the_lhc:hammill:the_lhc:hammill:If you don't have a credit card and you have enough money to buy a £500 blu-ray player, that sounds pretty dumb to me
Really? sounds pretty sensible to me, I'd have enough money for a £500 blu-ray player, if I didn't have any credit cards...
Really? Surely you don't borrow money on them? My credit card gives me cash back, protection on all purchases between £100-£30000 (if I remember the law correctly) itemised bills and 6 weeks interest free credit. It has never cost me a penny.
Well done, I'm so pleased your superior earning power allows you to do that, but we can't all be as great as you are.
This has little to do with earning power. If you don't have the cash to hand, you either save up for an expensive item in instalments then buy it, or buy it now and pay later, in instalments. Either way, you're taking some of your income and putting it aside If you choose to use a credit card for the former, you get the protection, the interest free period and the opportunity to earn a bit of interest on your pile of cash before the cc payment. If you use a cc to go down the latter route, you get the protection, the interest free period and the opportunity to pay them a "bit" of interest. If you are not careful to pay it off quickly, the "bit" can be very large indeed!
Simples, to quote the meerkat!