6 Reasons Why I Hate Cash

by Broke Grad on July 7, 2008

Until a couple weeks ago, the cafe at work only accepted cash. This was quite an adjustment for me when I first started working, because I use credit cards to pay for almost everything. While I eventually got into the habit of making a weekly trip to the ATM, having the make the trip to get cash still annoyed me. After a recent trip to the ATM, I started thinking about what it is about cash that annoys me, and that’s how I came up with this list.

Cash is so last millennium.
Photo by phatcontroller

1. Change sucks.

While Obama is all for change, I certainly don’t know anyone who enjoys carrying around a different kind of change in their purses and pockets. I’ll propose a change. Why don’t we make all prices whole numbers and then we can get rid of change all together?

2. It’s hard to split.

I can’t even remember how many times I’ve been out to dinner with friends, and when it’s time to pay, everybody pulls out twenty-dollar bills. Unfortunately, none of my friends are accountants or math majors, so it takes us another ten minutes to figure out what combination of change we need to get so everybody gets enough money back.

3. It’s easy to lose.

I’m pretty sure everybody has misplaced some cash at one point or another. If you don’t think so, then I’d be willing to bet that you have and just didn’t realize it. The worst part about cash is that once it’s gone, it’s gone. You can’t call an 800 number and have them cancel your twenty-dollar bills.

4. It’s hard to find.

This one applies to all the things we consider valuable enough to put them in a “safe” place. Now if only we could remember where that place is. Sometimes I wonder how much money everybody has tucked away in long forgotten, but safe, places?

5. It’s bulky.

I have to admit that it’s pretty satisfying to hold a huge wad of cash in your hands. In fact, it’s great until you have to stuff all of that cash into your wallet or purse. Holding a wad of cash — cool. Sitting on a wallet filled with a wad of cash — not so cool.

6. It folds, wrinkles, and tears.

The only thing worse than getting stuck behind the person who can’t get their dollar bill into a vending machine is being the person that can’t get their dollar bill into the machine. I hate both equally, but the latter is way more embarrassing.

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{ 44 comments… read them below or add one }

1 Mike July 7, 2008 at 7:03 am

Do you use only credit cards because of the rewards and stuff? I get why cash is annoying… your 6 reasons then also atm fees! I ask because I am reluctant to put all my bills on my credit card even though I’ll earn 5% cash back on utilities, and 1-3% on everything else. Am I being a little too paranoid?

2 Broke Grad Student July 7, 2008 at 9:37 am

Yes, one of the main reasons I use credit cards is because of the rewards, and no, you are not being too paranoid. It really just depends on the person. I’ve paid off the balance every month on all of my credit cards since the day I got them, so it makes sense for me to use them. I estimate that I’ll save between $400-500 over the course of the year by putting the majority of my purchases on credit cards with cashback rewards. Of course, if you don’t pay off the balance every month or you’re easily tempted to charge more than you can afford, then credit cards are a horrible idea.

3 Amphritrite July 7, 2008 at 9:58 am

I hate cash, too. But…I don’t use credit cards. I use a debit card, which is LIKE cash, but not hard to split or anything. It’s just a matter of knowing how much you CAN spend.

4 GG @ This Writer's Wallet July 8, 2008 at 5:28 pm

I’m with you. I almost never have cash on me for these same reasons. However, every now and then, I’ll need a tip for someone or some cash for a toll or to go in on the check at a restaurant. That’s when I’m frustrated that I don’t have cash.
If I were smarter, I might make it a habit to take out $20 each week.

5 Pinyo July 11, 2008 at 5:03 am

Yeah, I’d add cash provides no reward for spending it up there.

6 Value For Your Life July 11, 2008 at 3:39 pm

Not to mention, that money is dirty and germy! Think about all of the people and places where that money has been… :)

7 Frugal Canadian Living July 12, 2008 at 11:25 am

Cash sucks! Especially when you don’t have any. I always try to find a good balance between cash on hand and using credit cards. Always using credit cards when I can but for large purchases I can usually convince the merchant that cash will save him money because he does not have to pay credit card merchant fees.

8 funny about Money July 12, 2008 at 3:40 pm

Yes, and those coins made of base metal instead of real silver annoy. They remind you of what the currency is really worth these days. Grr! Especially when they drop on the ground and go “clunk” instead of “rinnnggggg”!

LOL! When my late mother-in-sin’s semi-demi-exhusband passed, she went to clean out his apartment and discovered, by accident (!), that he had stuffed paper currency between the leaves of the many, many books he had collected. It took days to unearth all the cash and old lottery tickets Willard had stashed away. Let that be a lesson to all of us who may someday have heirs….it’s a great way to make them crazy!

Seriously: I use credit cards because they give me a paper trail. It’s easy to enter transactions in Quicken or Excel from cc receipts, and it’s easy to check statements against my spreadsheets to be sure the charges are correct. Also they give you a little safety net when a purchase has something wrong with it.

9 Richard @ Student Scrooge July 17, 2008 at 9:21 am

I agree, cash is frustrating — you have to go out of your way to restock it, and, at least in my case, I think I spend it more freely. That being said, your “dinner with friends” example doesn’t get much easier when you take cash out of the equation — its still going to be just as hard to split it regardless of how you pay it, unless you get separate checks, in which case its a moot point to begin with.

Anyway, I’m with you — credit cards are the way to go, although cash is still pretty important when it comes to tipping. I now keep about $20 in singles in my travel wallet for all of the times that come up on vacation or traveling that require tips.

10 Broke Grad Student July 17, 2008 at 10:34 am

Richard: Sure, doing the math to figure out how much everybody owes is just as hard regardless of how you pay. But when all of your friends pull out twenties, you end up having to get some combination of change to make things work. With debit and credit cards, you can just write down the amount to put on each card.

11 Geneo July 20, 2008 at 11:00 am

Well these were some reasons to hate cash. It looks like they are the typical bad ones I see always spouted by late teens and twenty-somethings. Most cannot add, subtract, or figure a percentage. cards pretty much save them from any math. They function off of debt and the credit cards and add to the cost of most items from gasoline to clothing. They mostly cannot put down their cell phones long enough to see if they get the right change when using the cash they never have..the plastic solves that problem. If you ever lose the credit cards..it is a nightmare for all involved until you get it all straight. If there is a power failure or short period of time when electronic processing is interrupted…the cashless scream about not being able to buy the essentials . Those that use credit to pay for everything make a hardship for many of those in the service sector….tips are still usually delayed or skimmed by the restaurant or bar. The biggest reason many people dislike cash is that they are lazy. A average cash transaction is 20% faster than a debit or credit transaction. This is contrary to VISA commercials. How many times have we been held up in a line by a card that won’t swipe…”swipe it again” , ” it won’t take”, ” Where is my card?”.
The worse that happens with cash is that they may need to get change sometimes.
That said…I use debit and credit cards much of the time. It is convenient..and I admit to being a bit on the lazy side. I just see the problems with them too.

12 Stephen Ward July 21, 2008 at 7:48 am

I’m with you. Cash in inconvenient and insecure. I’d add that using a credit or debit card on all expenses makes them a lot easier to track. You have a definitive record of how much you spent, what you spent it on, and where for everything you buy. It’s definitely a lot easier than holding on to receipts.

13 shahrul azwad July 21, 2008 at 6:46 pm

Interesting but I agree with none.

14 John Lti July 22, 2008 at 7:50 am

I like cash because I DO NOT want to be tracked down with a credit card audit trail.

15 Irish@65 July 22, 2008 at 8:30 am

You’re showing your youth and ignorance as are the people agreeing with you. While I’m all for debit cards over cash, the chronic use of credit cards is irresponsible and feeble minded. As far as your genius idea of cutting out change and going to whole numbers for pricing, talk to the Europeans in the Euro zone before you implement that plan. They are doing exactly what you propose, prices are being rounded up, I repeat UP, thereby removing the need for change, but certainly taking advantage of the public. The same would happen in this country.
So please stay in school, learn something useful, think clearly before you blog and above all, never run for public office!

16 Andrew Cofrin July 22, 2008 at 10:05 am

If we could get back to fiscal sanity, i.e. Gold Standard, you would appreciate cash. Fiat money is why you’re broke.

17 KP July 22, 2008 at 10:05 am

Wow, at Irene. People like you are the reason why the entire US is afraid of credit card debt! If you’ll reread some of the comments, you’ll see he is advocating the use of credit cards ONLY, and I repeat ONLY by paying off his debt each month. If you THINK about that, it means that he has the money to buy things, but puts it on credit cards in order to get money where there was none before! He makes $400-$500 dollars extra per year just by being SMART with credit cards.

People that spend what they don’t have are problematic. Learn to comprehend before you come in and blast ideas that are way over your head!

18 bud July 22, 2008 at 10:26 am

I guess I am ” old school ” I always carry cash on me and don’t own a debit or credit card anymore. Just cash !!! I agree that debit and credit cards are for lazy people and I am willing to bet any amount of money that the guy or gal that blogged this article does NOT pay off their credit card balance in total each month. I used to have a credit card 9 years ago until I closely watched the apr each month and it was never the same from the beginning even though it was supposed to be fixed @ .9 % and went up to 131% one month I kid you not. eventually I had to bankrupt my credit debt because of this but who cares because they are raping you anyway !!!

19 Michael Bechler July 22, 2008 at 10:47 am

In answer to your question:

“Why don’t we make all prices whole numbers and then we can get rid of change all together?”

When I was a kid, I worked at a job with a cash register and an old-timer for a manager. He explained this to me.

Clerks used to shortchange customers and keep a running account of how much they’d skimmed during the day, then remove that much from the til at the end of the day, before the daily count. Making the prices uneven forced them to keep track of pennies, forcing them to expend the same amount of mental effort for 10x less money. Making the prices just under the dollar forced them to subtract instead of add, making it harder still.

According to the old timer (his name was Jay Allen) the notion that $3.99 looks like a lot less than $4.00 was not the original reason for this custom.

20 Michael Bechler July 22, 2008 at 10:52 am

Irish@65

I have a different perspective on this point:

“As far as your genius idea of cutting out change and going to whole numbers for pricing, talk to the Europeans in the Euro zone before you implement that plan. They are doing exactly what you propose, prices are being rounded up, I repeat UP, thereby removing the need for change, but certainly taking advantage of the public.”

Yes, but they can only do it once. It is easy to go from $3.95 to $4.00. But it will be FAR harder the next time, when they have to go from $4.00 to $5.00. It might be worth the one-time hit to make the next one harder.

I’m only speculating here.

21 Broke Grad Student July 22, 2008 at 10:52 am

bud: I’d be willing to bet you any amount of money (let’s say the remainder of my student loans) that I do ;)

22 Swede1344 July 22, 2008 at 11:12 am

The reason that I love cash is one thing, it is annonymous. Electronic transactions are quite easy for Big Brother to watch and trace. Read up a little about the Inslaw created Promis software and you will see what I mean. And that was over 20 years ago.

23 Jen July 22, 2008 at 11:23 am

It would be wonderful if every purchase was a whole $ amount, but I don’t think it is possible because of two words “sales tax”.

24 bud July 22, 2008 at 11:28 am

You bring up another good point. Student Loans. There is another example of why students who graduate these days are highly disadvantaged because of huge student loans. ( you can’t bankrupt those either ) So you great college dumps you out on your own tens or hundreds of thousands of dollars in debt and not experienced enough in ” real life ” applications to be able to handle the higher paying positions a company has to offer. Talk about being behind the 8 ball.

Jobs are paying less these days and things are costing more. Sometimes people are forced to use credit just to be able to get by.

However I am also willing to bet you use the credit cards to pay the student loan payments each month. Its a nasty cycle the inevitably ends with bankruptcy.

I am very against college tuition. I think it is a scam. I think education should be free and equally available for all that live in this country not just to those who’s mommies and daddies can afford it. Even those days are coming to an end.

25 Shifter July 22, 2008 at 12:22 pm

Cash is king.

And the number one reason why: it’s almost impossible to become a victim of identity theft when using it.

Sounds to me like there is a large happy-go-lucky social contingency chiming in on this thread. Yeah, you know who you are. Go out to eat with your friends, throw all your credit and debit cards down on the table, let the server figure out the bill, finish your drinks and laugh it up.

Well, just so you know, every time you or some server swipes your card, you’re inviting identity thieves to swipe your personal information right off that little magnetic strip.

And that $500 you brag about earning through some B.S. rewards program, you’re gonna need it. The average case of identity theft costs the victim $90,000 to sort out, clean up and repair. With downside potential like that, I use my cards ever so sparingly.

I mean think about it. You stick that card in gas pumps, parking meters, coffee shops, malls, hotels, restaurants. And you think money is germy and disgusting?! Frequently washing my hands is well-worth saving $90k. Limit the places you use your card and you limit your vulnerability

26 Shawn July 22, 2008 at 1:05 pm

Cash is best. Rewards cards are just a gimmick that the credit card companies put out there to make you ‘think’ you are saving money and you are not going to beat the credit cards. As quoted by Dave Ramsey, “debt is the most aggressively marketed product on the planet”. There have been a number of studies of spending habits when using credit cards verse cash. Most people spend more with credit cards because it much easier to surpass your budget when you have a line of credit instead of hard cash in hand. If you have the discipline to keep your expenses in check with your credit card then all the better for you. But, most people can’t and that is why so many in the country are struggling with credit card debt.

27 Sharon July 22, 2008 at 1:19 pm

While I still use cash at fast food restaurants and convenience stores, most of my other transactions are with my credit card. I take the charge slips and write them in my checkbook as though they were checks. Then at the end of the month, I round them up and pay my credit card bill in full. I pay all my bills automatically from my checking account or with my credit card. I probably wrote less than 30 checks last year. You guys who worry about the government tracking you through your credit card or checking account should stop smoking dope! (“Help! The paranoids are after me!”)

28 Will Smith July 22, 2008 at 2:04 pm

Credit Cards are gimmicks (feel good devices). Insecure people love them because it makes them feel special I guess. I use to have them but they are all paid off! Thanks God! Profit making machine is the revolving intrest that is paid monthly to the banks and CEO”S. I would rather earn 10% in my personal I.R.A,then to give it to some fast ass banker,just to say I have a gold card in my wallet. Gold card is it really made of gold? No! its just painted a golden color to make me feel special. “The more they noticed me, the more I love myself” Media and our culture has brained washed us into thinking that we need these things to belong, and to be loved. I have lived overseas for many years and yes America is the best country in the world, but it has many tricks and traps that are set for a reason.

29 EC July 22, 2008 at 2:55 pm

In my world cash talks and credit cards walks.

30 John, Houston, Tx. July 23, 2008 at 6:17 am

All of the reasons you listed for hating cash will ultimately be the reason that you will always be broke unless you change your dynamic about the whole thing. The reasons you list really come across as quite immature and speak of someone who is irresponsible with money. There is also actually something more annoying than being behind the guy at the vending machine that keeps getting his dollar bill stuck. It’s the moron in line at the grocery store trying to buy an $.89 pack of gum or candy bar with a freaking credit card. Do yourself a favor and stop showing your ignorance by writing stupid crap. If this was meant to be a joke then I apologize.

31 Michael Bechler July 23, 2008 at 10:21 am

There are two separate issues here, and it’s hard to reach any good conclusions without separating them.

1) Using a card instead of cash.
2) Running a balance.

These are entirely different issues and problems.

1) Using a card instead of cash. This has its ups and downs. The good news is that it’s easy, it doesn’t stuff up your wallet, and it doesn’t have any intrinsic value; if you drop it, you can cancel it. If you drop your cash, well, tufff noogies. For small purchases, having a few dollars in your pocket makes life easier, for you and everyone else. There’s no need to pay cash for a refrigerator or a new TV though, unless you want to buy it anonymously.

2) Running a balance: This is a bad idea, and is a sign of financial danger. You aren’t in charge of your finances until you can afford to pay off your credit card bill in full every month. If you do this, it doesn’t matter whether you use a credit card or ATM card. In this case, only the issues mentioned in Item 1 apply.

32 John, Houston, Tx. July 23, 2008 at 10:46 am

Michael you are making this issue a lot simpler than it really is by painting this in black and white. In reality it is more complex than this.

1. I do use a debit card for some purchases but, let’s face it, it’s because I am lazy. There is, however, another good reason to pay cash for a refrigerator or a new TV. If you are ever haggling with a salesman over the price of a TV just throw cash down on the table in the amount you want to pay and see how often they take it. I guarantee that you will not get the same effect by throwing a piece of plastic on the table.

2. Using a credit card is a bad idea in general. All of the sophisticated people believe that as long as they don’t hold a monthly balance then they will win. Especially with all of the rewards that CC’s offer now. The reality is that there are at least a half a dozen studies that prove that we spend between 25-37% more when we use a credit card instead of cash. This is even before you figure interest. CC companies know this and that is why they have their “Rewards Programs” because they know that you are going to spend 25-37% more on average when you use their card(s). It is a lot easier to impulse buy with a credit card than it is with cash. Do you really think the CC companies are going to lose money on you every month by giving you “rewards” while you pay off the balance every month thereby never (in theory) paying interest? How many wealthy people do you know or have heard attribute a part of their financial success to CC rewards? Please don’t be that naive. Something will happen to all of us sooner or later that will prevent us from paying that balance in full one month and the vicious cycle will begin. There is also a little known clause in every credit card contract that basically says that they have the right to change any and all terms of that contract whenever they wish. You might be paying 2.9% today but miss one payment and they will change your rate to 18%. So whether or not you run a balance every month is not the only issue.

I do not carry a credit card and I do not borrow money…..ever…..for any reason. Since I decided to stop borrowing money and pay off all of my debt, I started to have something called money. That means I have a lot less financial worries than the average Joe and I am by no means rich. I make $52K per year and am the sole supporter of a family of 5.

33 Michael Bechler July 24, 2008 at 8:50 am

John from Houston

I’m with you more than you think. I did simplify things a bit just to separate out two major issues that it seems that some people were confusing. If using a card causes you to spend when you wouldn’t otherwise spend, then you shouldn’t use it.

I use cash or a debit card, which simply replaces the checks I used to use to access the cash in my checking account. I use a credit card reluctantly, once in a blue moon just to keep my account active, for the sake of my credit score.

34 Michael Bechler July 24, 2008 at 8:55 am

One more thing… I’m not living as close to the edge as you must be (family of 5 on 52k – that’s almost heroic).

It would take a major financial meltdown to get me into the vicious cycle you talk about, and carry a balance. To me, it’s simply another way of accessing money I already have, and I use it within the budget decisions I’ve already made.

35 John, Houston, Tx. July 24, 2008 at 12:04 pm

On the use of credit cards I just believe that if I have them, I am being set-up for failure. There is more risk of I.D. theft (though I admit there is with a debit card as well). You are at risk of a mistake made by the CC company (they make them every day and almost never in your favor). The other reasons, I already mentioned previously.

One reason you mention should never be a valid reason to carry/use a credit card: “for the sake of my credit score.” If you don’t use debt for any reason other than a mortgage, your credit score is meaningless. Contrary to popular belief, you don’t need a credit score to get a legitimate, “non-high risk” mortgage. You just need to get with a “reputable” lender that does “Manual Underwriting.” As long as you can prove that you have payed a landlord on-time or early for a 2 year period (3 years if you had a bankruptcy), then you do qualify for a home mortgage.

The credit score kills me anyway since a large percentage of it requires that you stay in debt in order to help generate that score. There are plenty of millionaires out there with literally no credit score that couldn’t borrow a single penny of unsecured debt based on their credit score.

36 John, Houston, Tx. July 24, 2008 at 12:10 pm

We are not living close to the edge at all. That was my point in mentioning it. We live modestly but far from poverty. We never worry about paying any bills. If we need something, we budget for it and we get it. The biggest difference is that we think about every single purchase we make before we make it. There is no “instant gratification” in our house. Half the time, after we do think about it, we decide we never really needed/wanted it in the first place. If we were regular credit card users (like most normal people), we would have a lot of things we don’t need from impulse buys. Instead, we have money whenever we truly need it. It’s much easier to sleep at night when you have no debt and you know you have money in an emergency.

37 Slinky July 29, 2008 at 1:29 pm

First off, I agree with Michael. There’s two points most people are arguing. I think this post only has bearing on the first. And I think for the sake of this post debit = credit.

@Geneo – You could have made your points without being so insulting. I am a 20 something who agrees that cash is annoying. I’ve also aced 4 years of calculus. I think I can manage adding and subtracting, thanks.

As for your other points, my fiancee just replaced his card in less than a week with no problems whatsoever. Drop card, call bank, get new card. The end. And if you’ve ever been behind someone digging in their pocket or wallet for exact change, you’ll know that cards and cash can pretty much be a wash time wise.

@bud – I put myself through college and came out with about a third of my starting salary in loans. I can easily pay that off in a year or less. That’s hardly ridiculous. College is not only for people with wealthy parents. Growing up I was lucky to come home and have the electric on. That said, tuition is growing at a ridiculous pace.

38 steve August 2, 2008 at 10:35 pm

Using credit cards to get the rewards is a decent idea only for those who make all of their spending decisions within a budget framework. For those people, they have preallocated their money and are unlikely to get caught in the “spend 20-36% more because it’s so easy on the card!” mindset.
I use my credit card to get the one percent back. But all my spending, credit card and cash and checking, falls within the guidelines of my master budget.

I find cash to be fantastic to have on hand for many reasons. (I stock up my cash in my wallet once a month and never let it get below a certain level). Cash opens up lots of possibilities for transactions between individuals (garage sales, etc) and is a preferred medium for tips. If you don’t have cash in some of these situations, you won’t be able to close the deal. And with tips, it just makes more of an impression on the recipient to give a cash tip than to write abstract numbers on a credit card slip.

Tracking cash is as easy as tracking anything else. In order to track cash, I have a rule that whenever I spend it I make a receipt up on a piece of paper and tuck it in my wallet, i.e, “$2.10 cash parking meter” If I don’t have a pen or a piece of paper, I just ask someone to borrow theirs. If it’s in a social situation and I don’t want to do it in front of the people I’m with, I just make a mental note and make the receipt at the next earliest opportunity. Which may be when I excuse myself to go to the bathroom.

39 Greg August 22, 2008 at 11:53 pm

Good post Slinky. I’m in the same position as you: 20 something, student without rich parents, and use cards all the time. I agree with everything you said. It’s actually that simple people – assuming you don’t rake up a balance on your card if you can’t pay up at the end of the month.

40 Kevin August 23, 2008 at 12:44 am

Credit cards are definately the way to go, if you are responsible with them and don’t carry a balance. I take out about $50 a month in cash and I usually have some left by the end of the month, some little restaurants don’t take credit or I need change for parking usually.

Debit cards charge you for your usage while credit cards pay you either cash back or good points if you pick the right one. The banks make a ton of money off of consumers that use debit or withdraw money from a bank that is not theirs. Most people don’t even realize how much they are paying for it, fees are the same as interest charges, it just seems different. I use a PC Mastercard and usually get at least $30-$50 of free groceries per month just for using it and have no fees. It rings through the till quicker and doesn’t hold up line ups.

Debit or cash takes your money from you immediately while credit cards if timed right can give you up to 45 days without interest to pay them off. If you are making a larger than average purchase, this can give you a couple of paycheques to pay it off without paying extra, or you can keep your money in your bank or investments for that time and earn interest on it.

While at a restaurant, paying debit you will usually need to get up and go to the till to pay off your bill while with a credit card the server will take care of it for you.

For anyone responsible with their money, credit cards also help to budget and to track your spending habits. You can look back on the past month or year or more and see where all of your money is going to help you make modifications to your spending and figure out where you should cut back if necessary.

For the guy that mentions you can get a better deal if you pay cash, that is not usually true in North America, most vendors do pay a fee for the credit card but when they do large volume in a month they do pay less for it and the individual transaction doesn’t really affect them. These retailers accept credit card because if they did not the would probably be out of business, most people use them for large purchases. Effectively credit cards are actually bringing them more customers and more money. Credit is safer for retailers as well, they do not need to keep large sums of money on them. Also if you are buying a car and asking for a deal, what are you going to do, come in with a brief case full of money? That is probably not a very safe idea. Using your theory, sales people will react exactly the same to credit as they will to cash plus your purchases on credit card can easily be much larger than cash purchases which will entice the sales person more.

Credit card fraud is huge, it happens very frequently and costs a lot of money but it costs the credit card company money, not you. If there are fraudulant charges you are not required to pay for them. Credit card companies are also getting better at preventing it by using electronic chips in the cards, additional numbers on the backs of the cards & holding retailers more responsible for fraudulant charges.

Identity theft happens from other things like phone bills, bank statements, chequebooks being mailed to you or people getting into bank records. This can happen to anyone with a SIN or Social Security number. It does not have much to do with credit card fraud.

Another bonus is that purchases with most credit cards carry insurance for theft, loss & extends the manufacturers warranty for one year on the products that you purchase, at no charge. It is part of the service from the credit card company

Credit is a good thing and should be used correctly but debt and interest, in general is a bad thing. I could go on forever about the benefits. Anyone that strongly dissagrees with this has probably either gotten themselves into trouble with credit, have always been taught to never use it or have not been taught how to use it correctly.

One other thing that just occured to me. If cash is better than credit, businesses would be using it to pay other businesses, their employees, the government and any other expenses that they have, wouldn’t they? In theory shouldn’t they get a better deal if they ordered all of their products from the manufacturers and paid with cash? Or if they paid their employees cash every day as opposed to how they wait and pay every 2 weeks or month or so, would they be able to pay them less? Or when it comes to paying income taxes to the government, if they paid cash on every transaction at exactly that time, would they get a better deal? Probably not, is the answer to these questions and it would be very difficult to track.

Credit is for convenience and bookkeeping and it saves you or earns you money. One day cash will probably be gone and everyone will be trading money electronically. I don’t think that day is too far away, people will be forced to adapt.

41 Eileen October 10, 2008 at 3:05 am

I will never forget the book that my mother read when I was like 10 yrs old that predicted a lot of upcoming technological changes that our society in the U.S. and eventually in the world would undergo and this was such a myth to us at the time that when I look back on it now it really baffles me to see how many of those predictions have come true with the exception of a few that are still yet to come. Now mind you this was back in 1980 when I was like 10 yrs old and we didn’t even have scanners in grocery stores yet and that was one of the first predictions that this man made in his book. Which actually came to pass just a few yrs after we read the book. Some of the others were that eventually the U.S. and the rest of the world would become cashless. There was also the proposal that he made that we would eventually have one gigantic WORLD BANK. Well that only makes sense in the light of going cashless and then the international world bank would control the world economy. The scary part of all of this is where that leads to of course! So is this where the chip comes in and we are going to conduct all of our transactions from this chip and we are going to be controlled indefinitely by a new world order????!?!?! Of course all of this relates to what christians call the end times or the last days. I feel like we are so close to all of this coming to pass for the simple reason that the economy is far gone right now and it really is starting to affect everyone, globally we are strarting to sink now because of the war in the middle east (which is also all in the bible) and I just read the article that said that Bush is calling an internation crisis meeting with other leaders around the world to propose a way to fix our financial woes. I am telling you that it all really gives me the creeps because it just keeps coming true. Everything that was in that book as come true. If only I could remember the name of the book. Time to do some research. But that is my take on this whole topic. Honestly, it doesn’t look good, there just isn’t much left in the way of control when it comes to who is controlling what anymore. The government is getting heavier and heavier by the day. I just don’t see a way out but he one that I just described.

42 Surviving A Recession January 9, 2009 at 6:33 am

for a long time i never used cash either. But, I have recently found myself using it a bit more. I do not use CCs but a debit card. I do this so i can track all of my expenses. I just download and import into quicken and whalah the stark reality of my spending is right in front of me.

That is the primary reason i hate cash. I can’t track how i use it with minimal effort.

43 Jim March 1, 2011 at 3:42 pm

I have read everyones messages, and I feel that credit cards are the best way to go. I am in college right now, and writting a speech project on why our school cafe should start accepting credit cards as a form of payment. Last week, I have the oppertunity to complete a survey in school, where I asked 100 students, if they had any cash on their person and if so, have they eaten lunch at school? I was not shocked at all by the response that I got. 83 students had no cash but had credit/debit cards and were all hungry and didnt want to leave school, 5 students had neither cash or credit/debit cards, and 12 students had cash and did in fact eat in the school cafe. Our college has around 4500 students.
I personly perfer not to carry cash. There are a few restaurants that I eat at that I know do not accept credit/debit cards, and I try to avoid going to them with all intentions. Cash is extreamly evil. It burns holes in my wallet. I have 3 credit cards, and only use them when I have to, ex. vacations,trips ect…
Thank you for hearing my side.
- Jim

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