Anonymous wrote:

Anonymous wrote:I think what you’re looking for is not advice about credit cards, you are looking to see how people budget when they are mostly commission.

Sounds like you need to live off base only for a year and then use that years bonus to budget forward for the year so you don’t incur debt.

This is correct. OP needs a budget. Its foolish not to use a CC for many of the reasons people stated - fraud protection, security, cash/points, etc.

Only thing that makes me ever question the use of a CC is that many in the Intelligence Community strictly use cash...

What exactly are you implying here? Lol

Anonymous wrote:The problem with a debit card is you have zero protections. If your cc gets hacked, you could legally be responsible for $50, which most cards will waive (getting hacked is part of the cost of doing business now). If your debit card gets hacked, too bad so sad for you - the bank is not required to make you whole.

Like others have posted, we pay off our cc in full every month and use the points for travel

That's not true. Federal law also limits liability for unauthorized debit card charges. The exact limit depends on how your account was compromised (i.e., whether the card itself was stolen or just the number) and how quickly you report the loss, but are generally $0 or $50 unless you wait too long to report. The details are here:

https://consumer.ftc.gov/articles/lost-or-stolen-credit-atm-and-debit-cards

The big issue with using a debit card isn't the loss limit, it's that it provide direct access to your checking account. Unauthorized credit card charges can be disputed and don't have to be paid while they're in dispute. Unauthorized debit card charges reduce your account balance until resolved. And for people who don't have a lot of money in their accounts, that reduced balance could cause other payments to bounce. That, IMO, is the reason not to use debit cards—not that there are no protections for them.

Dave Ramsey method is for people who can't control spending. Cut up the cards, make a monthly budget in cash. Autopay utility bills from bank account. Manual and Automatic regular transfers from checking to locked up investments like CDs and bonds. Uninstall financial apps that help you withfraw. Make it hard to get your hands in your money/credit.

OP has a self-control problem. Telling her to have more self-control doesn't help. She knows.

Anonymous wrote:

Anonymous wrote:I think what you’re looking for is not advice about credit cards, you are looking to see how people budget when they are mostly commission.

Sounds like you need to live off base only for a year and then use that years bonus to budget forward for the year so you don’t incur debt.

This is correct. OP needs a budget. Its foolish not to use a CC for many of the reasons people stated - fraud protection, security, cash/points, etc.

Only thing that makes me ever question the use of a CC is that many in the Intelligence Community strictly use cash...

Ridiculous. Everyone buys stuff on Amazon and whips out their card in the grocery store. Undercover identities are fully fleshed out with credit card history, etc...

We only use credit cards, because we purchase most items online except for groceries, and you get fraud protection with credit and not debit.

We've been poor and rich, and overspending has never been a problem. I just think you need to budget better, set a monthly limit and be aware, each time you use your card, what your running total is. As a PP said, try to use credit only on your base income.

Anonymous wrote:

Anonymous wrote:I think what you’re looking for is not advice about credit cards, you are looking to see how people budget when they are mostly commission.

Sounds like you need to live off base only for a year and then use that years bonus to budget forward for the year so you don’t incur debt.

This is correct. OP needs a budget. Its foolish not to use a CC for many of the reasons people stated - fraud protection, security, cash/points, etc.

Only thing that makes me ever question the use of a CC is that many in the Intelligence Community strictly use cash...

Random people also notice you if move about using cash to pay for everyday expenses. It gets unwanted attention. Blending in is better.

You're throwing money away by not using them. Also, fraud protection as others have noted.

Anonymous wrote:I think what you’re looking for is not advice about credit cards, you are looking to see how people budget when they are mostly commission.

Sounds like you need to live off base only for a year and then use that years bonus to budget forward for the year so you don’t incur debt.

This is correct. OP needs a budget. Its foolish not to use a CC for many of the reasons people stated - fraud protection, security, cash/points, etc.

Only thing that makes me ever question the use of a CC is that many in the Intelligence Community strictly use cash...

There are only a few instances where preauthorizing autopay from checking saves you money over paying with a credit card: cell phone bill and utilities come to mind. One insurance company that I use also offers discounts for doing this. I use direct autopay checking for those.

A budgeting app will help you get back on track (or Excel) and off the credit usage cycle whether you use a credit or debit card.

I think what you’re looking for is not advice about credit cards, you are looking to see how people budget when they are mostly commission.

Sounds like you need to live off base only for a year and then use that years bonus to budget forward for the year so you don’t incur debt.

Anonymous wrote:I mean ... I have a budget. Whether or not I'm using a credit or debit card is irrelevant. The credit card gets paid off each month.

+1.

Anonymous wrote:What’s the difference in paying off the balance every month and using a debit card? Surely you’re not suggesting we carry around a bunch of cash like some paranoid German?

There is no difference (not the PP).

However Debit cards are stupid. They have zero protection.

Never use a Debit card. Control your spending or use cash.

You could do a Debit card with like $500 on it a month but still stupid.

I don't see how using a debit card is going to help with what is essentially a cash flow / expenses issue. What you need to do is build up an extra cushion beyond your emergency fund and then you can just spend as you normally would and dip into that cash cushion as needed. If you notice that your income is declining over a significant period of time you will need to cut your expenses just like anyone else that gets a paycut.

I don't even know where my debit card it. It helps to have everything in on one card for record keeping.
I bought something online from Old Navy. Ended up returning it to the store. The money went somehow through Paypal and it was never refunded. Paypal didn't know where it was, Old Navy didn't know, but Capitol One simply refunded it no questions asked. I don't think debit card would have done that.
Now I'm done using paypal, Old Navy,but also debit card. I don't return things often, but CC have always had my back.

The problem with a debit card is you have zero protections. If your cc gets hacked, you could legally be responsible for $50, which most cards will waive (getting hacked is part of the cost of doing business now). If your debit card gets hacked, too bad so sad for you - the bank is not required to make you whole.

Like others have posted, we pay off our cc in full every month and use the points for travel