Quote:
Originally Posted by Maestro
Wish I could say I paid cash for everything and never paid a dime in interest. But took money which I could have paid cash for the house and cars and put in the market and made far more money in the market each year than the interest I every paid. This is finance 101.
I have not paid CC interest in over 25 yrs and I use a CC all the time, with the point they are paying me to spend money for things I would have top buy anyway. The CC company loan me money for 30 days and pay me to load it to me, what could be better. Especially when we use it for work travel expenses. Keep in mind most place do not give cash discounts when you buy something and they already factor the CC fees into purchase price.
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That's perfectly fine if you used it to leverage investments elsewhere. I did finance my home, but with a 15 year loan and paid it off early. Last car we bought I was offered financing at 1.7%, but we bought it outright.
But following through with what you said is the key. Most people don't and the money ends up going to something else.
My brother is a perfect example. He would do this stating the same thing, but the monthly contributions to any investment he may have gets spent on something else that he just had to have.
His thinking is oh well, I will catch it up next month.