how do credit cards work?

[MTBikerTim]

Originally Posted by skellyo

Good luck with that. Paying cash for big ticket items isn't always possible, especially when it comes to a house. Most folks looking to buy a home don't have $100's of thousands available to buy outright. For probably 99.9% of people, no credit = no house.

This may sound ignorant and stupid but I know people who have gotten home loans and have never had a loan or CC. They did have to do other things though to show they could repay the loan. The best thing about that is that it showed that they really could repay the loan. Sure things are changing at the moment and it isn't going to be that easy any more but that is probably for a good reason at least for a while. I see and know too many people who get them selves into trouble then someone else has to get them out of trouble.