Heard a guy at the coffee shop say credit cards are a scam

Was waiting for my order and this guy goes on a rant about how he pays cash for everything and thinks credit cards are just a trap for interest and fees. But like, I've built my whole credit score from 580 to 720 using a single card with no annual fee over 4 years. Does the cash-only approach actually work for building credit, or is he just ignoring the long game?

3 comments

3 Comments

dianawilson7d ago

Get where you're coming from, it's rough watching someone dismiss a tool that actually helped you get ahead. Cash is fine day to day but it doesn't build any history for loans or renting later on. Sticking to one no fee card and paying it off is the smart play for most people.

the_hayden11d ago

Honestly, it just feels like people pick one thing to be stubborn about and then never question it again. Cash is fine if you want to stay invisible to the system, but it won't help you buy a house or a car later on.

margaretc4211d ago

What about people who just don't trust banks enough to put their money in one though? Isn't that a different kind of reason, not just stubbornness for the sake of it?