Sorry, but the debit card is probably the worst financial instrument ever conceived. No upside at all for the consumer - that's why banks and vendors love them.
DTV's Questionable Autopay procedures
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Sorry, but the debit card is probably the worst financial instrument ever conceived. No upside at all for the consumer - that's why banks and vendors love them.
explain it too me, this should be good.. i use it for are instances where I would normally pay a bill with a check. it serves me VERY well at no costs and no losses. don't even try referring to bonuses, cash back, points or mileage, etc as the user more than pays to get those "features", they will get paid and MORE in the long run and the customer isn't saving anything. cash is a no go at all. so what are you planning on using? your looks?
It's very simple. A debit card is just like cash. It allows you no lag time and makes any subsequent problem with the purchase very difficult to appeal. With a credit card you get many benefits such as a 3rd party arbitrator, extended warranties, auto rental coverage and more. If you use a credit card and pay it off every month it's a very attractive financial tool and a very handy checkbook replacement. And I like that they give me money back just for using it. I've never paid a dime of interest and gotten a lot back from the banks.
So a CC is charge right away while a Debit card waits 15 days ?
I would much rather use a CC as a Debit is access into my bank accounts, while a CC is not.
I would much rather use a CC as a Debit is access into my bank accounts, while a CC is not.
"I've never paid a dime of interest " - no way either of us to prove but I call BS on this.
and let's assume you really have't paid interest ever, if you are getting most of those service features you list; you ARE paying for them and likely at a higher rate than normal, especially in cases (most) where such services are needed.
I also guess you read nothing in my post.
i use it for are instances where I would normally pay a bill with a check. I did not say anything such a major purchases.
don't even try referring to bonuses, cash back, points or mileage, etc as the user more than pays to get those "features", they will get paid and MORE in the long run and the customer isn't saving anything.
I am not claiming it's smart or not smart to never have a credit card, but it's obvious you have bought in to their tool of choice. but it is your money..
and let's assume you really have't paid interest ever, if you are getting most of those service features you list; you ARE paying for them and likely at a higher rate than normal, especially in cases (most) where such services are needed.
I also guess you read nothing in my post.
i use it for are instances where I would normally pay a bill with a check. I did not say anything such a major purchases.
don't even try referring to bonuses, cash back, points or mileage, etc as the user more than pays to get those "features", they will get paid and MORE in the long run and the customer isn't saving anything.
I am not claiming it's smart or not smart to never have a credit card, but it's obvious you have bought in to their tool of choice. but it is your money..
never tie one debit to your only funded account and ALWAYS setup a max spending limiter on it. the same person that can't manage a debit will get themselves into even more trouble with a credit card.
lsilvest said:
I tend to agree. I see virtually no upside to a debit card and refuse them every time my bank offers one. I use various reward cards and pay off the balance each month. I have not paid interest or fees in years but "make" hundreds of dollars in rewards. I have used the arbitration services more than once to dispute charges or resolve service issues - every time with success. With regard to the OP, paying with my credit card gives me 1% back from my DirecTV bill, provides a legal recourse to dispute any charges on that bill and gives me an extra 15-30 days before I actually have to pay it.
Certainly credit cards are not for everyone and require a lot of discipline to be used effectively without getting burned. But for some, like myself and lsilvest, they are a good bargain.
Here are my feelings on Auto-pay...
#1 Many companies like Dish and Directv offer an incentive on auto-pay, such as Free HD. If your on that type of promotion, then the auto-pay is a no brainer, as its typically a $10 savings per month.
#2 If you pay with a credit card, you get 1% cash back typically.
#3 You get 30 days to pay the bill once its charged to the credit card
#4 You can dispute the charges with the credit company if your not happy.
As far as them debiting my account once the bill is generated, I kind of like the fact that the bill already shows as paid once I receive it.
If you don't like people taking money out of your account, then auto-pay is not for you. However I think the benifits outweigh the negatives.
#1 Many companies like Dish and Directv offer an incentive on auto-pay, such as Free HD. If your on that type of promotion, then the auto-pay is a no brainer, as its typically a $10 savings per month.
#2 If you pay with a credit card, you get 1% cash back typically.
#3 You get 30 days to pay the bill once its charged to the credit card
#4 You can dispute the charges with the credit company if your not happy.
As far as them debiting my account once the bill is generated, I kind of like the fact that the bill already shows as paid once I receive it.
If you don't like people taking money out of your account, then auto-pay is not for you. However I think the benifits outweigh the negatives.
Don't know what your financial training background is, but your statements indicate a real lack of understanding of financial management which isn't surprising considering the general financial ignorance in this country. As stated, I have never paid interest on my credit cards whether you choose to believe it or not . I am very disciplined about their usage and don't use them to buy things I neither need nor can afford. As to my "buying in" to "their" (whoever that is) tool of choice, it's MY tool of choice. I reap a lot of benefits at no extra cost to me specifically. If you pay cash you are still paying for the benefits I receive unless you receive a discount for the cash since the cost of a merchant using a credit card is built into their charges which means everyone pays for the privilege of using credit cards whether they use them or not. As to a debit card being the same as check, consider that with a check you have time to reconsider since it takes a few days to clear where a debit card is an instant draw.
By the way, I am a professional with extensive financial knowledge, so my observations aren't pulled out of thin air but based on facts and a lot of experience.
I have mine on a credit card, just in case. As soon as I see the amount, I do an online bill pay from my checking to the credit.
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