Do You Have A Credit Card?

[RabbitsRock]

DH has one - I did for a while but found it too tempting to spend more than I could really afford plus it’s sometimes tricky to keep up with the repayments. I have had credit accounts with catalogues such as Bon Prix & Damart. These days I use Clearpay & Klarna which are really useful although again obviously you have to ensure you can make the repayments.

We have 2, one for large purchases/protection and then I have one with a pretty high limit for an emergency.

I have a credit card which I use for all card or cardless payments. I never use my debit card online.

CC is paid in full each month as soon as my wages go into my bank account.

I am a heavy user of my Online banking app so I always know where I stand.

Same here, food shopping and petrol and then it’s paid off every month.

I went to Switzerland last week and when checking in they asked for a credit card…I gave them my debit card (I don’t have a credit card as I have previously stated) they didn’t bat an eyelid. They’ll get what they are given in my opinion

My bank statement does that too, though.

I got one in uni and used to carry a few thousand in debt. Never late with a payment, but rarely paid it off. Then I d to buy a house so concentrated on paying it off first as, though the interest wasn’t that much, it was money I could put into savings! Have a house now. I still spend on my credit card, but only regular spending to build credit (and get the rewards). I pay it off in full every month. I would cut it up and never touch them again if I did find it too tempting. I can see how they could make sticking to a budget really hard if you’re struggling.

No prefer not to

I never understand those who don’t - this month we have had a £50nectar reward on our nectar supermarket card and £60 from buying flights - both paid in full.

also then the flights get the extra protection for the credit card and payments happen after we get paid

in 25 years I have only once spent more than I had (right at the start prompting a very harsh lecture from my parents and paying them back) and a couple of times had interest (once accidentally due to transposing numbers and once to take out cash that I couldn’t on my debit)

Several. All paid off automatically in full when due.

Yes, I have 3.

One is aligned to my Apple account and registered on my phone which means if I ever lose my purse I've always got a means to pay. That one is cleared by direct debit every month. I have another which I use if I want treats, holiday spends and DH's Xmas present which I pay monthly and a third which I use occasionally for small purchases but just enough to keep it going. The last two have a direct debit set up for the minimum payment and then I top up.

Reading that so many people get cash back, vouchers etc, I really must look into my cards to make them work better for me.

Yes of course. I actually wouldn’t be without one because of the protection you get with it - eg buying over the Internet or for big purchases.

I just pay it in full every month and have never paid any interest on it.

Fwiw for me, it’s much easier to budget with a CC than cash random,y coming out of the account. I feel I have much better control 🤷‍♀️🤷‍♀️. So all my purchases go in the CC.

Yes, I have had at least one since I was a student. I have never missed a payment - it is set up as a direct debit to pay the balance in full every month.

No stress involved for me, I have a direct debit set up to pay it off every month.
It’s a no brainer for me. Enhanced purchase protection, plus we earn points that go a long way towards paying for Christmas at the end of the year. Sensible money management.

My bank statement also includes mortgage, DDs and incoming credits, whereas the CC statement only shoes all other, 'non-fixed' and discretionary expenditures. One of my cards even provides a summary by different categories, e.g. travel, restaurants etc.

I find it useful to have a clear total of how much I've spend that month. Particularly since my bank statement, for some reason, doesn't cover a calender month but instead goes from 7th of one month to 6th of the next.

Yes, I have several and make over £1k pa from them due to cashback and exploiting interest free offers.

Plus there's the purchase protection which I've used twice, once when Monarch went bust and we needed to buy new flights 2 days before we were due to go away and our credit card refunded the extra cost which was £££s because thousands of people all needed new flights at the same time.

Mumsnet is weird about credit cards and yet there's also a lot of posts complaining about issues that would never have arisen or would be much easier and cheaper to solve if the payment had been made by credit card.

Yes, we live out of the UK and use ours for flights, always pay off in full but it gives us extra protections plus travel insurance.

Except that the money for the car rental will be held on your account. If you dint have the funds, then it will create problems.
My nephew had that exact problem. Created all sorts of issues when they came to pick up the car - that was already fully paid!!

Out of interest, which CC do you use that gives you so much cash back?
I have some cask back but it’s in the £100s really.

Yep, exactly this. I use it for absolutely everything and pay the entire balance off every month.
I can think of a couple of times where I've bought tickets to bands, the company's have gone into liquidation and I've been protected by the credit card and got my money back, those who paid with debits cards didn't. Credit cards offer high protection against purchases.

@MyNewLife2025 Exactly. They will reserve often over £1k on whatever card you hand over.

I've seen people complaining that 'they've been robbed of all their holiday money' due to this.

Alternatively you can pay something like £20 per day to reduce the excess to zero, which will significantly increase the cost of the hire.

I have two. I divide my spending between them and pay off the balance monthly so I don't get interest. It keeps my credit score up, and it's good for emergencies like if I'm travelling for work and encounter transport problems. I get it refunded but I have occasionally needed the immediate funds to get an unplanned uber, once a hotel room overnight, things like that.

Why would anyone rent a car and not have the funds? I wouldn’t rely on having a credit card to get me through my holiday. I only booked things if I have the money that would include a car. But that’s just me.

Most of it is by borrowing at 0% and saving the money at 5%, £15k generates about £750 per year.

Plus about £30k pa of spending with 1% in cashback/supermarket points, so another £300. We put everything on our cards incl work expenses.

CCs are also a better use than an overdraft as it's interest free for a month or two instead of 40% APR. Plus banks regard their use as positive financial management, not negative.

Also, you can order online and return things before the bill is paid, so can order lots of different sizes and options.

They need funds for the ~£1k deposit as well as the cost of the hire itself.

And so they should have that…

most companies accept debit cards anyway so it’s not an issue.