Credit cards on Black Friday

[junkie2003]

i have recently got approved for credit cards. The stores i applied for are wal-mart and old navy. Do you think two credit cards are too many?

[bigjimslade]

I have more then 2 credit cards and I dont think it is too many. You just have to use them wisely. What is your question with the credit cards and black friday?

[Fireangel69]

As to whether having two cards is bad, valid arguments for either side could be made.

On the pro-card issue, it will provide you with the opportunity to make purchases that you generally don't have available cash for right this minute.

The anti- card side is that you could go crazy with the card and charge more than intended.

Additionally, the new cards will count against you on your credit score, and some lenders note that the new cards could indicate you're overburdened with debt.

Finally, having the Walmart card would definitely be handy on black Friday, and Walmart brought back layaway, so you can stretch your spending and pay in installments on the card and at the layaway counter.

Edited October 11, 2011 by Fireangel69

[jendeere]

I don't think its bad at all to have 2 different cards with you on Black Friday. It never fails, every year on BF my sister's bank denies her card for "suspicious activity" and she has to wait until the bank opens to get it straightened out. I never put more on my credit card than I can pay off when the statement comes, I don't ever carry a balance. I personally only take my debit card a credit card and my ID and keep them in an inside zippered pocket of my coat. No purse to worry about and keep track of.

[bfaddict1977]

I don't think its bad at all to have 2 different cards with you on Black Friday. It never fails, every year on BF my sister's bank denies her card for "suspicious activity" and she has to wait until the bank opens to get it straightened out. I never put more on my credit card than I can pay off when the statement comes, I don't ever carry a balance. I personally only take my debit card a credit card and my ID and keep them in an inside zippered pocket of my coat. No purse to worry about and keep track of.

This is why I HATE ccs and always carry cash. Who wants to be out at 2 am and some damn computer decides you're suspicious and freezes your account until you can verify it. I don't mind ccs. I just don't use them.

[peppysfireball]

I have to say 2 is 2 too many . As someone who started with a couple store cards and ended up with over a dozen and had to refinance my house twice, it can destroy you. I now use my checking only and have debit card off it for things that require a card. On black friday, I call the bank and they lift the daily limit for a few days. STore cards carry interest rates of over 25 % which can double or triple the cost that you end up paying for an item. It took me 20 years to learn.

[tinkrbel]

I have more then 2 credit cards and I dont think it is too many. You just have to use them wisely. What is your question with the credit cards and black friday?

I agree with using them wisely greatly affects the too many outcome. I know people who misuse even debit cards so yes 1 credit card is too many for them, in their case I suggest gift cards or the visa preloaded cars so there's no possibility of going over the limit.

 

As for BF credit card news I have not been denied in many years ONLY because I call them in advance and notify them to put a note on my account. I use credit card for everything and pay them off in full before due date. I carry maybe $10 in loose bills on me in case of parking fees or some other necessity. I much rather someone steal my purse with plastic I can call in than with hard earned money that is just lost.

[3 boys]

The only CC I use on BF is my Target. Saves me an additional 5% on purchases. Everything else is greenbacks.

[mamat2011]

I use cash, but carry 1 credit card just in case I see something that I just have to have and didn't set aside the cash or my sister calls and says she can't get something and I pick it up. This hasn't happened in awhile. When I get the bill I pay it off. I know by expereince to watch how you use cc, it can bite you in the butt.

[mamat2011]

Just set a limit and don't go over it. Then pay off as soon as you get the bill or the "great price" won't be anymore!

[theboyzmom]

Store cards carry really high interest rates and many studies have proven that people will spend more money when they use a credit card instead of cash. You really have to be honest with yourself about setting a budget, sticking to it, and paying it off quickly. My husband and I started with just a couple of store cards to build our credit andand ended up with NUMEROUS careds and are now working to pay them off...cut the cards up last year. The balances have a way of sneaking up on you if you aren't careful. Just be wise...

[arci122]

One credit card and any gift cards you have been saving...then take those reward points and turn them in later. My Christmas club each year is the free reward points I get from using my CC all year and always paying the balance off. Hey, they pay me to use their card and I LOVE IT!!!

[Iliveforblckfri]

Store cards carry really high interest rates and many studies have proven that people will spend more money when they use a credit card instead of cash. .

This is the biggie for me. I know that if I use a card, I pay less attention to what I am spending. I do use cash on Black Friday.

[jaymacfla]

The only time you should use the cards are when you are flipping your Black Friday purchases with pre-arranged sales, or when you get a percentage off if you use the card and pay it off in less than 30 days.

[tyreejames]

The only time you should use the cards are when you are flipping your Black Friday purchases with pre-arranged sales, or when you get a percentage off if you use the card and pay it off in less than 30 days.

I agree. Last year I used my Old Navy cc on Thanksgiving to get the BF price a day early. As soon as I got home, the $ spent was deducted from BF spending money & paid off as soon as it posted. I do this for special perks & sales and I always avoid paying any intetest.

[lorilwayne]

We ate a situation where 1 credit card is too many. I told my dh if I see any mire credit cards in my house I'm going to shoot that person. We are on our 3rd time paying these things off and I refuse to make it a fourth.

[happyrat]

I have three cards and pay the balance in fully each month. I have a Mastercard, Discover, and Amex. Almost every store takes one of those. I do not have any store cards. I think the major cards are better as they can be used anywhere. If I were starting out with credit cards or had a hard time managing money, I would have the limit set low like $500 or $1000 so you can't overspend. Multiple cards will not hurt your credit, but a high balance sure will. More cards might actually help as it increases your available credit as long as they are not abused.

[billcsho]

It is wise to bring multiple cc with you on BF. It happens in the last few years that some credit cards may put your account on hold if you made multiple purchases within a short period of time (which is likely to happen on BF) until you call to verify your purchases. If you don't want to be stuck in cashier, bring more CC.

[mcwalker]

As many have said, the key is to use credit cards wisely. Make the cards work for you, not you working for the credit card company.

 

Rule number 1: Never buy anything with a credit card that you can't pay for IN FULL when the next monthly bill comes due. (And really, don't buy anything with a credit card that you don't already have the money in the bank to pay for today, with enough left over to pay rent, buy groceries, and other necessities.)

 

So you may ask, what is the point of having/using credit cards if not to borrow money and buy things you can't afford today? There are a few reasons:

-Convenience: you don't have to carry as much cash, go to ATMS as often, deal with change as much.

-Security: you don't have as much cash to get stollen or accidentally drop (which happens more often than people realize, I think)

-Discounts associated with specific cards such as Target (always 5% off instantly); or JC Penney, Macy's, and Kohls which have periodic discounts only for using their cards.

-Points and cash back programs for Visa, MasterCard, Discover, and American Express (but consider annual fees and generally get cards with no annual fee).

-Buyers assurance programs, that pay you for items charged to the card that fail after the warranty expires or if they are broken or stolen within a certain time period.

 

By the way, airline points are generally worth about 1 cent per point if used wisely. Use that or a lower number for calculating the value of points programs.

 

Regarding the two cards that you got, this is a good start if you use them wisely, and contrary to what one person said, these will be good for your credit rating as long as you pay them consistently--NEVER miss a payment. But, as far as I know, neither of those offers you specific benefits and they are only good at those stores. I would suggest that as soon as you qualify, get a no-fee Mastercard, Visa, or Discover, which can be used most anywhere, preferably with some points or cash back. Then get only no-fee cards with a specific benefit, like the 5% discount at Target, and cancel the two you have now.

 

Another trick I often use is: some cards are offered with no annual fee for the first year (but earn points or cash back). I use these for a year, then cancel them. (My credit rating is still excellent because I never miss payments and have no runnning credit card debt.)

 

As for debit cards, these are good for controlling your spending and are a good choice for many people. I have a couple of issues with them though--most importantly if someone charges to them fraudulently, the money comes right out of your bank account and you have to work to get it back. With a credit card, you never loose anything if it is reported before the bill is paid (and probably get it back later, too). They also don't offer some of the legal protections that credit cards do and don't generally have the point or cash back benefits (with some expceptions that are more limited than credit cards).

 

Finally, check out Gottadeal's (Brad's) credit card site to find good cards and compare the details: http://www.bettercreditcard.com/

Edited October 13, 2011 by mcwalker

[Aurion07]

As many have said, the key is to use credit cards wisely. Make the cards work for you, not you working for the credit card company.

 

Rule number 1: Never buy anything with a credit card that you can't pay for IN FULL when the next monthly bill comes due. (And really, don't buy anything with a credit card that you don't already have the money in the bank to pay for today, with enough left over to pay rent, buy groceries, and other necessities.)

 

So you may ask, what is the point of having/using credit cards if not to borrow money and buy things you can't afford today? There are a few reasons:

-Convenience: you don't have to carry as much cash, go to ATMS as often, deal with change as much.

-Security: you don't have as much cash to get stollen or accidentally drop (which happens more often than people realize, I think)

-Discounts associated with specific cards such as Target (always 5% off instantly); or JC Penney, Macy's, and Kohls which have periodic discounts only for using their cards.

-Points and cash back programs for Visa, MasterCard, Discover, and American Express (but consider annual fees and generally get cards with no annual fee).

-Buyers assurance programs, that pay you for items charged to the card that fail after the warranty expires or if they are broken or stolen within a certain time period.

 

By the way, airline points are generally worth about 1 cent per point if used wisely. Use that or a lower number for calculating the value of points programs.

 

Regarding the two cards that you got, this is a good start if you use them wisely, and contrary to what one person said, these will be good for your credit rating as long as you pay them consistently--NEVER miss a payment. But, as far as I know, neither of those offers you specific benefits and they are only good at those stores. I would suggest that as soon as you qualify, get a no-fee Mastercard, Visa, or Discover, which can be used most anywhere, preferably with some points or cash back. Then get only no-fee cards with a specific benefit, like the 5% discount at Target

I agree with the above. Its the same as alcohol or chips, some people can have just one of something, and others can't control themselves, for whatever reason. (I can stop at one drink, but you'll have to tear the bag of chips from my cold dead hand ;-) ) Credit cards are a tool, if you can't use them wisely, you'll hurt yourself. Its not the card that hurts you. I have 5 and no running balance. 3 are for discounts (Kohls, the Limited and Macy's). I have the Target Debit redcard so I can get the 5% without charging to credit (since I can never just stick to my list at Target) and I have two emergency credit cards, one that I use A LOT and pay off every month to rack up rewards for travel. The other I almost never use, but the terms are no fee and super low rate so I keep it just in case of emergency. They like to send me 0% offers which I use and pay off before I rack up any interest (he'll, even at 1% savings I make more than I would paying cash).

 

But these tricks only work if you have a very stable financial situtation, backup SAVINGS, a steady income stream AND most important, self control when it comes to spending. I don't think 80% of people can pull it off, and it helps if you know yourself well enough to know your own limits (don't get me within a mile of doritos ;-) )

 

For BF, I always take only my discount credit cards and the one I use to pay everything with...I pay it off online within a week (gotta wait for all the charges to go through)...I never take cash, but I don't carry cash with me normally. For me, I am less accountable with cash. I hate to see the list in front of me of all my charges totalled, so it keeps me more accountable to use my card. The opposite is true for many people. Good Luck.

[junkie2003]

I always use my debit card during black friday.I decided about a month ago that i will apply for a credit card for black friday. i applied for a Wal-Mart and Old Navy card. The wal-mart got a 400 credit limit on it and the Old Navy card got 100 credit limit. I never spend 400 dollars in wal-mart on black friday. The amount i spend is usually $50.00 dollars. Old Navy,I looked at my receipts from last year, and I only spent 25.00 dollars. I am thinking that maybe two credit cards is too much. I think I will get rid of the Old Navy credit card.

[len_mullen]

The only things that do not go on my credit cards are mortgage, taxes, and my kid's tuition. Every penny that goes on a credit card is a penny earning interest for at least a month. If you get the right cards, you get additional benefits. Most protect you in the case of a dispute with a merchant, some extend your warranty, and many give you some kind of reward for using the card. Christmas is a good time to open a chase account since they often give up to $250 in rewards after meeting a spending threshold. We got out PS3, some peripherals, and a bunch of games this way. I opened an account for the PS3 and she opened one for the other stuff. We paid the balance and closed the account right away (Chase makes their money back on fees). My 'full time cards' are with 1) Discover, 2) Citi (Mastercard), and 3) Kohls.

 

Discover is terrific to do business with. Once the wife forgot to mail out a payment that included my tuition. They said I was a good customer, forgave the late fee, and refunded the interest. Great people. I use this for $90% of my purchases. I use shop discover to earn 5-20% cash back on online purchases. Some merchants double cash back at Christmas. They also run 5% cash back on groceries, gas, etc. thoughout the year and right now Amazon is 2% bak. When you cash in our rewards, you can get discounted gift cards. Last year, I rolled $600 of rewards into $750 of staples gift cards and bought a couple laptops. Thanks Discover!

 

Kohls is my second favorite card. They are always having 30% off and free shipping codes when you use their card. Often, this is coupled with 20% back in Kohls Cash. You do not need to carry the card and you can pay your bill in the store.

 

I have a Citi Mastercard. We use this when Discover is not accepted and for their 5% quarterly promotions. I just got a check from them for $257 that had accumulated in rewards while I wasn't paying attention. A couple years ago, I got an offer to consolidate all of my balances on a 0% card. At the time, I could earn decent money on a money market account, so I did it. Not worth it these days. I did the math once, and my credit cards are worth about $4000 per year in rewards and discounts. That is money I do not pay taxes on, so it represents nearly $6000 I did not have to earn.

 

So, yeah, I think you should get credit cards if you have the discipline to pay the balance each month. Read the fine print and play by the rules.

[SuggaD]

This is why I HATE ccs and always carry cash. Who wants to be out at 2 am and some damn computer decides you're suspicious and freezes your account until you can verify it. I don't mind ccs. I just don't use them.

I have a few credit cards, but rarely use them except during the Holidays. I always get a fraud alert. Its a pain, but I am glad the credit card companies are watching out. What I typically do is use another card right then to make the purchase, and call the card company on my way to the next store.

 

CCs are better than cash, in my opinion for such crowded shopping trips. You are protected if you, unfortunately, get pick-pocketed, etc. Plus, the rewards are nice.

[SuggaD]

The only things that do not go on my credit cards are mortgage, taxes, and my kid's tuition. Every penny that goes on a credit card is a penny earning interest for at least a month. If you get the right cards, you get additional benefits. Most protect you in the case of a dispute with a merchant, some extend your warranty, and many give you some kind of reward for using the card. Christmas is a good time to open a chase account since they often give up to $250 in rewards after meeting a spending threshold. We got out PS3, some peripherals, and a bunch of games this way. I opened an account for the PS3 and she opened one for the other stuff. We paid the balance and closed the account right away (Chase makes their money back on fees). My 'full time cards' are with 1) Discover, 2) Citi (Mastercard), and 3) Kohls.

 

Discover is terrific to do business with. Once the wife forgot to mail out a payment that included my tuition. They said I was a good customer, forgave the late fee, and refunded the interest. Great people. I use this for $90% of my purchases. I use shop discover to earn 5-20% cash back on online purchases. Some merchants double cash back at Christmas. They also run 5% cash back on groceries, gas, etc. thoughout the year and right now Amazon is 2% bak. When you cash in our rewards, you can get discounted gift cards. Last year, I rolled $600 of rewards into $750 of staples gift cards and bought a couple laptops. Thanks Discover!

 

Kohls is my second favorite card. They are always having 30% off and free shipping codes when you use their card. Often, this is coupled with 20% back in Kohls Cash. You do not need to carry the card and you can pay your bill in the store.

 

I have a Citi Mastercard. We use this when Discover is not accepted and for their 5% quarterly promotions. I just got a check from them for $257 that had accumulated in rewards while I wasn't paying attention. A couple years ago, I got an offer to consolidate all of my balances on a 0% card. At the time, I could earn decent money on a money market account, so I did it. Not worth it these days. I did the math once, and my credit cards are worth about $4000 per year in rewards and discounts. That is money I do not pay taxes on, so it represents nearly $6000 I did not have to earn.

 

So, yeah, I think you should get credit cards if you have the discipline to pay the balance each month. Read the fine print and play by the rules.

Like. I think I will start doing this as well. I usually only get restaurant gift cards that take care of much of our dining out the year. May have to apply for a discover card. Definitely need to start paying all bills with cc.

[ICF]

Counting store cards, we probably have 6 - 8 total cards.

 

They earn free hotels stays, flights, disney rewards, store discounts and the like.

 

We use them for everything we buy and have earned 1000s in rewards.

 

Just use ones that have no annual fee and pay them off each month so you dont pay interest and they are wonderful things.

[kansasteacher]

My husband and I each use credit cards regularly. For many of the reasons named above, I prefer not to carry cash. I put nearly all of our montly expenses on my Discover card, my husband using his Visa. This year I was able to roll our rewards into a combined total of $600 dollars worth of gift cards at Target, Kohl's, and K-Mart. That $600 will take care of a large portion of my holiday shopping this year. Since we pay off our credit card balances each and every month, this $600 is like "free money."

[freesia39]

My husband and I each use credit cards regularly. For many of the reasons named above, I prefer not to carry cash. I put nearly all of our montly expenses on my Discover card, my husband using his Visa. This year I was able to roll our rewards into a combined total of $600 dollars worth of gift cards at Target, Kohl's, and K-Mart. That $600 will take care of a large portion of my holiday shopping this year. Since we pay off our credit card balances each and every month, this $600 is like "free money."

Yep! Chase Freedom right now I think is giving 10% or 15% back in rewards at Kohls for a while. Excellent reward. I love the extra incentive times of the year.

[JohnnyLaRue]

Never have had a credit card and never wanted one. I refuse to support the credit card industry and reject the credit reporting system.

 

Also I see no need for having one. I use cash for my purchases. I don't worry about theft as I carry small amounts and when I carry larger amounts I use a money belt. If I don't have the money to get an item than I don't get it. Emergencies? I have a separate emergency account. Online shopping? Paypal or bank transfer.

[Lusha121]

This is why I HATE ccs and always carry cash. Who wants to be out at 2 am and some damn computer decides you're suspicious and freezes your account until you can verify it. I don't mind ccs. I just don't use them.

You can contact your cc company BEFORE BF and let them know that you will be out shoppping on bf, that 'generally' stops the freeze. kinda like calling them and letting them know that you will be using your card out of country... never had a problem. they are always happy to help us charge on them! LOL

I always put Black Friday on store cards. Easy to just buy what i need, come home sort it out over the next 3 days and return what i overbought on with nothing out of pocket. BUT I always pay it all off asap. As Soon As Posts.

[tinkrbel]

You can contact your cc company BEFORE BF and let them know that you will be out shoppping on bf, that 'generally' stops the freeze.

I was just about to post that. This hasn't happened to me in many years but for a few it was year after year until I started calling beforehand.

 

To the person who posted about debit cards as an alternative, beware I have had my debit card placed on hold twice in the last year BOTH times while I was attempting a medication refill at Walgreens which is a popular place w/ my debit card (I usually make small purchases there and use them to complete my 12 req uses of debit card for high yield checking). After the 2nd time I requested a supervisor AND wrote them a nice letter. If I hadn't been carrying my checkbook I would have had to wait for bank to resolve their crap as I don't carry more than $10 at any time. It's one thing to be looking for suspicious behaviour but a complete other to stop me from using my acct which has more than enough to cover a practically recurring monthly purchase.