As of today I have no credit card debt again. I managed to pay off the last £350.00 worth. I had been paying around £160 each month on it for the last few months after moving my savings of £1600 onto it last december. It wasn’t draining my finances completely but it really was an extra heavy weight to carry each payday.
Of course its all my fault, I signed up for the thing in the first place. What did I buy? I can’t actually remember which is probably pretty typical of a credit card user. One thing for sure is that I didn’t use it for everyday spending like food and mortgage. However I did find myself in what felt like an endless cycle of “emergency=credit card use”. I managed to stop this by starting an emergency fund and by being extremely stringent with my spending for a couple of months. I managed to put £200 by for the servicing of my car (which turned out to be an MOT and new radiator! instead) so that I didn’t use my credit card – I used cash instead.
Books from Amazon.
A meal out.
A new computer.
New Car Tyres (pair).
Car repair (door window issues).
The odd ebay purchase.
Tickets to see Steely Dan in concert.
This is what my statements say that I use my Credit Card for. Most of these are now budgeted for but the Vet bills are a surprise. I’m going to have to add that to the list of expenses.
Damn I really hate credit cards. Things are just going to have to WAIT! I’m not going back to that kind of suffering again.
Right now I feel like I need to keep it just in case I need it. Looking at the statements the most expensive things were about £450. I need to get at least this much into my emergency fund before the next emergency. Once I have managed six months or so without it I am going to close the account and return the card.
My “credit card cut-up & shut-up day” is August 22nd 2010.