Jon shares some financial advice as to why credit cards are entirely better than their debit counterparts for four main reasons: 1) Credit is safer; 2) They build your credit history; 3) They’re required for special purchases like car rentals, and 4) they earn you points and cash-back rewards. Obviously, this entire argument is based on the assumption that your spending habits are equal with both: and you never spend more than you have available in your checking account. This discussion is mainly directed to Americans, aged 18 or older, where this advice applies most directly/accurately. CBS Money Watch Article – cbsn.ws 10 Ways To Build Credit – bit.ly Which Card To Get? – www.creditcards.com ~~ The World According To Jon ~~ Be informed and entertained as your host Jon showcases a recent event, story, or review and shares his opinionated and enlightened view of the world with you, by way of an unfiltered, and often brutally honest stream-of-consciousness. New videos uploaded every few days at 4pm Eastern. Born in February 1986, Jonathan Paula is a professional YouTuber and creator of the hit web series, “Is It A Good Idea To Microwave This?”. In April 2006 he founded Jogwheel Productions, a new media production company that specializes in web video. Jon graduated from Emerson College in 2008 with a degree in Television Production / Radio Broadcasting. He currently lives in Rockingham, NH with his wife Rebecca. ~~ Links ~~ Main Channel –– bit.ly Twitter …
Video Rating: 4 / 5
i use a debit card
This is actually true, except it’s hard as shit to get a credit card, at least here in CA where I live. My bank doesn’t do secured credit cards, and I have to shop around to find somewhere who will let me have a prepaid credit card just so I can get my foot in the door.
Jonathan Paula Giving good advice all the Time
Glad to hear that!
You have persuade me!
So if someone tried to steal my money they would get nothing but a few lousey Aussie cents lolz
In Australia if you have a credit card through a bank your using the banks money if you have a debit card your using your own money I think you can get credit cards seperatly through a credit card company as well but I prefer my debit card A. Because I have a disability (Mild Autism) B. I have a public trustee who handle my money making me not qualify for a credit card plus there’s ever only like 80 cents on my debit card unless I’m going to buy something online eg EBay
I never suggested they didn’t. In fact, I believe I specifically mentioned that you should keep a debit card for ATM withdrawals. You can’t have a credit card without a debit in the first place anyway…
Only thing I have to say in defense of debit- you can’t withdraw cash at an ATM with a credit card (at least to my knowledge). If you have a credit card but no debit card the only way to withdraw cash is to physically go to your bank and take it out. Also– some places (ie grocery stores) have a minimum purchase amount with credit, but no restrictions for debit. That being said, I have both a credit and a debit card, the credit to pay with and the debit to get cash with. They both have a place.
@Jon
You’re honestly like Foamy the Squirrel; you only state arguments that contain solid, unquestionable logic.
“They are better, if you can handle money well” – That is exactly what I already said!
I specifically said, “with spending habits equal, credit is better for the following reasons”. If you’re a fucking idiot, and can’t handle “temptation”, it doesn’t matter if you’re rich or poor (again, I am neither) – you shouldn’t have a debit card, or a credit card.
Your argument is hostile, flawed, and unwelcome.
yes, it does have to do with financial responsibility, and most people don’t have that, or financial security either, hence temptation, hence not taking all the evidence into account, and yes, it is first hand evidence, ask around, how many people do you know that haven’t gotten into credit card trouble? most people know many, ask around, I suggest your rich based on your naive attitude towards this, you don’t get it, and you never will, unwilling to research around.
also, you can’t claim its analytical if you’re basing your conclusion on 1/10th of the data, you can’t disregard all of the main reasons credit cards are considered bad, take only the the few points that are good and call the cards good overall, potential life destroying vs minor helpful benefits, which is better, if your’re going to say they are better, its “They are better, if you can handle money well” which is a moot point, because people who can handle already know this, were you sponsored?
Having bad credit is not the same as not being able to handle the basic, fundamental principals of a credit card. And you’re only basing your argument on first-hand, anecdotal evidence. Everyone *I* know has a credit card, and uses them fine, and responsibly just fine.
This has NOTHING to do with being rich/poor (of which, I am neither) – and everything to do with basic financial responsibility: if you can handle a debit card, you can handle a credit card. Unless you’re a fucking idiot.
yes, I am suggesting only a small group can handle it, nearly everyone I know has had credit card trouble at one time or another, you seem to be getting bitchy because your arguement is flawed, you’re obviously retarded if you can’t observe all the people who get into trouble because of credit cards all around you, either that, or you’re a rich twat with no real clue on the rest of the world, you can’t even have a debate without getting insulting, naive rich out of touch with the world idiot.
Are you seriously suggesting only a “small” group can psychologically handle credit cards? I was comparing the methods of payments analytically, and comparing them under equal spending habits – and in that respect (as I presented my argument), credit is clearly better.
If you’re a fucktard who can’t handle a single line of credit, I would argue you’d be dangerous with a debit card, too.
all spending habits are not equal, and temptation for most of the human race is an issue, so any arguement disqualifying them is invalid, except for a small group of people who are rich and/or well managed with money, if thats all you are catering to then your point is valid and fine, otherwise its bad for the masses easily impressionable people out there to definitely state credit cards are better than debit cards, I wouldn’t recommend a credit card to any typical person, I do enjoy the videos
Yes, and I understand all that – but my argument was based on the assumption that spending habits are equal, and “temptation” isn’t a factor. As it’s a psychological one, not an issue with the concept of credit cards themselves.
A credit card is temptation for many people barely affording to live, when that $500 bill needs to be paid now or you lose power, its extremely tempting to rack up debt on a credit card and get it paid, as I have found debit cards are good for these people because they there is no temptation, yet they can still buy things online like a credit card
(This is assuming your definition of debit vs credit cards are the same as in NZ, where we have visa credit cards, visa debit cards, and efpos cards)
Glad to hear that, thanks!
Love these videos
No. You’re not allowed to be a fucking idiot here.
Credit isn’t buying stuff with money you don’t have – and I SPECIFICALLY advocating only spending money you *do* have. Credit is merely paying for it later, and building a history – no one EVER said to buy things you can’t afford.
PAY ATTENTION, please. I explained in five simple, and irrefutable points why credit is better than debit. If you can’t understand this, you mustn’t be very smart.
to improve your credit score u have to buy stuff with money you dont have and then pay it back later to show your responsible with money, in contrast if your buying stuff with money you dont have in the first place that shows that your irresponsible with money. just face it credit is terrible
No one ever said anything about buying stuff you can’t afford / with money you don’t have. Please, pay better attention.
i have a question about credit… leme get this straight.. credit is showing that you are responsible with money…. so.. im supposed to buy stuff with money that i dont have to show that im responsible with money… WTF? how is that responsible?