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marciayudkin

What kind of peple don't have credit cards?

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When a potential customer contacts me to say that they don't have credit cards, and can they buy a certain item or service with Paypal or a money order, I assume that they are living hand to mouth and can't really afford to pay $100 or $500 (sometimes more) for what I'm selling.  But then they prove me wrong.

I do also have one longtime client who makes many hundreds of thousands of dollars a year who, out of some sort of principle (or defense against overspending?) always wants to pay me in alternative ways besides credit cards..

What are your thoughts on this? Are there certain types of people who don't have credit cards, and is it possible to generalize about them? Or are there so many reasons why people don't have or don't use credit cards that it would be wrong to draw any inferences at all from this fact about them?

Apart from clients, I can only think of one business owner I personally know who didn't have credit cards, and this was someone who had defaulted on her student loans and had horrible credit.  It's just so hard to function in today's society without credit cards - isn't it?

Marcia Yudkin

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I have them, but honestly I am the type of customer credit card companies hate. I never use them. They are losing money on me with sending out statements and new cards every 3 years.

Why use a credit card when a debit card is accepted?

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1 hour ago, Mike Friedman said:

Why use a credit card when a debit card is accepted?

I agree. I haven't used a credit card in years, preferring debit or charge cards. I don't know if it's still the case, but credit card purchases used to be covered by the issuer's insurance policy - if so, that might be one benefit of using them. But I don't think it says anything about the status or credit worthiness of the buyer.

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1 hour ago, Mike Friedman said:

Why use a credit card when a debit card is accepted?

lots of credit cards have reward programs. i dont think debit cards do, or at least i cant think of a reason they would.

i pay my credit card off each month, so any rewards i get are gravy.

i dont choose credit over debit because of that, but its still a legit reason.

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33 minutes ago, gnojham said:

lots of credit cards have reward programs. i dont think debit cards do, or at least i cant think of a reason they would.

i pay my credit card off each month, so any rewards i get are gravy.

i dont choose credit over debit because of that, but its still a legit reason.

You can find banks that offer rewards on debit cards. Even PayPal does cash back on their debit card. 

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2 minutes ago, Mike Friedman said:

You can find banks that offer rewards on debit cards. Even PayPal does cash back on their debit card. 

nice, never knew that. 

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Sorry, I should have been more precise.  Since most debit cards I know of can also function as credit cards in buying things online, I was asking about people who do not have either credit cards OR debit cards.

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36 minutes ago, marciayudkin said:

Sorry, I should have been more precise.  Since most debit cards I know of can also function as credit cards in buying things online, I was asking about people who do not have either credit cards OR debit cards.

Many people prefer to use PayPal for online purchases. And a PayPal business account can be useful for separating and organizing business expenditure.

Also, even with bad credit, it's usually possible to get a prepaid card that fulfils the function of a credit card. So it's likely that anyone insisting on another method of payment would be doing so as a matter of principle.

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I'm in the same boat as many of your customers doing this Marcia - although I have plenty of cash, credit and debit cards, I can't make purchases easily outside of Greece, due to the capitol controls the government implemented a couple of years ago. I can and do use the cards domestically, but making a business purchase internationally requires jumping through hoops to obtain government permission. 

Actually, right after this happened I was in an awkward position because I was unable to renew several important domains and make monthly server payments. So, I went begging at the WF to borrow $150 from people there just to keep going. Now, rather than withdraw everything in my PayPal account, I let it accumulate there and use that for expenses/purchases. 

That said, for me at least, if a website doesn't accept PayPal, I can't buy it...

It may also be that some of these folks are bending the truth a bit - I suspect that a lot of people are still uncomfortable using a credit card online when it's so much safer and easier to use PayPal. This is especially true with subscriptions because those who subscribed through a credit card can't easily cancel (remember all those forced continuity programs a few years ago?). 

I don't think you can generalize about people who don't have credit cards especially after the economic woes of the past decade. Whether they don't have them, can't or won't use them, the only real issue I see is in providing flexibility in your payment acceptance policy. 

So, out of curiosity, is there a particular reason why you only accept credit/debit cards? 

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I often used the prepaid debit cards for years. I paid cash for everything, so I didn't even have a credit score. At 40+ years old, when I went to buy my first car that I used financing, I was a "ghost" -- and the salespeople thought something weird was going on. :D 

That being said, I don't think that judgments can be made about people who don't have a credit or debit card. It might be a case where with a joint account, one spouse bounced numerous checks and so now neither spouse can get a bank account. (I've known several people like that.)

Also, credit and debit card spending might draw the attention of a spouse, whereas PayPal might be the person's "play money" to spend however they want.

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>> So, out of curiosity, is there a particular reason why you only accept credit/debit cards? <<

Mainly because the shopping carts or other interface I was using did not integrate with Paypal.  And because requests to use Paypal from my customer base were so rare.  It's about two cases a year.  I've always said yes to one-off requests but it creates extra work on my part.

In the most recent case, my online course interface uses Stripe to process payments and did not allow Paypal payments. For me to accept payment in Paypal funds I had to go back and create a special coupon for that person to then get access to the course.  The whole process was not automated, as with credit carts.  However, in the case of a request this week, I took a second look and they now allow me to set up acceptance of Paypal with only a click or two. So I did set it up.

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On 5/19/2017 at 3:38 PM, Mike Friedman said:

Why use a credit card when a debit card is accepted?

Because a credit card is much safer.  

I've had 2 issues with my debit card, once was a gross overcharge (charged 10 times by accident) and the other was a stolen card number in which they bought $3800 in products from Beats By Dre.

In both situations, I was out the money until I jumped thru hoops to get it back.  I had to fight to get it back.  That cash was gone, missing from my account, and because of it I bounced other checks that I had written at the time.

If I had used a credit card, it would have been the card company's money.  As soon as I made the claim, they would have credited the account until the investigation was over.

Quote

I have them, but honestly I am the type of customer credit card companies hate. I never use them. They are losing money on me with sending out statements and new cards every 3

Credit card companies hate me even more.  I use the cards for both personal and business uses and get a decent amount of money back.  But I pay off the account each month so I never pay any interest.  

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1 hour ago, Wirenut said:

Because a credit card is much safer.  

I've had 2 issues with my debit card, once was a gross overcharge (charged 10 times by accident) and the other was a stolen card number in which they bought $3800 in products from Beats By Dre.

In both situations, I was out the money until I jumped thru hoops to get it back.  I had to fight to get it back.  That cash was gone, missing from my account, and because of it I bounced other checks that I had written at the time.

If I had used a credit card, it would have been the card company's money.  As soon as I made the claim, they would have credited the account until the investigation was over.

Credit card companies hate me even more.  I use the cards for both personal and business uses and get a decent amount of money back.  But I pay off the account each month so I never pay any interest.  

That is true. That can happen. I worked in banking for several years, so I've seen it happen. In every case, people did get their money back, but you are right, it can cause a short-term cashflow problem.

However, what I do with my business accounts is I have one checking account separate for debit card purchases. It is not linked to any of my other accounts for overdraft protection or in any other way. So if anything happens, that is the only money that is ever vulnerable. I just transfer more money in as I need it. 

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13 hours ago, Wirenut said:

Because a credit card is much safer.  

 

 

 

I don't think so. A credit card can be maxed out just the same as maxing out a debit card.

My debit card is a Visa so everything applies just like a regular credit card.

Ordered some pet supplies online once, they double charged. The local bank credited the account within minutes after calling them and explaining the situation. They told us it was corrected so quickly because it was a Visa card (debit card).

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6 hours ago, yukon said:

 

 

I don't think so. A credit card can be maxed out just the same as maxing out a debit card.

My debit card is a Visa so everything applies just like a regular credit card.

Ordered some pet supplies online once, they double charged. The local bank credited the account within minutes after calling them and explaining the situation. They told us it was corrected so quickly because it was a Visa card (debit card).

 

In simple cases like a double charge, it usually is reversed right away. In the case of fraudulent activity, it can take up to 2 weeks for an investigation to be done and the charges to be reversed. 

Some banks will provide provisional credit while the investigation is ongoing. Even that can take 1-2 days to get approved. It depends on the bank too. A place like Wells Fargo probably wouldn't do that for a customer because they are full of cock-juggling thundercunts. 

 

Funny story about customers complaining about fraudulent activity. Back when I was working at a bank, a customer walked up to the front desk with the branch manager and told her there was a charge on his account listed under GGW. He was kind of a jerk and being loud claiming it was our fault and the bank had wronged him in some way. He swore he never authorized the charge and had no idea what it was. She pulls up his account, and there is a 1-800 number listed with the charge. She asks him again just to confirm that he has no idea what it could be. He swears it is an illegal charge and that we need to refund him immediately.

She calmly says, "Okay. Well let's just call the number and see what this company is. Then we can figure out what to do from there." She dials it on speakerphone in the middle of the lobby. Not intentionally. She just often would dial numbers like that and then pick up the handset when someone answered. 

This music starts playing and this voice announces, "Welcome to Girls Gone Wild!" Entire bank could hear it.

The guy went from angry red to embarrassed red so fast. He quietly took his things and left. 

 

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1 minute ago, Mike Friedman said:

 

In simple cases like a double charge, it usually is reversed right away. In the case of fraudulent activity, it can take up to 2 weeks for an investigation to be done and the charges to be reversed. 

Some banks will provide provisional credit while the investigation is ongoing. Even that can take 1-2 days to get approved. It depends on the bank too. A place like Wells Fargo probably wouldn't do that for a customer because they are full of cock-juggling thundercunts. 

 

Funny story about customers complaining about fraudulent activity. Back when I was working at a bank, a customer walked up to the front desk with the branch manager and told her there was a charge on his account listed under GGW. He was kind of a jerk and being loud claiming it was our fault and the bank had wronged him in some way. He swore he never authorized the charge and had no idea what it was. She pulls up his account, and there is a 1-800 number listed with the charge. She asks him again just to confirm that he has no idea what it could be. He swears it is an illegal charge and that we need to refund him immediately.

She calmly says, "Okay. Well let's just call the number and see what this company is. Then we can figure out what to do from there." She dials it on speakerphone in the middle of the lobby. Not intentionally. She just often would dial numbers like that and then pick up the handset when someone answered. 

This music starts playing and this voice announces, "Welcome to Girls Gone Wild!" Entire bank could hear it.

The guy went from angry red to embarrassed red so fast. He quietly took his things and left. 

 

 

 

My point was, Visa absorbed the cost, not the local bank.

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37 minutes ago, Mike Friedman said:

A place like Wells Fargo probably wouldn't do that for a customer because they are full of cock-juggling thundercunts. 

Mike gets a SUPER LIKE for that one!!!!!!!!

 

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1 hour ago, yukon said:

 

 

My point was, Visa absorbed the cost, not the local bank.

 

I understand that. What I'm saying is that Visa won't be so quick to do so on a case that isn't as obvious as a double charge. I saw it happen all the time.

 

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4 hours ago, Mike Friedman said:

 

In simple cases like a double charge, it usually is reversed right away. In the case of fraudulent activity, it can take up to 2 weeks for an investigation to be done and the charges to be reversed. 

 

2 weeks?  I wish.  It took almost 2 months of me fighting for Commerce (now TD Bank) to credit me the money, but that was conditional.   2 months after that I finally got a letter saying that the investigation was over and the credit money would stay.

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My bank is excellent about clearing up unwanted or fraud transactions.  

That said - I refuse to use credit cards.  It might be handy, but you're being charged on your own money.  My grandfather always taught us that you do NOT use credit cards.  He had this opinion (and he was quite astute about our money system) was that if people started to use plastic, our economy was going to be in trouble. 

I do have ex's that had credit cards that I was actually paying half the price of the purchase, and I never got credit for it.  I bought most things cash. So now, I don't have bad credit - I just don't have any credit and I get treated like a vampire over it.  The times I did pay monthly installments, like for one car I bought once, aren't even accredited to me even though it would show me having good credit.  

Still - I wish, like my grandfather had expounded on so thoroughly.......that people would just stop using credit.  Hate this fiat system they have us slaved to. 

 

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