Do you use your credit cards to the MAX? / myLot

May 6, 2018 10:40am CST

As a certified credit counselor and real estate broker, I find that so many of my clients use credit cards to the max and a lot of times, it's simply because they just don't have the income needed to help encourage them not to use them. I've been guilty of this in my own lifetime. After going through a divorce and being an at-home mom for many years, I just didn't have enough income to accommodate the cost of living for myself and my children. But although not having enough income is the case for many people, sometimes using our credit cards to the max is simply due to emotional reasons and how we think and what we believe about money and, as a result, these reasons may need to be altered in order for us to better manage our money so that we will not live under the stress of overwhelming credit card debt. But how does one get to the place of changing a poor relationship and thinking about money and credit? What is required to stop using and abusing credit card privileges as well as not fall right back into the pattern of running up credit card debt all over again once the cards are paid off?

7 people like this

11 responses

marguicha

@marguicha (215424)

• Chile

6 May 18

I use my credit cards because I don´t want to have much money with me. But I pay them in full every month.

1 person likes this

C Pen

@cmp773 (4)

•

6 May 18

This is a very good practice. I'm sure a lot of people would love to do this as well. It's just a matter of debt vs income for many. But with a made up mind to make the necessary changes, it can happen.

paigea

@paigea (35691)

• Canada

6 May 18

I use credit card for nearly everything. But only if I have the money to pay it in full at the end of the month.

1 person likes this

wongchoiyee

@wongchoiyee (7413)

• Malaysia

8 May 18

I am sure if you can save, you can use the enough money.

Curlann

@annierose (18926)

• Philippines

7 May 18

I did not like credit cards before. But when I started to travel, I realized that having a credit card is a must. But then, I only used it in booking online and nothing more. Then, I received a billing statement from the bank asking me to pay the annual fee. I got shocked because I don't want to pay for the annual fee. I did not use the credit card in a year so why pay for annual fee. Then they told me it could be waived if I use this certain amount for 3 months. And because of that, I was forced to bring my credit card whenever I go shopping. I just make sure that I have money to pay each month so I will not be stressed with credit card bills.

C Pen

@cmp773 (4)

•

7 May 18

It’s true. The world is pretty much ran by credit. So a credit card or two is needed in many instances and especially for the purpose of building your credit and increasing your credit scores for major purchases like buying a car or a home unless you can pay cash for these larger purchases. It is important however while you’re building your credit to manage the use of the cards and keep the balances low - no more than 30% of use and if possible, it’s even better to pay the balance in full each month. Oh and yes, I know those annual fees can be a shocker. So it’s always a good idea to check what type of fees and/or benefits credit cards have and offer - such as no annual fees and lower interest rates, etc. before applying. So you might want to check into what other banks have to offer. You don’t have to stick with the one that has an annual fee or high interest and high fees if your credit is good. Once you pay that one off, you may be able to find a better offer with no annual fee and lower interest rate. It may be a good idea to look into it beforehand.

1 person likes this

Curlann

@annierose (18926)

• Philippines

14 May 18

@cmp773 I agree with you. I have been trying to apply for other credit cards but it has been almost a month now since I applied and I still did not receive any notice. My mom told me to cut my credit card now as I am being forced to use it and because of that, I cannot save money. But I told her that it is difficult to apply if I don't have any credit card at all. So, its much better to just wait for the result of my credit card application to another bank before I cut the credit card I have now.