Whether you are trying to get out of debt, or stay out of debt, temptation can be your biggest enemy. Many people get into debt, only to get right back in within two years. The temptation is having what you want, when you want it. However, there are ways you can afford to live without that urge and keep your credit in checkand they arent hard either! Only get what you need Look at your cards and evaluate what you use each one of them for. You may have a few department store credit cards, and a few cards that you may get bonuses for such as air miles or Disney points. You dont need those!! The department store cards, while most offer you a discount several times a year, often come with one of the steepest interest rates you will ever see. The trick about the rewards cards is that you cant get the rewards unless you pay off the credit in full! So if you buy two thousand dollars worth of junk to get enough air miles to fly to Vegas, youd better have two thousand bucks in cash to pay that off so you can actually go! So if you are going to have credit cards, just have what is absolutely necessary for emergencies, maybe just one good card with a decent spending limit and low interest rate. Cut them up! If you are swearing not to use the cards, then cut them up! If they have a balance on them, write your card numbers down so you can continue to pay them off, if not call and cancel them. That way, the next time you see something you really want, you wont be tempted to dig that credit card out of its hiding place and charging more money to it. Carry Cash When you go to the grocery store, the drug store, or even out to the bars, only carry cash and an id. If you dont have your card with you, you can't spend on it. This also serves as a very good budgeting tool. When you go out for a night of drinking with your friends say you are only going to spend a certain amount. Take that amount out of the atm, and when you run out of money, you are done partying for the night. You may be less tempted to get those expensive mixed drinks and stick to beer, when you only have a few bucks left! |
