Quote:
Originally Posted by Craig
Joe has been listening to Dave Ramsey, who is a proponent of never borrowing anything which would eventually result in having no credit rating. While I agree in principle, I still carry one credit card that I keep active but don't use.
Having no credit rating works if you have plenty of cash, are self employed, and are never planning on taking a loan or a job again. Most people are not in that position.
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Borrowing isn't an issue. STUPID borrowing is a problem. I sometimes use a credit card to buy a large item, pay most of it off and leave a small balance and make a few monthly payments to keep my credit going.
Having all those is one thing. Today, you have it all. Tomorrow, you are broke. So, having no credit rating would work as long as you can be sure that you will do all those things. Since nobody can be sure, I suspect it is better to spend a few bucks every year to maintain it.