How important is credit to you?

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How important is credit to you?

As I've aged I've had a lot of time to think about credit and my decisions regarding it. I've used it, gotten into to tons of trouble with it, and in the end I can't think of one positive to credit other than instant gratification. Aside from that it's all downhill from there in my opinion. I basically look at credit as a way of enslaving yourself. I personally have no intention of ever taking another credit line out on a car nor do I plan on purchasing a home and signing up for 3 decades of having a monkey on my back, so I'd say at this point in time having access to it is of no importance to me. How important is it to you?

:-) Credit? Not one lil' piddly bit, that's how important it is to me. We paid off the house, saved for a cash payment on a car, and stopped the credit cards by choice... not because we had to. Credit score was always excellent and we paid it off each month, but there were many reasons that made it a good choice.

Now while I totally agree with your bottom line, I do see that we needed that credit to buy the house. Not sure how we could have done that if we wouldn't have had a high credit rating... so I guess that's where the importance comes in for some people. If only there hadn't been those years where it got out of hand. :-( It was a LOT of clawing and digging to get that high credit score after those horrid cards threatened to bury us alive.

I've seen people tightly hold onto cash, pay for crap with cash and they end up broke, because they are so afraid that they try to do CD laddering and call it a retirement plan. That and houses are an expense, not an investment. They do not pay you, you pay them, at a likely loss of 1% over the years. At least houses have a stability, homestead, home is where the heart is value to them. But, let's not fool ourselves.

Yet, credit cards are ridiculous, because some funky psychology goes on there where people who cannot afford things use the card to buy things. Now, it cost more when they go to pay it off later, when the bill is due. It's a negative equity situation by far.

Both have value, because I wouldn't be caught dead using cash or a debit card at a large retailer, for appliances and hell, even a vehicle. Why? Because when you engage a business, you are making a contract with them, mostly on their terms. If they deny that their products are faulty, you need help getting someone to negotiate who loves their money more than anyone, that's when the credit card companies are on their toes working for you like their as#es are on fire! :)

That's what I think. So, yeah get out of credit card debt, pay off a house that you can afford to maintain and use credit responsibly for sticky situations (as long as you turn around and pay that sucker off quickly!) My card gives cash back and I use it to pay my utilities, to avoid the bank and it's screwy banking regulation payment times/holds and what-not. It keeps the lights on for me I guess.

I wanna be like mariposa so glad to hear from you!

J

I wanna be like mariposa too, great work! I have one credit card balance I've been fighting for a long time. I was kicking the balances butt and then somehow I let myself start using it again and put myself back in the hole. I can't wait for the day I can say goodbye to that thing.

jayne, I agree with your point about a home being an expense and not an investment. I know so many people upside down on their homes its ridiculous.

Nah... careful what you wish for. :-) You only heard about the end result after years of tears and scraping by thinking the light would never be at the end of the tunnel. It wasn't until that very last credit card had been paid off that the other things could happen. Didn't get rid of the card then, though... that happened just last fall when I realized that my Visa debit was safer in my case.

You'll do it, webgrind! I did that backsliding so many times... and got so mad at myself but when the "that's IT!" point came, I didn't go back and I'm betting you won't either. You have one of the most important things in place... determination.

I don't like the fact that I feel like I need to build up my credit score because having a credit card can really get you into trouble. My partner is experiencing that right now, but luckily his tax return that he is getting back will allow him to pay off the entire balance all together. However, I make sure that I am paying more than the minimum balance (if not paying the card off in total each month) to make sure that my credit stays in good standing because honestly some day I would like to own a home and you need credit for that unfortunately... either that or save up a load of cash... which in my scenario ain't going to happen unless I win the lottery.

So I hate credit, and the idea of needing to build a credit score, but I can see both the pros and the cons of it.

If I could though, I'd go without it as I am really good at managing my money, so using just cash all the time (or debit cards) would be a lot easier for me. But then again, debit cards tend to have a limit on them for amounts used each day, so credit cards come in handy for big ticket items....

Ugh, society really makes it difficult sometimes.

Ten years ago I could not have lived without my credit cards. Today I have none and will never want to buy anything on credit again. I can use my debit card to make any purchases I can afford. Everything else I can do without or look for second hand.

Credit and debt are no longer part of my life, but I can see that credit cards can be a handy way to spread the cost of high cost items, for people with a good regular income.

Good for you Rube on getting to that wonderful place. I will say I don't see a problem with using credit cards IF(and that's a big if) you already have the money set aside for the purchase and there is no possible expense or surprise that will pop up and require you use said money elsewhere. Not many people have the money or the strength to do that though.

it does help to be able to pay on things over time, as long as you do not abuse your credit and go overboard. People do not always have the funds available to pay cash.

I'm apartment hunting and potential landlords are going to look at my credit, so I do feel a need to build up credit so that I can reach my goal of having a nice, normal apartment and not living in a dump.

I do have a credit card, but I use it sparingly and pay it off right away.

I think it's a shame that people are expected to take out loans and buy crap on credit just in order to be able to get an apartment some place but it is important to know who you are renting to. I have a friend who rented to someone he thought was a good person and wanted to give a chance even though they had a bad credit history. Now he wants nothing more than for her to vacate his apartment lol.

Credit is very important to me and I wish that it was just as important back then as it is now. I have gotten myself into a lot of debt and I am now paying for it and in the midst of fixing my credit. Once my credit score raises, I will be able to get a nice luxury apartment in lieu of renting vacation houses.

Credit is very important. If your credit score and history is good, it can help you in terms of renting housing, or getting an important loan. If your credit is bad, you will not have safe haven.

At 21, I'm still relatively new to the credit world. I've missed a few payments and my credit score isn't amazing. I didn't think my score was a very big deal until my boyfriend (who is a bit older and has perfect credit) and I were looking to buy a house. I'm nervous to see what my score really is as a result of my irresponsibility with credit.

Like you said, credit is a way of enslaving yourself. I couldn't have put it any better. I'm still paying interest on the years of expensive dinners, hotel rooms, and other high ticket items I can no longer enjoy. Credit is important to me because I need to pay it down, but I still hate it.

Good credit is important, but one thing I feel is that if your credit is not that great, perhaps you will not be the victim of identity theft. Some people get stuck with big problems and bills when people use their credit to steal,

Yeah if your credit is bad, who is going to want it. Haha. Its annoying that identity theft exists, but there a lot of ways to combat it.

www.usa.gov › Money and Taxes‎

I've seen news stories about people with bad credit getting their identities stolen. Heck, I've heard of people having their identities stolen multiple times.
Having bad credit doesn't really prevent someone from trying to get access to your bank account and debit cards.

I don't have the best credit and I'm still watchful and protective of my passwords and accounts. Unfortunately, thieves don't care how poor you are.

From the sounds of your post I have a very similar opinion to you, I think for the vast number of people credit is very important, it just isn't to me, I learnt a long time ago that I don't think and act like other people and I don't like owing anybody anything especially some big faceless, greedy company!

How important is credit to you? | ConsumerFu

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