa because not all places take American Express. Just remember there is a big difference between an Amex charge card (The little Green/Gold/Red/Platinum/Black Centurion---depending on how big of a baller you are) which you have to pay off every month, and their credit card "Amex Blue" which operates like a normal credit card with a min payment.

 

[[email protected]]

LOL...


I'm Debt Free!!!!

We're down to just the house as of a few months ago. Should take us about 2 more years to finish it off.

 

[josephadel_3]

I bought gold and silver with my debit card once. Is that bad? It was an online store. Where are places you can go and pay physical cash to get gold or silver? Ha, when the collapse comes, Ron Paul people are gonna survive longer.