Unless it's an emergency I don't carry the balance over. However I try to make reservations to put air on one bill, and hotel on another - making reservations before and after cut-off date, so I can pay off in 2 months without paying interest.

xnyxny,

I may be wrong, but what I think I'm understanding you to say is - why take a trip, which is pretty easily classified as a luxury in most cases, and end up in debt. Having savings to fall back in is something most people would agree with you on, including me.

My question is - is you stance against credit card carryover a general position against debt, or is this specifically about travel costs, as the title states? I'd understand if you used that example as this is of course, a travel board.

My point is, debt is debt. Pay cash for your plane tickets and charge the new couch, or vice versa. Makes no difference, it's still principal and interest. Don't travel but buy a new car, you're still in debt.

So, are you saying that the only good purchase is a cash purchase, or is that just applied to travel?

Clifton:

Credit card debt makes anything you buy much more costly than paying off the debt each month. I mentioned travel costs here because this is a travel forum and there is much emphasis on trying to get the best bargain you can.

Some people do carry debt over from month to month without much thought. Those charges are so high that whatever you buy costs so much more than if they were paid for without incurring the extra costs.

Sometimes it is necessary to carry over debt, but as you state .... travel can be considered a luxury.

I may be missing something, but we have 0% cards with no transfer fees, etc. that are not due until July '04. We use these CCs for travel, save our cash and then pay the CC's off when the time comes.

PCircles:

Sounds like you found a good forumula. Many CC carry hefty interest rates and fees. Maybe others would like to know about your CC.

Actually the one we have just put our balances from trips on is Chevy Chase - 0% until July 2004.

Hope this helps...

I figured you were being specific to the travel topic. In principle, I agree that it's far too easy to incur high interest debt. Also agree that travel, of the type usually discussed here, is a luxury.

I'd even go several steps further and say that most purchases are luxury items, if you get right down to it. You need food, shelter and a means to continue providing those things ("income" in the modern world, a good solid club in more primitive times) and that's about it. Born into a cinder block house with no central heat, no a/c, no phone, no tv I can attest that much of material things are a luxury.

But - I think people need to be given a bit of credit (no pun intended.. or was there?) for the ability to take responsibility for their own decisions, don't you? We don't generally carry debt, outside of the house and a car. You have to have shelter and you have to get to the job that supplies the income. So, satisfying necessities, but certainly more that bare essentials. For those who DO carry a bit of revolving debt, I think it's possible that they are able to make an informed decision that they can afford $5K for a vacation, or $100 per month @ 12% interest, as long as they understand that.

I think I understand that the need for a luxury might come before the cash for one does. And people really do need a luxury every now and then, something to make it all worth it.

Now look at PCircles, that's the way to do it
She gotta card from the Chase Chevy
That ain't scrimpin', that's the way you do it
Money for nothin' (and your airfare for free)

Gotta go, before Dire Straits (or someone) kills me... : - )

You're good Sue! perhaps you have another calling in life...maybe you should get in touch with Weird Al?

Nice, Sue!

Good one, Sue! "Money for Nothing" most certainly IS a travel song.

"That little ------'s got his own jet airplane...."

Sue - that was awesome - I'm gonna send it to my husband!