Since there is a lot of talk here about credit cards I’ll share my advice. I worked at one of the 3 major bureaus for 5 years, and I am what they call a rate surfer.

Every year I get a credit card that has no fee and no interest for 1 year. I mainly use it for vacations or large purchases and always pay it off by the time the year is up.

I probably have 20–25 credit cards sitting in a box, but my credit score literally cannot get much higher.

So if you are lucky enough to have good credit, this is a great way to never pay interest charges.