[proxy_user]

I don’t agree with this. My brother charges everything he buys on a 2% Amex card, about $40K a year, and gets back $800 every year in cash

My expenses are much lower, but I still charge about $8K a year. I got a free TV this way.

If you have sufficient cash reserves and self-discipline, it is foolish not to do this. I only charge $500-1500 a month, and keep at least $10K in my checking account at all times.

[newgeezer]

If you have sufficient cash reserves and self-discipline, it is foolish not to do this.

Agreed. I've been using cash reward credit cards for 20+ years. Pay them off every month, no cost whatsoever.

Credit cards also have safety and security advantages over debit cards. For example, when someone steals your credit card information—as happened to me twice on two different cards last year (I never let a card out of my sight anymore)—chances are the card issuer will detect and prevent fraudulent charges from going through. (Given your $50 liability limit, it's in their best interest.) BUT, if someone steals your debit card info, you're probably on your own. Good luck with that.

[Mad Dawgg]

"I don’t agree with this. My brother charges everything he buys on a 2% Amex card, about $40K a year, and gets back $800 every year in cash."

ALL my normal day to day transactions are paid for with my Paypal Debit card. I get 1.5% Cash Back on every purchase. ( I am grandfathered in on that rate now I believe you can only get 1% cash back on new accounts) That adds up because it is put right back into my account so then I get 1.5% again when I use the cash back money.

I don't keep large sums in the Paypal account. But I am always transferring cash over to replenish it. Seems dumb to me NOT to take a 1.5% discount on every purchase I make.

[Responsibility2nd]

“I don’t agree with this.”

~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~

I also don’t agree. But if someone is so financially ignorant that they have to ask Dear Dave fundamental and basic questions like these, then yes... the best answer is to cut up your credit cards.

Most people, howerver, have (or should have) sense enough to know how to manage money.

[Vigilanteman]

If you have sufficient cash reserves and self-discipline, it is foolish not to do this.

Spot on. But too many people have neither sufficient cash reserves nor self-discipline.

Personally, I use this rewards debit card which offers a minimum of 1% back on everything you buy. That's as good as or better than most credit cards.

[Rightly Biased]

Its about risk...

if you wanna risk the stumble use a credit card.

if you don’t wanna risk don’t use the credit card.