Is is possible to live without a CC in 21st century?

hubris

I am seriously considering cancelling my two credit cards. I use them for day to day purchases and pay off the full amount every month. But today the convenience of carrying them allowed me to be pressured by family into making a purchase I would not have otherwise done. I have no debts at all aside from my mortgage.

I know that credit cards carry these benefits:
1. Protection against goods not delivered etc.
2. Often needs to be swiped by hotels etc. as security.
3. Helps build/maintain credit rating.

Are there any other 'must-have' reasons for keeping a credit card, and are there any ways to benefit from the above three points without actually having a credit card (I'll keep my debit card). Of course, what I could do is keep my credit cards hidden at home only to be used in true emergencies and tell my family that I have cancelled them.

Thanks.

hubris

Response to my own post! Searching for debit card protection suggests that Visa Debit cards do come with some protection against undelivered goods:

http://whatconsumer.co.uk/forum/consumer-news/759-debit-card-refunds-your-rights.html

mostlycheerful

Down the years I've used them a bit, quite handy sometimes. But I haven't used any for a couple of years now, or even longer.

Mags_cat

I just got my first ever credit card this week.

I'm almost 40 years old and I've never had one until now. (I've had one bank loan - paid off early - and one HP agreement - paid off in the 0% period).

I only signed up for this card because I'm off on something of an epic holiday soon and I wanted some emergency backup cash if everything went pear shaped.

The bank offered me £10,000 credit. I nearly had a heart attack. I negotiated down to one month's worth of wages and immediately set up a DD for the full balance - not that I intend to use the thing, it scares the pants off me!

I've experienced bank fraud - someone once lifted £2500 out of my account in three transactions. The bank credited it back within two days and were very good about sorting out charges incurred.

I've never had any issues with Section 75 claims but I appreciate the protection a credit card gives.

So for me, yes, it's perfectly possible to live without a credit card.

CH27

I cut my credit card up a couple of years ago. It was one of the best things i've ever done.

fudgecat

Can you live without a credit card in he 21st Century? Yes.
Would I choose to do so? No.
1)I rarely carry cash, so convenience.
2)I rarely go shopping so I don`t have the issue of tempatation at the shops (of course ebay is another story!).
3)I have a cashback card so I make a profit on my spending, particularly in purchasing things for my employer (no imprest system). The temporary loan I make to my work is compensated by the cashback.
4)The protection factor, though as yet unused, is also welcome.
When used sensibly, credit cards are a huge benefit. I actively encouraged both my children to get one as soon as they were old enough. Both settle in full each month.
Having said that, when I walked the dog up to Waitrose the other day with just a tenner in my pocket, unencumbered by a bag, I was amazed at how economically I shopped, because I couldn`t exceed the tenner!
Perhaps I should try without the card for a month?:rotfl:

brewerdave

Both of my daughters (29 years old) and their OHs are credit card free ! They have all made a conscious decision to live without, altho' they have mortgages,car loans etc.
I couldn't live without mine altho' I pay them off every month - they just give me 3 or 4 weeks cash flow advantage.

bengal-stripe

hubris wrote: »

But today the convenience of carrying them allowed me to be pressured by family into making a purchase I would not have otherwise done.

This has nothing to do with credit cards. The same would have happened, had you carried sufficient cash with you.

Learn to resist the pressure of your family!

BabyBetty

Hi Hubris,

I have just cut up 2 of my cards this morning and am planning to chop a third at the end of this month.

I stopped using the cards in December 2010, and made a conscious decision to never use them again. I have an emergency fund (I am in temp work so need to have this) and don't want to rely on credit cards. I have 4 more cards that I will be closing once I have cleared the balances.

The funny thing is, when I could not get credit I lived quite happily without it.

BB

ironlady2022

I can't lived without mine either. It can also aid the following
-emergency use like a boiler breaking down and you are running low as it is end of month (cheaper than paying small overdraft fees if you go into it as you have up to X amount of days to pay-I for one loathe paying even pence in fees)
-good for aiding towards the end of the month
-sign up offers such as flights/vouchers
-0% for purchases to spread large payments

I would not succomb to your family though, it's your money at the end of the day. All you have to say is no and they hopefully will not ask again.

izools

I've actually just recently closed all of mine. Out of all the cards in my wallet, only one is a payment card. And that's my debit card.

Since Bankruptcy I've been approved for over #10,000 worth of credit lines (although not all at once) which was kinda nice but didn't really find any use for them so I no longer hold any credit cards.

I suppose S.75 protection is a nice benefit to have but tbh HSBC are very very good at disputing transactions if needs be anyway. They even refund the amount in question immediately once they are disputing with the retailer and only take it back if the retailer is proved correct.

From what I've read on these forums not even any credit card provider would lend you the cash whilst disputing the transaction. Excellent work, HSBC