I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

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iamblessed
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I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by iamblessed » Mon May 13, 2019 10:36 pm

If so could you name what kind of loans you do have? I have three personal loans and wonder if this is enough.

MotoTrojan
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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by MotoTrojan » Mon May 13, 2019 10:44 pm

iamblessed wrote:
Mon May 13, 2019 10:36 pm
If so could you name what kind of loans you do have? I have three personal loans and wonder if this is enough.
Just curious your primary displeasure in CCs?

stan1
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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by stan1 » Mon May 13, 2019 10:53 pm

From a fraud perspective credit cards are much safer than debit cards. The law for credit card fraud is on your side. You are only liable for a maximum up to $50 if you report a fraudulent charge. The bank will quickly clear the fraudulent charge off your bill after a phone call. For debit card fraud there is no equivalent maximum protection. The money comes out of your checking account and you could find other checks bouncing. You have to convince the bank to give you your money back. In practice they do but they are much slower.

If your preference is to help you managed credit card debt I can understand your perspective but if you pay your bill off in full every month the better consumer protections of a credit card are a great benefit.

pdavi21
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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by pdavi21 » Mon May 13, 2019 10:54 pm

With one type of credit, my guess is you could get to around 700-780 pretty easy. Adding a mortgage would help.
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iasw
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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by iasw » Mon May 13, 2019 10:55 pm

Why are you concerned about credit score? Will you be taking out a mortgage or auto loan at some point in the future?

And, can you add more of your dislike of credit cards? Even if you preferred to use cash for most purchases, credit cards can offer good protection and benefits in some cases (rental car for one).

tigerdoc93
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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by tigerdoc93 » Mon May 13, 2019 10:58 pm

I like getting 2% back using my credit card.

MotoTrojan
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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by MotoTrojan » Mon May 13, 2019 11:18 pm

tigerdoc93 wrote:
Mon May 13, 2019 10:58 pm
I like getting 2% back using my credit card.
I get closer to 4.5% average. Sure is nice.

cacophony
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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by cacophony » Mon May 13, 2019 11:26 pm

MotoTrojan wrote:
Mon May 13, 2019 11:18 pm
I get closer to 4.5% average. Sure is nice.
Collection of different cards, each with specific or revolving categories?

2% off everything (Citi Double Cash) can't really be beat for simplicity.

TravelGeek
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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by TravelGeek » Mon May 13, 2019 11:29 pm

iamblessed wrote:
Mon May 13, 2019 10:36 pm
If so could you name what kind of loans you do have? I have three personal loans and wonder if this is enough.
What credit score do you currently have? Wouldn’t that answer if your loans are enough?

I wouldn’t want to give up the 2-5% I save with credit cards, as well as some of the benefits such as purchase and fraud protection and travel insurance. It also would make my life a lot more complicated if I couldn’t use credit/charge cards for things like car rentals or hotel stays. If you are concerned about not paying off your balance every month, look into Amex charge cards (instead of debit cards).

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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by iamlucky13 » Mon May 13, 2019 11:56 pm

iamblessed wrote:
Mon May 13, 2019 10:36 pm
If so could you name what kind of loans you do have? I have three personal loans and wonder if this is enough.
Other loans are probably ok. I had no loans and a bad score.

I was able to avoid formal student loans (just a small loan under the table from my grandparents) and didn't have a credit card until my mid-20's. I hadn't needed one, and was not favorable to possessing an instrument I had watched too many people dig themselves very deep holes with. I had no worries for myself. Just a distaste for dealing with credit card companies.

When I was talked into getting a card to build a credit history ahead of getting a mortgage, because I was past the age any sane and trustworthy person would get a card, I was unable to qualify for any recommended card. I think I was turned down over half a dozen times before I succeeded in getting a card with a $500 limit and no perks. After the first few decisions, my dad actually thought I was being irresponsible or doing something wrong, and cornered me into an awkward call on speaker phone with Discover. He was stunned to find out someone in a professional career who could document several years of steady income on request could be ineligible for most cards.

Once I finally got one, I then diligently kept it paid off every month for over a year, only to find out my method of keeping it paid off (not charging anything to it) still made it impossible for any other lender to believe I could possibly be capable of keeping my finances well enough under control to be trusted with a loan.

After I started actively using a card, my score went up quickly. If I remember right, it was less than two years before I actually tried to buy a house, and we received the lowest rate our lender offered, within 0.125% of the best rates I found on bankrate.

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FIREchief
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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by FIREchief » Tue May 14, 2019 12:24 am

tigerdoc93 wrote:
Mon May 13, 2019 10:58 pm
I like getting 2% back using my credit card.
+1. I doubt we'll hear back from the original poster.

I really can't imagine trying to function in today's world without a credit card. The consumer protection features alone justify their use. The 2% discount on everything is just icing on the cake.
I am not a lawyer, accountant or financial advisor. Any advice or suggestions that I may provide shall be considered for entertainment purposes only.

MotoTrojan
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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by MotoTrojan » Tue May 14, 2019 12:38 am

cacophony wrote:
Mon May 13, 2019 11:26 pm
MotoTrojan wrote:
Mon May 13, 2019 11:18 pm
I get closer to 4.5% average. Sure is nice.
Collection of different cards, each with specific or revolving categories?

2% off everything (Citi Double Cash) can't really be beat for simplicity.
I do use that too. Primary is Propel (3% dining travel and gas) which gets a 1.5x boost when transferred to Visa Signature and used for airfare. I’m not one for simplicity though, I regularly use 3-4 other cards and sometimes a bonus only here and there.

UpperNwGuy
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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by UpperNwGuy » Tue May 14, 2019 12:41 am

iamblessed wrote:
Mon May 13, 2019 10:36 pm
If so could you name what kind of loans you do have? I have three personal loans and wonder if this is enough.
Why would you have so many loans if you don’t like credit cards? The only reasons I can think of to explain not liking credit cards would seem to apply equally to personal loans.

zeal
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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by zeal » Tue May 14, 2019 7:23 am

I opened my first credit card a couple months ago--30 years old. Life can be done without one, and you can have a good credit score too. The only problem I ever ran into without a CC was car rental, but Uber takes care of that. If you are against using a credit card then you don't need to get one. My credit was initially earned via student loans, which took me to around 740, then I bought a mortgage and my 740 credit score allowed me to get a 3.875% rate--perfectly happy with that. I think my highest score was around 750 but it started dropping because I paid off the rest of my student loans so my "account history" became very short. Back up to 750, then I got a new mortgage (closing the old one) and opened the credit card a couple months later. So now my account age is only 6 months old--my score is around 715 (ouch--I won't be borrowing any money for a long time anyway though).

I've never missed a payment and never used a full loan term--always pay things off early. Pretty dumb that this action actually lowers your credit score... I guess I just don't utilize credit enough to keep Mr. FICO happy. Never taken a personal loan or car loan. I've heard that a mortgage is rated higher than other types (could be a myth, I've never researched it--just hearsay), but student loans might help you too. Keep in mind that, as in my story, the length the loan has been open affects your credit score.

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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by MnD » Tue May 14, 2019 7:57 am

I added my young adult kids (who had no loans or credit cards) and thus no credit scores as authorized users to a heavily used rewards card that requires a high credit rating to qualify for. After a period of time they "inherited" a very high credit score. I never sent them the cards which just sat in a drawer and were never used. After a period of time they were able to apply for their own decent rewards cards which required solid credit and I dropped the authorized user. As far as I know they still have the high scores. The main reason I did this was that our insurance agent indicated that no or a low credit score simply from not utilizing credit could result in really high auto insurance premiums for them when they switched to their own policies.

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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by megabad » Tue May 14, 2019 8:48 am

You stated you don’t like “using” credit cards. That’s great because having them and not using them is actually very good for your credit score. For example, I have a card that sits in a drawer every single day. Only gets used twice per year with two automatic payments. Why not just sign up for a few credit cards and only use them once or twice a year? Otherwise anecdotally years ago I had a car loan and student loans and no CC and my score never broke 700. I would think you would be at a severe disadvantage credit score wise but I guess it doesn’t matter if you don’t like credit anyway? I assume if you don’t like credit cards, you would also think that car and home loans were equally bad ideas? Therefore not much need for a good credit score.

AkwardDoct@rd
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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by AkwardDoct@rd » Tue May 14, 2019 8:54 am

I personally think that consumer prices are "built in" to account for the credit card fee. Using cash you are just losing money unless you go to an establishment that give you a discount for using cash.

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djpeteski
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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by djpeteski » Tue May 14, 2019 9:04 am

iamblessed wrote:
Mon May 13, 2019 10:36 pm
If so could you name what kind of loans you do have? I have three personal loans and wonder if this is enough.
Why is a good credit score important to you? For some, it is irrelevant. It seems very irrelevant to me.

SallyP
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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by SallyP » Tue May 14, 2019 9:11 am

Even if you don't want to use a credit card for routine purchases, you can improve your credit score by simply having a card and charging a small monthly recurring bill like Hulu or Netflix to it. Keep it in your sock drawer if you find that a credit card derails your budget or tempts you in some way.

I'm sorry, editing because I didn't really answer the question you asked.

The answer is that it depends. If you have other credit reporting, such as a car loan or a mortgage, and you've done well with those, you can have a decent score.

A few years ago we realized that my husband's score was significantly lower than mine even though he's the primary money maker, but all the credit card activity was in my name.
Last edited by SallyP on Tue May 14, 2019 9:13 am, edited 1 time in total.

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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by The Wizard » Tue May 14, 2019 9:12 am

Seems like a lot of replies are not addressing the OP's question.
And I can't address it either, since I've had CC's forever.

I do have one acquaintance who has sworn off CCs due to his "variable" income and problems with debt, so his credit score might not be the best...
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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by bloom2708 » Tue May 14, 2019 9:12 am

If you have the money and are going to make a purchase, then not using credit cards is passing up free money or travel points or whatever reward you are interested in.

We use a few different cards. Tracking the spending is easier. I use one card, my wife uses another.

We have the money. I will charge something and pay it off after a few days. I get the 2,3,4% and then pay it off. I'm not using them to get by or use "float" or stretch my payment out as long as possible. Some months I pay off the credit cards 3,4 times if I've made a large purchase.

If you shop at Costco or purchase gas, it is kind of silly to pass up 4% back on gas. It adds up. Plus Costco is 15-20 cents less per gallon in our area before the 4%.

They are a tool. They can get some in trouble or get you some cash or rewards if used correctly.

You can have a good credit score with 1 (not used much) credit card.
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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by jrbdmb » Tue May 14, 2019 9:34 am

cacophony wrote:
Mon May 13, 2019 11:26 pm
MotoTrojan wrote:
Mon May 13, 2019 11:18 pm
I get closer to 4.5% average. Sure is nice.
Collection of different cards, each with specific or revolving categories?

2% off everything (Citi Double Cash) can't really be beat for simplicity.
Citi Double Cash at 2% is pretty easy. Some people have access to the USAA card at 2.5% on everything, and BoA Travel Rewards / Premium Rewards will get you 2.625% on everything if you can park enough cash at BoA or Merrill. There is also a JCB credit card that paid 3%, but it's only available in some western states and may be defunct soon.

After that you have to use start using different cards for different purchases. But for me that's OK when I can get back 4% on dining, 5% on utilities, and 5.25% on gas.

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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by hansatsu » Tue May 14, 2019 9:40 am

stan1 wrote:
Mon May 13, 2019 10:53 pm
From a fraud perspective credit cards are much safer than debit cards. The law for credit card fraud is on your side. You are only liable for a maximum up to $50 if you report a fraudulent charge. The bank will quickly clear the fraudulent charge off your bill after a phone call. For debit card fraud there is no equivalent maximum protection. The money comes out of your checking account and you could find other checks bouncing. You have to convince the bank to give you your money back. In practice they do but they are much slower.

If your preference is to help you managed credit card debt I can understand your perspective but if you pay your bill off in full every month the better consumer protections of a credit card are a great benefit.
Good point, but privacy.com can take care of this with direct connect to your debit card. It's a free service that generates unique card numbers, with spend cap threshold for specific vendors if you'd like.

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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by Jack FFR1846 » Tue May 14, 2019 9:42 am

You don't like credit cards? How do you pay for things?
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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by batpot » Tue May 14, 2019 10:04 am

At this point, if you don't use credit cards, you're needlessly paying more for goods.

Bud
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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by Bud » Tue May 14, 2019 10:07 am

for the first 40 years of life I had no credit card, then for the next 10 years I had one credit card.... only in the last five years have I had multiple cards and my credit was always fine.

If you don't use credit, you don't need a credit card :). Some would consider the concerns associated with having information stolen a non-monetary benefit of no credit card that out weighs any additional cost.

all the best...

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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by Jack FFR1846 » Tue May 14, 2019 10:13 am

Bud wrote:
Tue May 14, 2019 10:07 am
Some would consider the concerns associated with having information stolen a non-monetary benefit of no credit card that out weighs any additional cost.
If that were the biggest concern, then one should have no bank account, any online forum account, LinkedIn (which was hacked and all passwords exposed, by the way), facebook (who, of course would sell your online information for the right price to anyone) pay any bills online or through bank bill pay.
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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by TBillT » Tue May 14, 2019 10:29 am

Facinating YouTube presentation by Frank Abignale (played by Leonardo DiCaprio in Catch me if you Can).
Re: security- He likes credit cards a lot but not debit cards.
https://www.youtube.com/watch?v=vsMydMDi3rI

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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by sport » Tue May 14, 2019 10:44 am

djpeteski wrote:
Tue May 14, 2019 9:04 am
iamblessed wrote:
Mon May 13, 2019 10:36 pm
If so could you name what kind of loans you do have? I have three personal loans and wonder if this is enough.
Why is a good credit score important to you? For some, it is irrelevant. It seems very irrelevant to me.
In some areas, homeowners and auto insurance premiums will be higher if your credit score is too low.

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DanMahowny
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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by DanMahowny » Tue May 14, 2019 11:01 am

You can learn a lot about a person by their credit score.
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TravelGeek
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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by TravelGeek » Tue May 14, 2019 11:08 am

zeal wrote:
Tue May 14, 2019 7:23 am
I opened my first credit card a couple months ago--30 years old. Life can be done without one, and you can have a good credit score too. The only problem I ever ran into without a CC was car rental, but Uber takes care of that.
Sure, life can be done without one, but not the life I want to live. It would be fairly inconvenient/limiting. Uber definitely isn’t a viable replacement for rental cars for most of my rentals, just like a hammer isn’t a replacement for a screw driver in most cases. How much is an Uber from Vegas to the Grand Canyon and back? ;)

(that said, I believe you can rental cars in the US with just a debit card. Google your favorite rental car agency for details)
Last edited by TravelGeek on Tue May 14, 2019 11:11 am, edited 1 time in total.

smectym
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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by smectym » Tue May 14, 2019 11:09 am

A current auto loan is good for a high credit score. (I don’t have one—and a bank officer told me that was hurting my otherwise high score.) If you have other revolving credit (not CC but a personal line of credit with a bank) that also works.

I think it’s fair to say you need some kind of credit history...doesn’t need to be CC-based.

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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by smectym » Tue May 14, 2019 11:13 am

hansatsu wrote:
Tue May 14, 2019 9:40 am
stan1 wrote:
Mon May 13, 2019 10:53 pm
From a fraud perspective credit cards are much safer than debit cards. The law for credit card fraud is on your side. You are only liable for a maximum up to $50 if you report a fraudulent charge. The bank will quickly clear the fraudulent charge off your bill after a phone call. For debit card fraud there is no equivalent maximum protection. The money comes out of your checking account and you could find other checks bouncing. You have to convince the bank to give you your money back. In practice they do but they are much slower.

If your preference is to help you managed credit card debt I can understand your perspective but if you pay your bill off in full every month the better consumer protections of a credit card are a great benefit.
Good point, but privacy.com can take care of this with direct connect to your debit card. It's a free service that generates unique card numbers, with spend cap threshold for specific vendors if you'd like.
Watch out—apparently business credit cards lack a lot of the same protections

https://www.consumerreports.org/credit- ... otections/

zeal
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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by zeal » Tue May 14, 2019 11:18 am

TravelGeek wrote:
Tue May 14, 2019 11:08 am
zeal wrote:
Tue May 14, 2019 7:23 am
I opened my first credit card a couple months ago--30 years old. Life can be done without one, and you can have a good credit score too. The only problem I ever ran into without a CC was car rental, but Uber takes care of that.
Sure, life can be done without one, but not the life I want to live. It would be fairly inconvenient/limiting. Uber definitely isn’t a viable replacement for rental cars for most of my rentals, just like a hammer isn’t a replacement for a screw driver in most cases. How much is an Uber from Vegas to the Grand Canyon and back? ;)
Guessing by your username that you travel quite a bit :) We don't. We usually take one or two week-long vacations to the beach per year and they are close enough that driving our own car makes the most sense. I travel roughly every other month for business and have always found an airport and hotel within a 20-minute radius of my destination so I haven't needed anything more than Uber.

A very literal case of YMMV!

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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by obgraham » Tue May 14, 2019 1:55 pm

How do you Uber without a credit card?

When I looked this up just now the alternatives are simply credit card workarounds -- like paypal or cryptocash. I don;t really see the difference.

TravelGeek
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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by TravelGeek » Tue May 14, 2019 2:03 pm

obgraham wrote:
Tue May 14, 2019 1:55 pm
How do you Uber without a credit card?

When I looked this up just now the alternatives are simply credit card workarounds -- like paypal or cryptocash. I don;t really see the difference.
How’s PayPal a credit card workaround? They can suck the money out of your bank account, if that’s what people prefer. Do you need to register a credit card with PayPal?

Also, can’t you just buy Uber gift cards at a grocery store with cash/check and load it into your Uber account?

(not that I personally would go either route, mind you).

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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by Broken Man 1999 » Tue May 14, 2019 2:15 pm

Last year I spent $48,913.34 on my least generous percentage rewards credit card. Though the least generous, I received the most rewards as it is 2% back on everything, worked out to be $978 of statement credits. As well I had three other cards that offered higher rewards percentages back, but on specific spending.

I am not leaving $1000+ on the table, no way. I didn't pay any interest, and none of my cards have an annual fee.

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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by cshell2 » Tue May 14, 2019 2:26 pm

I can understand staying away from credit cards if their use causes a spending problem. $1000 in credit card rewards doesn't mean much if you spent way more than you normally would have using a debit or cash...or worse, started carrying high interest debt. I use rewards cards for everything and pay off every month, but I it's no secret that a lot of people have serious issues with credit cards. Nothing wrong with knowing one's weaknesses and avoiding them. It's why I keep all ice cream and snack food out of my house. :D

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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by CnC » Tue May 14, 2019 2:51 pm

I never used or even had a credit card as a young adult.

It caused problems getting a loan in 2008 since I had no credit at all. Luckily I'm from the Midwest where family history and common sense prevails so I got a loan from the family bank at a very good interest rate. Fast forward 11 years and the loan is paid off and we use credit cards every month for the 2% cash back and I have a credit score in the 790's and my wife has one in the 840's.

So, though I dislike credit cards they seem to be a necessary evil.

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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by mhalley » Tue May 14, 2019 3:06 pm

Unfortunately, your credit score is used for much more than getting loans. Everything from renting apartments, setting auto insurance rates, employers checking to see if you are responsible, getting a cell phone plan, the list is long. If you don’t like using cc, fine, but having 2 in a drawer that you use twice a year to buy a tank of gas is a reasonable way to maintain a credit score and not use them. You never have to pay a penny of interest if you pay in full every time, but if you take out unnecessary loans just to maintain a credit score you do.

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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by Noble Knight » Tue May 14, 2019 4:33 pm

I don’t like using cash or places that force me to use cash, it’s so archaic. My only guess for this practice is so the owner can collect money from the ATM fee.

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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by willthrill81 » Tue May 14, 2019 4:38 pm

Over the course of the last 18 years or so that we've had credit cards, we've earned an estimated $15k in rewards, mostly cashback and airline miles. In return, we once carried a small balance from one month to the next, and that cost us maybe $25. Plus, credit cards offer far more protection than do debit cards, and there are several services, such as rental cars, where debit cards simply aren't an option.

Sorry Dave Ramsay, but your advice in this arena is not universal. Some folks can use this tool very effectively. Others cannot.
“It's a dangerous business, Frodo, going out your door. You step onto the road, and if you don't keep your feet, there's no knowing where you might be swept off to.” J.R.R. Tolkien,The Lord of the Rings

mariezzz
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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by mariezzz » Tue May 14, 2019 5:11 pm

If that's the way you feel: I'd suggest having a credit card but using it just for major purchases. The warranty extension that some credit cards provide can be a nice benefit. Cash back that comes with some CC is nice.

You didn't say anything about debit cards, but I'll say the following. I would never have a debit card - they don't come with guaranteed federal protections against fraud. (If I did have a debit card, it would be for a bank account I kept very little money in, as debit cards can create risks for your money. Even if the bank says they'll protect you against fraud, they can take months to return the funds that disappeared.

People who are against CC but who use debit cards to me are acting illogically, given that credit cards provide more benefits and more legal protections, plus they don't expose your bank account to potential fraud. (As a note: be aware that there are risks to accessing your bank account over the internet, especially over wifi, and especially using internet on a phone, because app security on phones is poor).
With a credit card, you only end up with a huge balance if you're not in control of your spending. If you need to, treat spending on a credit card like one should treat spending on a checking account: write down every transaction and keep track of your checking account balance and total expenditures. I always have a fairly accurate running balance in my head (I skip writing it down) but can also log into the CC account and see my expenditures, to make sure my running total is correct.

I've always paid off my CC statement balance in full each month. I've never paid interest on CC purchases. If you have a CC, that's the way to use them.

stoptothink
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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by stoptothink » Tue May 14, 2019 5:19 pm

Just an anecdote about how screwy credit scores are, my mortgage was just sold. I received a notice this morning that my credit score dropped over 30 points literally overnight because one of my lines of credit (my mortgage) was closed out and a balance of "X" no longer existed. While I'd love for my mortgage to be gone, it isn't, it was just transferred to another carrier; and it would seem backwards that having paid off a mortgage would increase your credit score, but it drops it. I'm still well over 800 so it is immaterial, but it is annoying.

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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by Fallible » Tue May 14, 2019 5:22 pm

iamblessed wrote:
Mon May 13, 2019 10:36 pm
If so could you name what kind of loans you do have? I have three personal loans and wonder if this is enough.
I've always had a good credit score without a major credit card. The score increased when I had a mortgage and has stayed high since the mortgage was paid off early many years ago. Helps enormously to pay bills on time.
"John Bogle has changed a basic industry in the optimal direction. Of very few can this be said." ~Paul A. Samuelson

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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by iamlucky13 » Tue May 14, 2019 7:02 pm

Although the OP hasn't responded back, I suspect they hold similar thoughts to what I used to, so I thought I'd respond to some of the discussion beyond the scope of the question:
UpperNwGuy wrote:
Tue May 14, 2019 12:41 am
Why would you have so many loans if you don’t like credit cards? The only reasons I can think of to explain not liking credit cards would seem to apply equally to personal loans.
A lot of people have multiple student loans, as well as car loans, both of which can have much more compelling rationalizations than credit cards. Taking on student or car loans is also frequently better planned than credit card debt, and doesn't normally come with interest rates in excess of 20%.

Even being a responsible person who always pays in full every month and benefits from cash back, I have always disliked how the credit card industry operates, so it took a long time for me to get comfortable using them myself.
zeal wrote:
Tue May 14, 2019 7:23 am
I've never missed a payment and never used a full loan term--always pay things off early. Pretty dumb that this action actually lowers your credit score
There's a cynical perspective from which this would make perfect sense: The point of a credit score isn't to get you access to credit. It's to help lenders decide at what rate they can make money off of the collective group of users similar to you, or whether or not to grant you access to credit at all.

Paying loans off early reduces the money they make from you. Customers who do that aren't as desirable as those who pay over the full term.
megabad wrote:
Tue May 14, 2019 8:48 am
You stated you don’t like “using” credit cards. That’s great because having them and not using them is actually very good for your credit score.
It's actually not. I mentioned my own experience with this above. Not using my card at all meant that I couldn't even get a small credit limit increase I requested on the one card I was finally able to get.

But your suggestion to use it only a couple times a year might suffice.
Jack FFR1846 wrote:
Tue May 14, 2019 10:13 am
If that were the biggest concern, then one should have no bank account, any online forum account, LinkedIn (which was hacked and all passwords exposed, by the way), facebook (who, of course would sell your online information for the right price to anyone) pay any bills online or through bank bill pay.
Non sequitur. You can be deeply concerned about information security as a reason to limit how frequently and for what reasons you compromise on the risk, rather than to reject all risk. It's not all or nothing. Even with Facebook, who clearly will compromise your personal information, you can control the primary information you give them (although it is harder to control their web tracking). My mother has a nearly empty profile for the sake of her privacy. All she does is read posts by family members.
TravelGeek wrote:
Tue May 14, 2019 11:08 am
that said, I believe you can rental cars in the US with just a debit card.
Yes. I did so before I had a credit card, although Enterprise refused to rent to me unless I bought the collision damage waiver, which roughly doubled the cost of the rental.
obgraham wrote:
Tue May 14, 2019 1:55 pm
How do you Uber without a credit card?

When I looked this up just now the alternatives are simply credit card workarounds -- like paypal or cryptocash.
Debit cards. I wouldn't call either debit cards or Paypal workarounds. There are functional similarities, but financially, they're very different.
Noble Knight wrote:
Tue May 14, 2019 4:33 pm
I don’t like using cash or places that force me to use cash, it’s so archaic. My only guess for this practice is so the owner can collect money from the ATM fee.
No. It's because their merchant service provider charges them typically a base fee and a percentage fee that often are a major chunk of their profit margin. As a percentage, the number sounds small, but if you're a small business owner with a net margin of 20%, it literally can be as significant as losing a month's worth of income.

Also, what is archaic about it? It's a medium of exchange you don't have to rely on a third party for, with various resulting pros and cons. One of the cons is it's easy to lose. One of the pros is you're less susceptible to technology issues. Even though I was late to the game and don't use my card particularly often, I've worn out cards before and been unable to use them until a replacement arrives, and I've gotten the "sorry, our card reader is down, do you have cash?" response multiple times. I'm old enough to have worked in retail when we could fall back on an imprinter, but I gather barely any stores still have those.

bluebolt
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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by bluebolt » Tue May 14, 2019 7:05 pm

Noble Knight wrote:
Tue May 14, 2019 4:33 pm
I don’t like using cash or places that force me to use cash, it’s so archaic. My only guess for this practice is so the owner can collect money from the ATM fee.
It's so business owners can underreport revenue for tax purposes and/or launder money. :shock:

supersharpie
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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by supersharpie » Tue May 14, 2019 7:10 pm

iamblessed wrote:
Mon May 13, 2019 10:36 pm
If so could you name what kind of loans you do have? I have three personal loans and wonder if this is enough.
You are turning away free money by not using credit cards. Most likely someone you know got into credit card debt so you think they are bad.

On the contrary, as long as you purchase the same items on a credit card that you would otherwise pay for in cash AND you pay your card off in full EVERY month, then you will end up earning back anywhere from 2% to 5% on every dollar you spend. Over a lifetime that really adds up!!!
Last edited by supersharpie on Tue May 14, 2019 7:28 pm, edited 1 time in total.

Electrum
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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by Electrum » Tue May 14, 2019 7:15 pm

One credit card, paid off each month. No debt of any kind. Credit score is 814.

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whodidntante
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Re: I really do not like using credit cards. Do any of you have a good credit score with no credit cards?

Post by whodidntante » Tue May 14, 2019 7:19 pm

What is your credit score, OP? Have your weird ways hurt your access to the best interest rates? And did that matter?

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