The laptop is 0% interest for a year. It will be paid off before then.
Plus I transfer balances whenever the promotions run out.
Right now one of my CCs is at 2.99% for the life of the balance.($1700)
One is 0% until December(laptop, $700).
And the other is 14% and it will be paid off next month because it has the smallest balance.($250)
I always pay off my balance every month, but I use it on a daily basis (it lets me keep track of my spending that way). I've got 2 CCs, and I'm 20.
Although I've got about $2400 (CDN) from a Student Line of Credit which I've been paying off as I'm in school, only 4.X% so it's not too bad. This however, was entirely for school.
--Mark
Although I've got about $2400 (CDN) from a Student Line of Credit which I've been paying off as I'm in school, only 4.X% so it's not too bad. This however, was entirely for school.
--Mark
BentValve
Diamond Member
- Dec 26, 2001
- 4,190
- 0
- 0
I dont regret my debts, my CC enambled me to take a few vacations last year
which I could not otherwise afford and those experiences I would not trade for anything.
Basically I am single, I rent and have $7500 @ 8% in CC debt and a $11K vehicle loan
@ a high 6% , will refinance that next year and get that down.
I could move to another area and effectively double my spare income but for now I chose not to, I live in a small town that allows a very nice, laid back quality of life.
Anybody else in my family in my position would move in a heartbeat for the cash.
which I could not otherwise afford and those experiences I would not trade for anything.
Basically I am single, I rent and have $7500 @ 8% in CC debt and a $11K vehicle loan
@ a high 6% , will refinance that next year and get that down.
I could move to another area and effectively double my spare income but for now I chose not to, I live in a small town that allows a very nice, laid back quality of life.
Anybody else in my family in my position would move in a heartbeat for the cash.
PingSpike
Lifer
- Feb 25, 2004
- 21,758
- 603
- 126
I'd rather not answer that question directly. But suffice to say my wife and I do well with our limited salaries and complain about them pretty frequently. I need to be more proactive about finding a better paying job to meet more of our long term goals, that is a fault of mine. But its always been important to me to follow the rules of frugality that my parents taught me. We make enough to live comfortably AND save some, so long as we are careful with our purchases.
I don't really look at credit cards as a way to pay for things that I don't have money for. I look at it as simply a way to pay for things, like a check or even cash. To me, the only things to go in debt purchasing are a house, and a car. (and school) Our biggest saver at the moment is that we both drive old heaps. Despite repair costs, there's still a ton of money to be saved there.
I set up a budget for what we could afford out of college, and undershot that budget by as much as we could. With pretty much $0 in the bank my main concern was building a block of savings to fall back on if things got rough. We lived in a dumpy 1 bedroom apartment, tried not to eat out to much, etc.
Make no mistake though, we were fortunate compared to others. We both managed to exit college with only around $4000 in student loan debt and one reasonable car payment. We were broke, but we were better off in the amount of liabilities then many people are at that stage.
After that I have a simple rule that keeps me from blowing to much on luxuries. I buy luxuries of course, otherwise why the hell am I working in the first place? When I see something I want, even if its on sale or something I say "wait one week, if you still want it I'll set aside some money for it." %95 of the time I don't even want it after one week. I don't have a lot of great stuff, but I'm really happy with what I DO have. When I was in college, I got a job making some pretty good money for the time over the summer. I bought all kinds of stupid crap and most of it I never even really used. So I don't want to make that mistake again. I'm fortunate that my wife pretty much does the same thing.
None of this would have worked of course if we weren't at least making enough for the necessities. However, I wouldn't ever say I made good money. I'd just say I made enough.
Oh and buy grocery store generics, they all taste the fvcking same to me.
Yeah if I didn't have to pay rent, electricity, phone, internet, gas, insurance, groceries, and whatever other things/bills happen to pop up...lol.
dullard
Elite Member
- May 21, 2001
- 26,056
- 4,708
- 126
That is a dangerous game you are playing. You may win. But it is dangerous. You mentioned you were a student. I don't know what you qualify for, but right now student loans are max 4.7% (and often 0% while you are in school). No credit card beats a subsidized student loan. Having multiple balances and transferring really hurts your credit score (if you don't trust me, do a search for another ATOT poster who tried it and then later posted that his credit score plummetted). Credit cards are increasingly sneaky in charging fees to transfer balances. One day, the 0% offers will dry up and will you be ready to pay it off in full when that comes? Etc.
If you put things on your credit card that you a) can not afford normally or b) don't intend to pay off in full before the next billing cycle, you're throwing your money away. You'll be paying many more times the cost of your item(s) in interest charges at the least.
I wouldn't have a CC if it weren't a Citi Dividends card. I get 5% back on all purchases at drugstores, supermarkets, and gas stations. Everything else is 1%. It's only worthwhile, however, if I don't have to make interest/late fee payments.
I wouldn't have a CC if it weren't a Citi Dividends card. I get 5% back on all purchases at drugstores, supermarkets, and gas stations. Everything else is 1%. It's only worthwhile, however, if I don't have to make interest/late fee payments.
PingSpike
Lifer
- Feb 25, 2004
- 21,758
- 603
- 126
Naw, that isn't so bad. But as pointed out above, CC debt is pretty much the worst kind of debt since it has rape you in the ass interest rates. And if you're a student, you're always kind of fvcked anyway. My outlook is more for when I got to be on my own and out of school.
Nah.
I am going to keep my balance at the 2.99%.
And the laptop I will pay off before december to avoid finance charges.
And the other cc I will pay off within the next month or so.
Plus I will get some money back from my student loan, and also tax refund.
That will go towards my big cc debt.
It's really not that bad.
I will be going to school for the first time in the spring, and I had to get a student loan. Plus I will be working full time.
It's gonna be a bitch I am sure.
PingSpike
Lifer
- Feb 25, 2004
- 21,758
- 603
- 126
I really like my credit cards, I buy everything I can on them. I look at them like a gun, if used responsibly they are a valuable tool that gives you an edge. Used irresponsibly you can blow your own head off.
The rewards, and the fact that I have a middle man who protects me somewhat during purchases means they are my prefered way of purchasing things.
Aquila76
Diamond Member
That's not bad at all. I finished school with about $18,000 in debt between student loans and CC. Fortunately, I got a great paying job almost right off the bat (with a good sign-on bonus) and was still at home for almost a year afterwards. If I was on my own, I'd probably have made it, but struggled.
Also, I didn't mean to sound confrontational in my last post, but I know a lot of people who claim to have 'no way out' of debt when they're spending $100 a month for cable, $50 for Internet, and buy only Tommy Hilfiger, GAP, etc. brands of stuff. I agree with PingSpike 110% on his views in this thread, too. There are TONS of way to cut back even if for only a little while that can save you a wad of cash.
EDIT: Missed a 1 in my debt figure. Kinda important digit, good thing I wasn't a math major.
That's fine since you pay it off responsibly. I would say that the average American does not. I saw a report on the news the other night: 20 years ago the average American saved 10% of each paycheck. That saving's amount now is -5%. So the average person spends more then they actually can.
CC's are empowering. You get that shiny new plastic with a $10K limit. Oooo. Now I can go buy that new computer that I couldn't before because I just didn't have the money before. I can get a new expensive TV, etc etc. But there's a problem. I don't REALLY have that money, so now it's sitting on this interest accruing platform. I have the same pay and all the same obligations from before, plus all the wonderful new debt. Where do you come up with the extra dollars to now pay off what you've already spent?
All I'm saying is that a CC is only wise if you're responsible with money. Otherwise, they can and will bite you in the ass.
Varies, averages about $10,000 in charges a month. Paid in full every month. Credit card rewards will be paying for my trip to France in May.
33
33
I got bit HARD by credit cards during my college days. I fell into the glamour trap... as someone said, "damn free t-shirts with credit card offers!"
ANyway, long story short, before long I ended up with $33,000 debt on 4 cards. They kept raising my limits, so I kept spending... They kept lowering my interest rates so I kept spending... then one day, almost simultaneously, all four card companies raised their interest rates from like 7% to 22% on me. I suddenly had minimum payments of $1200/month on them! Half of that debt was school expenses. I went to a school that didn't qualify for standard education loans (flight training) and Sallie Mae's loan was at 16%, so 7% on my credit card was a better option. Or so I thought.
I decided to sacrifice my credit rating for a quick resolution. I hired a debt management / bankruptcy law firm to deal with my creditors and in the course of two years, they helped me settle 3 of the 4 accounts (totalling $26,000) for only $9,000 plus $4,000 in fees. The fourth account for $6,000 was unwilling to negotiate, so I am going to handle them myself and pay them off at 100% with my next paycheck.
It's not a road I would wish upon anyone, but I feel I reached the best outcome considering what I got myself into. Now I don't own a single credit card, and never will again. It taught me to always pay at the time of the purchase, and now I also make enough that I don't need to finance anything except for new cars or a new house.
OH, as for my age I am 27.
ANyway, long story short, before long I ended up with $33,000 debt on 4 cards. They kept raising my limits, so I kept spending... They kept lowering my interest rates so I kept spending... then one day, almost simultaneously, all four card companies raised their interest rates from like 7% to 22% on me. I suddenly had minimum payments of $1200/month on them! Half of that debt was school expenses. I went to a school that didn't qualify for standard education loans (flight training) and Sallie Mae's loan was at 16%, so 7% on my credit card was a better option. Or so I thought.
I decided to sacrifice my credit rating for a quick resolution. I hired a debt management / bankruptcy law firm to deal with my creditors and in the course of two years, they helped me settle 3 of the 4 accounts (totalling $26,000) for only $9,000 plus $4,000 in fees. The fourth account for $6,000 was unwilling to negotiate, so I am going to handle them myself and pay them off at 100% with my next paycheck.
It's not a road I would wish upon anyone, but I feel I reached the best outcome considering what I got myself into. Now I don't own a single credit card, and never will again. It taught me to always pay at the time of the purchase, and now I also make enough that I don't need to finance anything except for new cars or a new house.
OH, as for my age I am 27.
Originally posted by: jbourne77
Originally posted by: Engineer
Varies. Paid IN FULL each month.
Purchase EVERYTHING on rewards cards FTW...
37 years old.
Ditto
28
guess this more accurately fits me than what I posted, while technically debt I will pay off once the statement comes
19
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