When you are debt free, will you use credit cards again? If so, what for?

debbycatz

Hi All

Been reading in some threads that it's advisable when debts are cleared to keep just one credit card for 'emergencies'. I just wondered if others had the same view and what other MSE'rs would classify as an 'emergency' ?
Or do you intend cutting up all credit cards and never using them again ever? If so, how would you pay for 'emergencies'

For myself, I would probably only use my card if something major in the house went wrong, such as washing machine breaking down or other major appliance, or urgent dental care etc. Ideally, I would have money saved up for this of course, but if such an emergency happend before I had enough saved then I don't know how else I would pay for things like this

pink_fairy_7

The only cc I plan to use is my Tesco credit card so as to max out my clubcard points for deals.

pink fairy xx

shayshay

Id like to say by that time I would be cash rich and have moeny to spare but I guess I would probably hand over to the missus the card and let her keep control and insist with the Crecit card company of a relatively low limit, so that the full amount can be paid off each month in full.

newleaf

I still use a credit card for day to day expenses, like fuel, - just not the ones I've transferred my balance to - and I pay it off in full every month. I use one that gives me air miles. I tried using just cash but it isn't really very convenient. Credit cards are not a bad thing per se. You just have to be sensible about paying it off and not letting yourself lose control.

saubryn

When my credit rating is sorted and I'm debt-free I do intend to get a credit card that will earn me airmiles. If my business takes off, I will be travelling a lot, and it would help a lot.

I do a lot of transactions that require a credit or debit card, and I would put it all on the card and pay it off straight away.

I don't ever want to run up bad debt again!

Locana

Me too. I use my credit card for day to day expenses. Since coming onto MSE I am more money sensible and am working hard to pay off my debts. The card gets paid off in full every month, as I hope this will also help my credit rating in the long run.

MoneyMagnet

Yes, I still use my 2 cards, but always pay them off in full each month (I don't have credit card debt - just a loan). I shop online quite a bit, and prefer to use a credit card for internet purchases now, after experiencing debit card fraud.

Temptation to overspend isn't an issue for me - I've well & truly learned my lesson after my previous carelessness, and I'm so determined to clear my debt asap that I hate spending a penny more than I have to!

Reya

Once my two high-interest cards are paid off, I'm going to close them and get a low-interest one (one of Martin's 'best for purchases' recommendations, most likely) because you can't stay in many hotels these days without registering a credit card at reception, and I plan on taking a few weekends away here and there. I also pay for my webhosting by credit card (only a small amount each month, but it's so easy that way) and I have a card registered with Paypal for online transactions. But once I'm debt-free I'll have enough money free each month to pay the amount in full every time, and that's what I intend to do.

My big hope is to go on one of those writing holidays in 2009 or 2010 (my estimated DFD is April 2008 so that'll give me time to save up afterwards), on a small Greek island, so although I'll save for that, I'd like to keep a credit card with me in case of emergencies. You never know what's going to happen on holiday, or at any other time in life in the UK. You could end up stuck miles away from home in the event of a transport emergency and have to pay for a taxi back home, or a hotel for the night, and for things like that a credit card is a must, for me at least.

rog2

I'm hoping that, when I am debt-free, No-one will offer me a credit card. It was falling for the offers, including 0% transfers, free flights etc. that got me into the mess I am in now! Not that the offers, in themselves, were bad, but it was the temptation of the available spending power that I was unable to resist.

Mrs_Sparkle

I have to use a credit card for work as I have to claim my expenses back in arrears and there's no way my current account can handle the expenses- e.g. in the last 2 weeks I've paid £138 to take a client out to lunch and £120 on a bar bill- both will be claimed back but won't reach my account until the end of Sept. Hence my first direct gold card actually has a HIGHER balance than when I started my DFW mission. I also like my &More card as I get sent M&S vouchers- which I intend to sell on eBay.

moozie_2

Since starting my debt free journey,I have become a lot more aware of how to use my money to make sure it works best for me. After I got the best deals on my debt, I got one of the top cashback credit cards and already have about £35 cashback waiting for me It will be a nice little treat when I cash it in next year :j

The great thing is that I know how much I've spent on it, I know how much I want to spend on it each month and it's always paid off in full. Now that is not only an achievement for me but also a little revenge to those institutions that are that bit richer because of all the interest I've paid through the years :rotfl: