Suze Orman's Advice: Pay With Cash

Suze Orman, a highly respected money guru, has recently called on Americans to start paying for purchases with cash.

She was heard saying on CNBC, "Let’s go back to the times when you literally paid cash for everything. That’s right. Cash. Stop using your credit cards altogether."



I am definitely in favor of Suze Orman's "Back to Cash" movement. It is high time we, as a nation, wean themselves off debt and live within our means.

In any case, credit card companies aren't looking out for its customers. They are adopting more aggressive tactics to boost their profits, with stricter credit-card legislation looming.

When it comes to raising interest rates, our credit scores and history of timely payments count for little. If you have low balances or periods of inactivity, your account could also be closed.

Since credit card companies are treating us like dirt, we might as well say goodbye to credit cards once and for all. Heck, just pay with cash. No more identity theft or hidden/unexpected fees to worry about.

The initial adjustment may be painful but once you start planning a household budget, your expenses will be easier to control.