Important Steps to Financial Success

i thought the same way as you did a few months back when i and my partner had some issues on money matters and our relationship seemed like it is gonna sink
and i went into depression and only on one day my friend made me realize how i could overcome my issue with this.
And it worked for me and now, we are a happily living couple.

Money and Relationships

I rarely use cash. I’m digging deep at the moment and cannot come up with the last time I used cash. The last time I wrote a check was in Sam’s over 7 months ago. Though, I do know that I’ll be writing some checks to the school now that the year has started. I do not have a debit card.

Credit cards are infinitely better than debit cards. With a credit card, any mistakes are resolved before a penny comes out of my pocket. With a debit card, money is taken directly out of your account (potentially racking up overdraft fees from the bank and returned check fees from the vendor and preventing you from accessing your own money – what happens if it’s a weekend or holiday or after hours or you’re on vacation!!) until mistakes are resolved…maybe, eventually…on your dime (many dollars, actually) and your time.

The only reason I can see for anyone to resort to paying cash is if they have self-control issues. If you have to have the physical reminder of the actual cash in your purse to determine whether or not you’re going to purchase something, you’ve got way bigger problems than deciding whether to use cash or credit.

Clearly, Theresa, you’ve admitted to having self-control issues. You openly admit that you buy things on impulse. You and your husband both apparently spend money mindlessly. While forcing yourself to use cash highlights the wasteful spending habits you have, it cannot magically make you gain real self-control.

Why would you use cash at the gas pump? Are you going to overfill your gas tank if you use a credit card instead of cash? Are you going to mindlessly drive around and needlessly burn more gas if you know you paid for it with a credit card instead of cash?

Why would you use cash at a grocery store? Are you going to pick up junk food or other overpriced extra stuff you don’t need/won’t eat because you’re going to use a credit card instead of cash?

There are many protections that are in place when you purchse with a credit card. You lose those protections when you use cash, checks or even debit cards (contrary to popular belief, the protections on a debit card are NOT as extensive as they are on a credit card).

And, for those of you who stuff envelopes full of cash at home – what happens if your house is destroyed or burglarized? It sure sounds like you’re out at least a month’s worth of money. Don’t think it can’t happen to you. I have two friends who have recently lost their homes due to fire and several who lost theirs in a tornado or other natural disaster. I have had my house burglarized twice. Trust me, they KNOW all the hiding places – your cash would be gone. Then what would you do? Insurance companies only replace cash up to a certain amount (typically around $200) and that’s typically less than the deductible amount.

Stay clear of those debit cards, Theresa. A simple human keying error quickly turns 100.00 into 10000. Won’t that be fun to clean up after the fact? I have friend who went through that nightmare. Months later, hours and hours of his time invested and he’s still not been refunded all the fees…

I take my cash to purchase money orders for my bills and mail them. I shop in the bulk and it lasts for more than a month. I have been doing this for almost two years. I have paid off several of my credit cards, and very close to finishing that by the end of this year. I have a house note, and car note. I have two small children and I have to budget everything. If an emergency arises, then it comes out of savings.

I used to bank at Wachovia but I took my business elsewhere because they would wait 2 days to deposit my checks, even my direct deposits. The fees would wipe out my account, especially after going to the grocery store. After a year of dealing and pleading with them to actually put my money in the account and then pay the bills…instead of racking up the fees. I have been with the credit union for over 2 years and haven’t experienced any fees yet.

I put money on a gift card while I am in walmart or sams, and then I can stick the card in at the gas pump w/o having to leave the pump. This works well when the kids are with me. I have been doing this because of a job loss 18 months ago.

Clark Howard once mentioned a way that you could see which credit card pays you back and what rewards program would be the best….I cannot remember it.

I use a Hilton Honors American Express Platinum and have over 700,000 points now, which translates into the possibility of taking at least 4 folks on a cruise for FREE ….IF we do not go in the high season. We used 120,000 points in April to stay at the Embassy Suites in NYC for free…3 nights.
I have had this card for years and pay the balance in full every month. A friend’s son ( who is an accountant) e-mailed me once to introduce the card ( they run referrals sometimes).
I replied that I already have the card and he told me it was the best card for reward points….if you
want to redeem them for travel. He and his wife stayed 5 nights at an upscale Hilton resort in Maui for FREE on their points. I used Discover previously and the perks I got from it were terrible but if you do not travel, then maybe their rewards are better. Whenever Discover calls and reminds me that I am not using their card, I tell them why and the salesperson usually asks me to give him/her the name of the card I use.

If you do pay your card off in full, I think the rewards points are a benefit….anyone else?
Isn’t this a way to “save” for a vacation or maybe earn gift cards to share during the holidays.

I have to have credit cards to travel….can you even rent a hotel room or rental car with cash….I do not know. I do not worry about the interest rates, as I do not carry a balance.