So, you don't have a credit card?

[Candleshoe]

Howdy hi. I'm one of those who don't have a credit card. At least, not anymore! And no, I don't want one (and they don't want me either!).

Was finding it difficult to 'buy online' or make ressies or anything w/out going to ye olde parental units and begging help. Found these a while back. Maybe a couple of years ago?? I forget but they've been hugely helpful plus a great peace of mind and only had one problem using them ever.

http://usa.visa.com

It's a pre-paid card. It's pre-loaded. When it's out, it is out. If someone steals it, they can only steal the amount on the card.
It's how I saved up for our first trip: I bought a few. Then used them for reservations and pre-paying. TIP: I put a blank label on the sheath they come with (or on the one that didn't come with a sheath) to keep track of my balance.

There's more then one place to get them. I first found out about them from Bank of America, but the frugal part of me did NOT like the amount they charged to get one! Plus you had to buy one from them with another card! They're marketed as gift cards so I guess that's why. But I really didn't want to tie my visa-debit to my visa-prepaid-credit card because of the whole security thing. Then I found the usa.visa.com and started looking around and found out the simon malls sell them in their mall-kiosk-office thingy for a much lower rate (iirc $1.50 which is fair in covering the plastic and setup etc. Bank of America's was like 10bucks? AND it lost money over time!).

So anyway, hope this helps someone else! That's the main page to all the different kinds, and here's a subpage to the pre-paids:
http://usa.visa.com/personal/cards/visa_gift_apply.jsp?it=search

so you can find the one that works best for you. I like to walk in with a handful of cash and convert it to a "credit" card. LOL.

 

[LisaZoe]

Just curious, couldn't you also start a savings account at a bank, one NOT tied to any other of your accounts, and get a debit card with a Visa/MC logo for that account? It seems like it would be about the same idea because you'd have to have money upfront to use the card plus you'd have the security of not having it tied to your household checking or other savings accounts. I may not be understanding the way your card works, though.

Of course, you'd want to make sure there were no service charges for the new account so those didn't eat away at your money. Also, you'd want to make sure the bank would cover some or all of any fraudulent charges if the card was stolen or lost. Most should but it's a good idea to check.

FYI - I do have 2 credit cards - I just got the Disney Visa and will probably close the other account soon. However, I keep it paid off every month and never fall for the "If you apply for our store's card now, you save XX% on this purchase". I made that mistake when I was younger and it took me too long living paycheck to paycheck to get those darn things paid off.

 

[LeftCoaster]

Some important things for people to remember when using these cards.

1. Keep track of your balance on the card. The retailer has NO IDEA how much is on your card. If the transaction amount exceeds what is on your card, then it will just come back as a decline. If you have a $20 purchase and only 10.52 on the card, the retailer must put in 10.52.
2. You can call to find out how much is on your card. HOWEVER, this will cost you $$ to do so. I believe you can find out online for free or if you're in a mall, go to the information kiosk and have them check for free.
3. After 6 months, they will charge you a monthly service fee of $2.50 a month.

 

[Candleshoe]

LIsa: Yep yep I can (and do) have a cc tied to my bank account. But, and I'm probably just overly paranoid, I just don't want to use it for purchases over the 'net. That's why I got one to start with.

You're right leftcoaster! I do believe they do start draining away funds after a while. Not sure if the mall ones do or not because I used them up before they started! heh. I don't get them for "much", $100 or so on a card which is plenty for making reservations. I believe some people use the disney dollars in the same way, pre-buying Disney spending money. Only with these I can also use them to order pizza or buy from orientaltradingco or whatever.

I did *not* know that calling for a balance cost money. ouch. I've always done it via the online page site which is free. Plus I keep track of it on the label stuck on the card/card sheet. Just keep a running balance, and double checkmyself sometimes. The worst is when it's down to just a few dollars! finally figured out what to do. I find out the exact amount (ie: $2.73), write it on the card. And then when I'm buying groceries they'll let me split my bill: $2.73 on my "credit card" and the remainder on my debit card (or cash)

I realize this is going to sound awfully silly to those who have credit cards, or don't mind (or aren't afraid of) using their bank debit card online, or like disney dollars (i don't, but that's me).

But! if you don't have a credit card and you want to make those priority ressies, this might be useful to you. It is to me anyways.

 

[LeftCoaster]

The mall ones drain the funds too. After 6 months, they charge a $2.50 a month fee on the card.
I'm in retail management, and I really try my best to educate people on these cards. It gets sooooooooooo frustrating trying to explain to people that since we are NOT Visa, etc., we have no way of knowing how much is on their card. Then they get mad about the $2.50 a month fee. I get these customers who get mad at me about it thinking I can do something about it. They just don't comprehend when I say that we have no connection to those companies other than accepting their product. we do not make their rules and regulations. ugh. Soemtimes I just want to take a rolled up newspaper and smack em across the nose.

 

[stemikger]

Howdy hi. I'm one of those who don't have a credit card. At least, not anymore! And no, I don't want one (and they don't want me either!).

originally posted by Candelshoe

Candelshoe,

Credit cards (although I don't like them) are a neccesary tool in building credit. My guess is that you are much younger then me and you sound like you had bad experiences with them. However, they are a necessary evil. The problem is most people don't know how to handel them responsiblly.
What Credit Cards are:
A good way for a person to establish a credit history.
A useful tool in bring your fico score up on your credit report

What Credit Cares are not:
They are not free money

If you use your credit cards and pay them in full everytime you use them - you will establish a good credit history.

 

[Candleshoe]

Yer right stemikger They *can* be necessary. I guess I just have a depression-era attitude towards 'em.

But I happen to believe my mortgage is the only thing I need an loc on! And if all goes well for my daughter, she won't need one of those! I just have a different idea of credit I guess!

Thanks for the compliments though!


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