I use both, what a disclaimer . As I mentioned before however I do not carry a month to month balance on my Credit Card. Why even have a credit card then? Building a credit score, credit scores are all about showing that you can manage having an open line of credit. I have all of my monthly payments set up to hit on the credit card and then usually buy gas and food on the card. Then around the 20^th of every month I pay it off (online of course), statement comes on the 30 and says “see you next month”. I am young and so if I was to carry a balance on my card I would be hit with something crazy like 22% APR… Highway robbery! Since I only put budgeted items on my card I never get in over my head either, all unplanned items I use the debit card for.

I always try to keep my debit card around, as a college student there is an unwritten law that I am not allowed to carry cash. To be honest I don’t mean to always have no cash, but it makes budgeting easier so I am not complaining. I am able to track what I spend my money on down to the cent, where if I carried a lot of cash I would only have estimates (or sort through a pile of receipts). There is only one store I know of that doesn’t accept plastic that I shop at (it is a great local pizza place), any other store probably wouldn’t get my business. Do you use plastic to help your budget? Or are you brainwashed into thinking that credit of any kind is bad?