Without a credit card how will I handle emergencies?
One of the biggest misunderstandings in personal finance is the need for a credit card. Credit cards are not a requirement to live in the United States...or in any other country for that matter. Will a credit card make things easier? The answer to that question is probably yes, but there are other alternatives.
For example, having a ‘rainy day’ or an ‘emergency’ fund will allow you to handle those unexpected emergencies. Instead of waiting for a problem to happen, get ready for the problem. Refrigerators wear out, car tires will need to be replaced, and boys will break things. These are just facts of life. If you have money ‘in the bank’, you don’t have to worry about how you will handle these emergencies when they arise.
What about renting a car? Most banks now offer Visa debit cards. These debit cards will almost always work just like a credit card and if you find a rental car company that won’t accept yours, find another place to rent your car. Don’t feel like you have to have a credit card just to survive; it is a lie perpetrated by the banks...don’t believe them.