The Credit Card Traps That Everyone Falls For (But You Don’t Have To)

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[djpickleballplayer]

Crust card companies know that some people will always pay off their balance every month on time and get the rewards - but most people will not and will wind up paying interest at some point. So, while it is true that some people will come out slightly ahead from using credit cards - the credit cards companies will always win.

[duncanfriend]

"1 in 5 people have maxed out a credit card"... so that means 80% of people haven't. Pretty good odds if you ask me.
"People spend 83% more using a credit card" That also applies to a debit card, which you guys recommend.
Here's a real statistic for you, 36% of active credit card accounts, don't carry a balance, meaning over a 3rd of people actually can pay them off every month without penalty while also getting cash back/rewards.

[markhines]

The biggest advantage to having a credit card over a debit card is that a credit card gives you better fraud protection especially online. Debit card does not do the same thing.

[kingtizzy]

Had my Discover for over 10 years now and how much interest have they charged me during that time? ZERO

[kimbee]

I pay my bill weekly. I never pay interest and I earn rewards every year ( 300.00 a year)

[richardshufflebottom]

Rachel should be embarrassed! 3% of $300 is $9, not $3

[elizabethgordon]

So when you say you can get a mortgage without a credit score. . . Um nah? At least not where I live. Our credit score is amazing but the bank won't approve us because we dont have revolving credit so. . .

[Chele-nmqx]

I have 2 credit cards & both pay me "cash back". My Amazon gives me 5% off every order so since I pay the balance off each month- it's costing them for me to have their card.

[leahbegley]

Maybe some can’t handle it, but others definitely can. You have to know yourself.
We’ve had credit cards for 12 years, never EVER pay interest, and get $1, 000 cash back every year.

[Leeon_King]

I support people not wanting to use credit cards especially when they know that they won't be able to use them responsibly and/or track them but so much of this is wrong and emotion mongering just like the ads she's dismissing lol

[dracos]

I only spend on my credit card what I can pay off comfortably with my next paycheque. To be honest, after three years I have never paid interest! Yet still although not necessary based on Ramsey's principles it is much easier in life with a credit score.

[ThraxMan]

I stopped using my credit cards. I was even responsible and paid them off every month. It is indeed true people tend to spend more using them than with paying with cash or a debit card. That's the whole point of not using a credit card so you don't over spend. And it seems so criminal getting rewards on the backs of who don't use their credit cards properly. The rewards aren't that great anyways.

[gabrielfereira]

I usually like your content, but respectfully I believe you are wrong on this one. I use my chase cards for EVERYTHING I buy, and go on vacations every year, to beautiful places all over the world, with my points. The secret is not get accumulated debt, but to payoff the balance… I haven’t paid a single penny in interests to credit cards in over 10 years…. In addition to that, the extra benefits, insurances, protections, etc, are totally worth it… just my two cents… all is take is for you to be organized and smart with your credits cards, and you will be in great shape.

[JaydonTobler]

“YOU KNOW WHAT 3% OF $300 is? YEAH, IT’S $3.”

Uhh not quite.

[davidmilhouscarter]

I’m reading through the comments on this video and I’m not sure why certain people watch and comment. It’s like arguing with a priest on why abortion is a good thing. I considered replying to some of the comments, but then I decided that my time is more valuable than to argue with strangers on the Internet.

[rhonda]

In Canada, the interest is up to 29.5%. That should be criminal.

[DanielGarcia-zzeg]

All the money we spend everyday, what's wrong with getting cash back reward.
My cash back pays auto, boat, and home insurance every year.

Free insurance to me

Or this cash back can help build your emergency 1, 000 fund that dave has always ask to do first.

I can't count the number of times my car broke down and I didn't have to break my 1000 cash emergency because I had over 1000 in cash back.

Cash back can help pay for a full tank when u go visit grandma once a year or few fill up for vacation trip.

This is not to get rich, just dollars earned that can help u for a bump on the road.

I tell u this much, I'm sure Dave has a cash back card that pays him over 30k which he use to reward his employees at end of year


Any amount cash back earn is better then nothing

I mean our everyday spending
Gas
Food
Light bill
Phones
Repairs
Coffee ☕
Restaurant
Vacation.
Get reward and see how much u get back end of year.
I recommend discover and blue American express.

That capital one 1.5% is a joke

[SledgeIncTeam]

Of course they aren't there to help you. Most for profit businesses aren't. You have to have personal responsibility. I have 16 credit cards and 5 charge cards. I don't pay interest. They make their money from me using the cards and I take advantage of the points, hotel and airline status, cash back etc..

[EncerK]

Almost 9 minutes, and not a single word about "spending responsibly". Only victimization talk. Debt only happens when you don't pay your bills. Credit card companies don't force people to NOT PAY BILLS. The idea of "credit card traps" only sweeps the concept of personal responsibility under the rug. "It's not my fault, they tricked me!" No, they didn't, and yes it IS your fault. If you treated a credit card LIKE a debit card, you'd never get into debt in the first place. You charge $100, you pay $100. There should never be a reason for having $5000 of credit card debt.

[Frank-qo]

Video is very helpful for young people who don't have credit cards maxed out yet!