How do you prefer to pay for things?

[hausfrau]

Cash, Check, Debit, Credit?

I ask because one of my elderly clients (I am a caregiver) refuses to use debt they think it's dangerous and only pay by check or credit card.

So what about you?

[Jazzmint98]

I use a CC about 90% of the time. It is easy to use, plus all transactions are neatly organized. It makes it simple to track spending since mostly everything is in one statement.

[mom-from-missouri]

Anyone can steal your debit card and use it at places that don't require the pin--such as walgreen and mcdonalds (pin is only needed if above a certain dollar amount at those stores)

With credit cards there is automatic buyers insurance--some banks don't offer that on debit cards.

With check, there is a paper trail for taxes and such.

I probably tend to agree with them.

[disneysteve]

Your client is correct. Credit cards, in general, are much safer than debit cards and, again in general as there are exceptions, credit cards offer a lot more buyer protection than debit cards and reward programs.

We pay everything we possibly can with credit cards. Our annual credit card charges equal about 30% of our gross income.

[amarowsky]

Yea I actually have been using my credit card a LOT more lately, because of the rewards. I have kinda low rewards 1% back as cash, i know there are cards that offer 2% back through, and those fancy discover cards that give you up to 5% back on certain purchases (like gas n' food or whatever).

But I do notice then I spend a lot less cautiously with credit, when I am using cash I tend to be more frugal, so there is some sort of adv/dis-adv to both in my spending habits.

[graceful]

CREDIT.

Never used debit and never will. I don't keep that big a buffer in our checking account. Whatever is in there has been allocated for bills already with a few hundred as a buffer.

The credit card gets paid in full monthly. I do keep track of our credit card balances online if not daily, a few times a week. We do have reward credit cards.

Cash is used occasionally and only if we have it. We hardly EVER withdraw cash from our bank accounts.

We (DH, myself and our 2 kids) receive cash as gifts throughout the year usually around Christmas, birthdays and other special occasions. We hang onto it and carry $20-40 in our wallets/purse in case of an emergency but usually use the credit card.

If the cash was for the kids, the small amounts we let them keep in their piggy banks. Larger cash amounts we keep and we write a check from our account and deposit into "their" accounts.

[kork13]

Always my credit card, even if it's just for $1.02 for some little item. It's just easier for me to keep track of, because all of my spending is on my CC statement. Plus, as mentioned, there are customer protections if your CC is stolen. The cash-back rewards I get are definitely a part of it as well.

I write checks only for tithing to my church, or if for some reason I need to give someone some money. I keep almost no cash in my wallet (always <$20-$40), and it normally lasts for months.

[cschin4]

I go back and forth. For awhile, I did mostly CC, then got sick of having a high CC bill (though I ALWAYS pay in full at the end of the month and have done so my entire life otherwise I would'nt use it). Then I did a debit card thing but that seemed harder to keep track of. Then I decided cash only, but I have a habit of not liking to carry my purse so I stuff money into my pockets and leave it there. So, now I am back to using the debit and cc.

[JustDave]

Credit as much as possible, and we pay it off every month. For things we're going to buy anyway, it makes sense to get the cash rewards.

It all depends on what type of spender you are. Some people have a tendency to spend more when charging, but others say the same thing when it comes to spending cash.

[Radiance]

I am currently using debit card almost exclusively, together with my bank bill pay service for rent, cell, utilities and day care.

But it is because I decided not to use my credit cards until I pay them all off.
Since I carry a balance that I can not pay in full yet, it is difficult for me to keep everything under control otherwise.

I think that once I become debt free I will go back to using my credit cards and pay them in full to take advantage of all the rewards and protection. I have one visa and one american express.

[Slandgie]

Almost debit card, probably 95% of the time. I get a cash back reward every six months from my bank. They give back 10 cents for every transaction, regardless of the amount of the transaction. I use the debit card for paying most of the bills, plus running through the drive thru for food, getting gas, etc. I probably average about 30 transactions a month, so that's about $3 each month....the bank just puts the reward into my account at the end of June and December...

[disneysteve]

Almost debit card, probably 95% of the time. I get a cash back reward every six months from my bank. They give back 10 cents for every transaction, regardless of the amount of the transaction.

Not a bad deal as long as the transactions are all $10 or less. Most reward credit cards give at least a 1% reward so for any items over $10, you'd be better off with a credit card.

[Slandgie]

Not a bad deal as long as the transactions are all $10 or less. Most reward credit cards give at least a 1% reward so for any items over $10, you'd be better off with a credit card.

Well, until I get my credit card debt paid off (Oct 2011 is the target date), those are out of the question. Yeah, the majority of my transactions are under $10....McDonalds for $4, Walmart for $6, gas for $5 or $7. The only larger transactions are for things like the electric, gas, cable, car insurance bills.

[disneysteve]

Well, until I get my credit card debt paid off (Oct 2011 is the target date), those are out of the question. Yeah, the majority of my transactions are under $10....McDonalds for $4, Walmart for $6, gas for $5 or $7.

Yes. You definitely shouldn't use a credit card that has an outstanding balance.

As for your charges, gas for $5? That's only about 2 gallons around here. Either you drive very little or you get gas pretty frequently. I wouldn't bother going to a gas station unless I was going to fill the tank. Of course, here in NJ, we aren't allowed to pump our own gas so getting gas isn't a pleasant experience having to sit and wait for someone to do what I could do myself in a fraction of the time.

[Slandgie]

Yes. You definitely shouldn't use a credit card that has an outstanding balance.

As for your charges, gas for $5? That's only about 2 gallons around here. Either you drive very little or you get gas pretty frequently. I wouldn't bother going to a gas station unless I was going to fill the tank. Of course, here in NJ, we aren't allowed to pump our own gas so getting gas isn't a pleasant experience having to sit and wait for someone to do what I could do myself in a fraction of the time.

I deliver pizzas for my second job...gas station is right next to the pizza shop, so I ain't going out of my way. Yep, I have been to NJ several times for my first job...the gas is cheaper, but I can't stand having someone else pump my gas. There's one other state that is like NJ...is it CT? Or maybe its Oregon...