Going Credit Card Free

United States
January 23, 2016 9:33pm CST
We decided this fall that we were going to go Credit Card Free. We had our own wake up call that we were getting older and are swimming in debt. As regulations have changed and interest rates have risen. Read your statements see how much the minimum payment actually goes to your balance vs interest! Even more so when it will take longer to pay off one of our credit cards based on the minimum payment than it would for us to finish our mortgage. Though we are working on paying off our remaining credit cards we do pay what we put on it instead of just the minimum payment every month if for whatever reason we need to use the card.
24 people like this
26 responses
@Auntylou (4316)
• Oxford, England
24 Jan 16
Credit card debt can build up without you realising it. If I can afford it I will always pay as much as i can
7 people like this
• United States
25 Jan 16
That's very true. One thinks as long as one can make the minimum payment all is well. Til you really look further into the details of your bill.
1 person likes this
@Auntylou (4316)
• Oxford, England
24 Jan 16
You could look to see if you can transfer your debt to another company as they often offer zero % for a limited time
6 people like this
• United States
25 Jan 16
I have thought about this. However most of those promotional offers only last for a few months to a year. I would need it to be like the offers were years ago where it was 0% plus a next to nothing for a transfer fee. Now they riddle you with transfer fees on top of the 0% being for a limited time.
1 person likes this
@Auntylou (4316)
• Oxford, England
25 Jan 16
@3SnuggleBunnies Yes, the transfer fee can be quite big, guess they discovered that too many of us were trying this!
1 person likes this
@alchemistrx (2569)
• Philippines
24 Jan 16
Never like having credit cards.The temptation is there.I have only a debit card in my possesion.
6 people like this
• United States
25 Jan 16
The temptation is great indeed! Thats one of the hard aspects to get over
1 person likes this
@Auntylou (4316)
• Oxford, England
31 Jan 16
I too prefer debit cards, which I thought only worked if you had the money in account. However I once went overdrawn using it
• United States
24 Jan 16
I am glad to have the cards, but I have now transferred balances to zero interest cards or less interest and found a good payment plan. After all paid, I hope to just also keep one. Good luck.
6 people like this
• United States
25 Jan 16
Our lowest rate card was a closed card, because when the market fell in 08 like many cards they jacked up their interest = more interest = forever in debt. So we still carry a balance on 2 of them, one is the second lowest rate but the balance is too high to transfer much of anything to the other. But we are working on it.
3 people like this
• United States
25 Jan 16
@3SnuggleBunnies Yes I get that Snuggles..good luck with it tho.
2 people like this
@Hatley (164447)
• Garden Grove, California
24 Jan 16
yes it pays to get ahead and not just pay the minimum I had to get a debt consolidation co to help me pay off my three credit cards now I just keep a debit card and do not use credit
6 people like this
• United States
25 Jan 16
That's the hard part with credit cards it never feels like you get ahead even if you pay a bit over the minimum. I wish they were more close ended where you can say spend so much and can't use it again til it's paid off... like an installment loan
1 person likes this
@marlina (80847)
• Canada
24 Jan 16
I only use my credit card when buying a big item and pay it right away, so never pay interests.
5 people like this
• United States
25 Jan 16
The hard part is being able to pay the item off right away. If most were able to do that they would not need a credit card. You are fortunate to be able to pay it off right away.
2 people like this
@JolietJake (51061)
• United States
24 Jan 16
I've never had one and never really wanted one. I've always been the kind of person that thinks if I can't afford it, then I'll just do without it.
5 people like this
• United States
25 Jan 16
The is a good way to think of things. If you can't afford it or save for it you don't need it.
2 people like this
@anggelia (146)
• Indonesia
24 Jan 16
I rarely use a credit card. Except when there is promo prices. It's because I'm forgetful person, so I'm worried that I forget to pay at due date.
5 people like this
• United States
30 Jan 16
That's how I am with the retail card I have, I get the promotions and then pay it off right away. The interest rate is too high to carry a balance, not that I should want to carry a balance in the first place.
1 person likes this
@anh101 (1380)
24 Jan 16
In VN, Credit Card checkout is not popular since people love to pay by cash. however, a lot of VN people are in debt since the money they make are smaller than what they can spend, especially in cars, houses, and buying for comparison among neighborhood. Sound weird but true
4 people like this
• United States
30 Jan 16
That's how we got in trouble with one of our cards we were able to spend a huge amount of money on the card and thought as long as we were able to pay the minimum all was well. Getting older we are realizing we can't go over our budget to get things... but it's hard since I only work part time and the kids always have something that comes up
@anh101 (1380)
31 Jan 16
@3SnuggleBunnies yeah. I think you can build a habit of using cash like us. We actually afraid of using credit card since its may drive us to spend more
@LoriAMoore (4696)
• United States
24 Jan 16
We have one credit card but pay it off each month and now have no debt whatsoever.
4 people like this
• United States
30 Jan 16
That is the position I would like to be in sooner than later. One less bill to worry about and more money in my pocket instead of the banks.
@scheng1 (24741)
• Singapore
24 Jan 16
I do not have credit card debt problem. I always make sure I have enough money saved up for a particular item before I buy, so I can pay off in full every month. I think after you have cleared off the debt, and pay in cash for a few months, you can pick up this habit, so that you can use credit card without incurring debt.
3 people like this
• United States
25 Jan 16
Revolving credit is evil! I used to be able to save for things when I was younger but now that I'm an adult with a family support it's become a necessity at various points over the years. I do pay off what I charge on my employers card as I use it. The interest rate was the highest and easiest to run up a balance.
1 person likes this
@Raine38 (9193)
• United States
24 Jan 16
And this is why I pay my balance in full as it becomes due. I do not want to incur interests. And I watch out my purchases - make sure that I will be able too pay all my purchases come pay day.
3 people like this
@fishtiger58 (30316)
• Momence, Illinois
25 Jan 16
I got rid of our cards a couple of years ago, we now have only one for things like emergencies and the like. I pay it off right away when I do use it. The credit card companies are making money hand over fist.
2 people like this
• United States
25 Jan 16
That's an understatement as to how much money the banks make. I really don't feel the interest is accuratly calculated either. If you seriously look you are paying more to interest than paying down your balance with a minimum payment. They are nothing but trouble!
2 people like this
@fishtiger58 (30316)
• Momence, Illinois
25 Jan 16
@3SnuggleBunnies So true, that's why I got rid of most of mine.
1 person likes this
• United States
30 Jan 16
@fishtiger58 We are down to 2 with a signifcant balance on them and 1 from a retailer that I just turn around and pay right away as it has the worst interest rate
1 person likes this
@sharon6345 (148143)
• United States
24 Jan 16
decided that long ago and don't regret it one bit. I prefer using cash and carry as well as my debit card.
2 people like this
• United States
25 Jan 16
We are working on learning this habit of paying cash / debit for everything.
1 person likes this
@sharon6345 (148143)
• United States
28 Jan 16
@3SnuggleBunnies It will be easy after a little time. You will not be stressed out either you will get it. Good luck.
1 person likes this
• United States
30 Jan 16
@sharon6345 Most certainly the stress is one of the reasons along with getting older and we might actually like to retire instead of being a slave to all this debt.
@katsmeow1213 (29043)
• United States
24 Jan 16
We've only recently started using credit, but we've been good about not using too much if we don't have to. One of our cards is currently maxed, but it's because we paid off a couple of old debts with it so that we could switch our cellphone provider. We'll pay it off with our taxes. We paid off a smaller credit card just yesterday!
2 people like this
• United States
25 Jan 16
I would like to make a dent in it with our tax refund as well. However, we rely on our tax refund for our emergency fund during the year. Hubby wants to sell one of our cars but i fear if we do that the gas prices will go up and we will be paying thru the nose in gas again to drive the truck.
1 person likes this
• United States
25 Jan 16
@3SnuggleBunnies I'd love to be able to use ours as an emergency fund... but my husband has already come up with a million ways to spend the return without even taking into consideration what I want to do with it.
1 person likes this
• United States
30 Jan 16
@katsmeow1213 Oh trust me I have a million ways to spend it! You know I have a ton of things to do with this house and they aren't cheap projects either. But we usually keep the money so we have something to fall back on when money is tight so we can pay bills... especially the big one aka mortgage :)
@rosekiss (30258)
• Eugene, Oregon
25 Jan 16
I don't use them to buy things, as I use them mostly for paying my bills, as it helps to have money in my account when I need it, and by putting it on my crredit card, it gives me more to deal with, and then I pay the balance everytime. That is the best way to go for sure.
2 people like this
• United States
30 Jan 16
I have been doing that as well if need be to pay bills on the card then pay what I spent on my bill so I can accumulate points on my card :)
1 person likes this
@rosekiss (30258)
• Eugene, Oregon
31 Jan 16
@3SnuggleBunnies I will get them taken care of though, and things will be so much better. I don't like using them if I don't have to, but at times, it is necessary to free up my bank account so that i can have more there to get the things that I need.
• Surrey, British Columbia
25 Jan 16
i dont have credit card .and i am still thingking if i could have one also
2 people like this
• United States
30 Jan 16
They work well for emergencies... but ours were getting to be for daily living and for wants instead of needs. We only use ours now for things we need when we don't have enough money like gas or groceries.
@LeaPea2417 (23325)
• Toccoa, Georgia
25 Jan 16
It is hard for us to not use credit cards.
2 people like this
• United States
30 Jan 16
Agreed! I think many of us have grown into adult hood craving to get things and show we are responsible and gave credit. I used to have a friend who had a card for every store in the mall! Can't imagine she has them all still, let alone how she afforded it back then other than living at home.
1 person likes this
@dodo19 (34317)
• Beaconsfield, Quebec
24 Jan 16
It's always good to pay more than the minimum payment. It does make a difference, and it may mean paying down your debt a little faster.
2 people like this
• United States
30 Jan 16
Yes it will hopefully pay down things faster. Or atleast also if I do use the card pay back the amount charged and a lil bit more as finances allow.
@kyrararen (601)
• Indonesia
25 Jan 16
I hope everything going well for you two. I bet it will take a lot of effort to achieve that. I pay my credit card third of my debt if I can't afford to pay it fully. It happens rarely. Usually I just buy stuff that I actually have allowance for it. So I use my credit card and pay right after it to get the bonus(usually in special offer for certain credit cards).
1 person likes this
• United States
30 Jan 16
I am hoping we can do it sooner than later. My hubby is getting older and his job is getting harder on him physically... and we would like to be able to retire instead of continue to work until we die.