Ramsey Solutions recommends using a debit card instead of a credit card.
Debit Cards: Your Money, Your Rules
When you use a debit card, you pay with your own money. The funds come directly from your bank account. It works like cash but is more convenient to use.
You can run your debit card as credit at checkout. This gives you the same purchase protections offered by Visa or Mastercard. The transaction may show as pending in your account.
Credit Cards: Borrowing With Strings Attached
Using a credit card means you are borrowing money. That money is not yours. Borrowing it comes with a cost.
If you do not pay off the full balance on time, you will face:
- High interest rates
- Extra fees
- A cycle of debt
Credit card perks like points and rewards may seem appealing. They are not worth the risk of getting trapped in debt.
The Bottom Line
Use your debit card for everyday purchases. Spend only what you can afford. This keeps you in control of your money.
For more information, see Debit vs. Credit: Which Is Better?