Credit card or overdraft?

[That Guy Again]

Reading this thread am actually genuinely surprised how many of you are terrified of credit cards as if you're irresponsible teenagers.

Having and using a credit card is an important part of building a solid credit history that allows for lower interest rates on vehicle finance and bonds. Cash is not always king if you don't have a casual R2m laying around for a decent house or R400k for a decent car. Then if you do deside to go the finance root, you get given a rubbish interest rate.

SO to answer the question. If you need overdraft, you are overspending and need to assess your month expenditure but if you want credit, the card it the better way to do but be responsible. It's really not that hard.

Never understood why people buy things they can't afford? Unless you're a business who needs a contingency facility, it's just silly to use an overdraft facility.

Up until a few years ago, I just stuck to my R30pm debit card but then for online purchases and things, I had to then get a CC which with Discovery I currently pay R35pm for (another R15 or so if I want the overdraft).

I can understand that building up a credit history is easy with a CC and such products, but having cash and putting a good deposit is just as good. But like you said, it's easy for those who actually have the cash. I know someone who put down a 70% deposit on a R2m house and got prime less.