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GAAAHHHH!!! Enough with this credit cards are bad BS. Cons with CCs: If you don't manage your funds well, you git hit with a 20%+ interest rate and will never

GAAAHHHH!!! Enough with this credit cards are bad BS. Cons with CCs: If you don't manage your funds well, you git hit with a 20%+ interest rate and will never likely climb out of that hole. Solution: learn to manage debt. Seriously, most CC companies now allow direct account transfers. If you are that scared, whenever you make a purchase, go home, log in to your bank's website (every major bank has one, if yours doesn't, open an account with one that does), and pay off the card immediately. Its not rocket science, just basic financial management. Pros with CCs: Fraud protection. Easily one of the biggest plus points of CCs. Concerned that there is a charge on you statement that you didn't approve? Just call the company and tell them that it is a fraudulent charge and then its their problem. If nothing else, this easily makes credit cards worth the time it takes to manage them. After this, we have the easy record of all transactions, cash back, convenience, safety from the fact that you don't have a giant wad of cash with you, and last but not least, a credit history which can be used to reduce interest rates on long term loans. Seriously, this anti-debt attitude is in general ridiculous. Is excessive and badly-managed debt bad? Absolutely, its one of the worst situations to be in but there is a simple way to avoid it: manage your finances. Swearing off all debt is foolish and inefficient.

trickjarrett 18y ago
It's ridiculous for those who are good at managing your money and debt, of which this site's audience probably has a decent percentage who can. As Entrepreneur's it's a necessary skill. But the fact is that we're a minority and the majority of people are bad at managing money. And so long as you're anything less than good at managing your money, a credit card represents risk. And so for those who don't pay off the debt, the risk grows. I like Ramsey, he goes balls to the wall and is over the top, as the site mentions he can get repetitive painful at times. And the NO-Debt approach, as you are noting, is a bit crazy but for those who have proven they can't be trusted with debt, then this is the safe choice. Your response is fine, but I think you're approaching it from a normal, well balanced and money conscious individual. There are people who call into his show with literally $250,000+ in debt between their house, car, boat, property lots, and they've got a sliver of that as income. These are the people he's marketing towards. Not you.
swilliams 18y ago
Keep in mind the context of the link. It's Merlin Mann posting a screenshot of Dave Ramsey's site. Mann isn't anti-credit card, he is pointing out that Ramsey does the rare act of taking an unpopular position, yet follows through on it completely, even to the point of potential lost revenue. He's pointing out Ramsey's integrity here, not the position.
- ntoshev 18y ago
  Whoever Dave Ramsey is, his integrity is not Hacker News. That's why the comments here tend to focus on his point, not on his celebrity status.
mattmaroon 18y ago
Telling people they should completely abstain from something when you know they won't (be it alcohol, sex, or credit cards) is just plain stupid. Telling them how to use it responsibly is always much better. Not using a credit card costs you a ton when you go to get a mortgage. Building a solid credit history is well worth it.
- Zaak 18y ago
  Telling an alcoholic to completely abstain from alcohol is stupid? Clearly he's going to need more help than just telling him to quit, but pretending that he can moderate his consumption of alcohol when he is biologically incapable of doing so is a betrayal.
  - mattmaroon 18y ago
    Well, with chemical dependencies it's a bit different, but this guy's advice isn't for people hooked on snorting credit cards, it's for everyone. Preaching to kids that they should never drink though is a waste. Teaching them to make sure they aren't driving afterward and don't find themselves doing it too often or too heavily is much more effective.

trickjarrett 18y ago

It's ridiculous for those who are good at managing your money and debt, of which this site's audience probably has a decent percentage who can. As Entrepreneur's it's a necessary skill. But the fact is that we're a minority and the majority of people are bad at managing money. And so long as you're anything less than good at managing your money, a credit card represents risk. And so for those who don't pay off the debt, the risk grows. I like Ramsey, he goes balls to the wall and is over the top, as the site mentions he can get repetitive painful at times. And the NO-Debt approach, as you are noting, is a bit crazy but for those who have proven they can't be trusted with debt, then this is the safe choice. Your response is fine, but I think you're approaching it from a normal, well balanced and money conscious individual. There are people who call into his show with literally $250,000+ in debt between their house, car, boat, property lots, and they've got a sliver of that as income. These are the people he's marketing towards. Not you.

swilliams 18y ago

Keep in mind the context of the link. It's Merlin Mann posting a screenshot of Dave Ramsey's site. Mann isn't anti-credit card, he is pointing out that Ramsey does the rare act of taking an unpopular position, yet follows through on it completely, even to the point of potential lost revenue. He's pointing out Ramsey's integrity here, not the position.

ntoshev 18y ago
Whoever Dave Ramsey is, his integrity is not Hacker News. That's why the comments here tend to focus on his point, not on his celebrity status.

mattmaroon 18y ago

Telling people they should completely abstain from something when you know they won't (be it alcohol, sex, or credit cards) is just plain stupid. Telling them how to use it responsibly is always much better. Not using a credit card costs you a ton when you go to get a mortgage. Building a solid credit history is well worth it.

Zaak 18y ago
Telling an alcoholic to completely abstain from alcohol is stupid? Clearly he's going to need more help than just telling him to quit, but pretending that he can moderate his consumption of alcohol when he is biologically incapable of doing so is a betrayal.
- mattmaroon 18y ago
  Well, with chemical dependencies it's a bit different, but this guy's advice isn't for people hooked on snorting credit cards, it's for everyone. Preaching to kids that they should never drink though is a waste. Teaching them to make sure they aren't driving afterward and don't find themselves doing it too often or too heavily is much more effective.