Credit cards

[riparian]

I got a few credit cards while I was building, put all the stuff on them, paid them off, didn't get much in the way of exciting rewards that were advertised. I'll be doing more building next summer but in the meantime it makes me nervous that these cards are just sitting there. What if someone stole my identity and ran up the cards? What if I had a $5 balance I didn't know about and had to pay a bunch of fees?

Should I just cancel them? Should I keep one for emergencies? How do I know which one to keep? I didn't need them before, why do I need one for emergencies now? This is sneaky lifestyle inflation or something, right?

[Riggerjack]

i was originally against the cards, cash only. when i moved the house, i got some, and now i love em.

mind you, i don't keep a balance on them. the amex thru costco pays me cash to use it. i don't use it for anything i wouldn't buy anyway, and saves me banking time.

last week i saw the bill, and my wife got scammed online. $159 for a $1 purchase. cap one refunded the charge immediately, and unless the scammer tries to resubmit the charge, no problems. just another point of reference vs. the ID theft horror story.

given those reasons and your situation out there, i don't know if any of that applies.

it's only lifestyle inflation if there's a change in your lifestyle.

[pathguy]

didn't get much in the way of exciting rewards that were advertised.

Why didn't you get the advertised rewards?

[Chad]

By law you are only responsible for $50 max if your card number is stolen and used.

[Dragline]

Just leave them alone, unless there are any fees. I have several I haven't used in years. You want to have long-standing credit until someone offers you a really good one with cash back or something else useful.

[riparian]

didn't get much in the way of exciting rewards that were advertised.

Why didn't you get the advertised rewards?

I got some rewards, just not an exciting beach vacation, yanno? Mostly it's minimal miles or like $10 cash back.

[slsdly]

I once did the math on getting a points card vs a basic dividend card. I went with the latter, as I don't spend enough vs the cost/hassle of the other cards to make it worthwhile. I suppose the signup rewards are where you would get the most for those on an ERE lifestyle, but in my mind I cannot accept it as a sustainable/reliable means for an "income supplement."

[JohnnyH]

Just enter all the info into an encrypted txt file and through them in a drawer... Before you cancel the line, consider moving it to a new card with the issuing bank.

Set a reminder to do across the board credit line increases every six months... I'd only get involved with balance transfer investing, and application bonus harvesting if you're highly organized.

[leeholsen]

i also have a few cards that sit and sit.

i originally got them because i got free flights if i signed up, but i only use 1 card to pay for big things like car repairs that i dont have the money in my bank.

if you have a card that charges fees, cancel it; after you get any reward out of it.

and unless someone you know is going to steal and use them; you're fine. all the identities being stolen are all by cards that have been used.

[lilacorchid]

Credit card companies are surprisingly accurate when it comes to predicting your expenses. We went on vacation with friends and it took less than two days for the CC company to call to find out if she was doing the charging or if her card was stolen. (Yes, she went crazy with shopping, ha ha!)

Not to say that you should leave it up to them, but if you go from dormant and then suddenly start spending wildly on stuff that tips off their software that it may not be you, they will call.

(Edit to add: I would keep them as a tool.)