It is extremely easy to get caught using your credit card over and over again. Taking your card out of your wallet feels like you aren’t spending any money at all (until you check your credit card bill later on). This past weekend I was caught doing just that, I have gotten into the habit of putting almost anything on my credit card because it is easier to do and I like seeing my points add up!
I went to see a movie and although I had about $50 in cash on me, I still put the ticket on my credit card. Afterwards I turned to my friend and told her I had no idea why I just put that onto my credit card since I had so much cash in my wallet. It seemed unreasonable and it probably was, but luckily I have found a few ways for me to keep my credit card purchases in line.
Things that may help control your credit card use:
Continually Check Account Online – This is really important. Making sure all of your purchases are correct and remembering all the purchases you have made will make all the difference when it comes to paying your bill. Adding all of your accounts to Geezeo can also help you budget and plan with your credit cards and bank account(s) information all in one location.
Pay As You Go – This has helped me out a lot. If I see too much money in my checking account I get the tendency to spend more. However, if I pay off my credit card online as I go, it takes the money from my checking and pays off my credit card account. It has been helpful to let a few transactions go by and then pay it off because then at the month you don’t have a huge bill that has piled up on you unexpectedly.
Make Sure You Spend on Top Priority Items First – An article from our partners at MainStreet.com lists several high priority items that will help you to prioritize your debt. Some of these high priority items include food, housing, child support, taxes, student loans, etc. Making sure you have enough money for these types of items will help you prioritize your spending. MainStreet.com explains why these priority items may be more important than your credit card bill.
Transfer Into Savings – When possible you should always transfer money into savings accounts. When I transfer money into my savings I try to forget about it, that way I am not tempted to spend what I have already saved. This tactic works really well for me, I use ING Direct and they make transferring money from my checking to savings extremely simple. Check out the Geezeo Marketplace for a savings account that will work great for you!
Keeping on top of your debt is important because if you don’t you will find yourself drowning in it later. With online banking and Geezeo, keeping track of where your money is going is so simple! Get advice from other people in groups such as Credit Card Info and Getting the Best Deals Around for spending/saving tactics that have worked best for them or share your ideas too! Don’t fall into the credit card trap!
Photo: Belén
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DIGITAL CASH : It’s a Credit Card – It’s Digital and its Safe
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MainStreet Explains: Prepaid Debit Cards
10 Money Lessons From the Great Depression
October 7th, 2008 at 10:22 pm
[...] Excessive Credit Card Use [...]
October 8th, 2008 at 12:10 pm
Prepaid debit cards are definitely a great alternative to controlling spending. Simply put as much money as you’re willing to spend each month, and never worry about going over. And unlike cash, you can review where all of your money went by looking at your transaction details online. With cash, the money disappears, but it’s often difficult to remember how all of those small transactions added up.
Cheers,
PrepaidWirelessGuy
http://www.prepaid-wireless-guide.com/prepaid-debit-cards.html
October 9th, 2008 at 6:36 am
[...] Excessive Credit Card Use [...]
October 10th, 2008 at 12:58 pm
[...] Excessive Credit Card Use [...]
October 12th, 2008 at 10:47 am
Believe it or not I can remember when very few banks offered credit cards. Most people did not have them as we do today. The best way that you can keep your credit card down to a reasonable balance is to have your credit card company to lower you limit. I have to disagree with not paying cash for an item. I would rather pay for the item in cash then a credit card. How many people actually pay off these card balances each month? If you can not control that credit card, the best thing to do is cut it up and put it in the trash. This would be the best thing that could happen to a lot of people today.
October 14th, 2008 at 11:29 am
[...] VIDEO: How to Increase Your Credit Card Limit Four Ways to Avoid Excessive Credit Card Use In Debt We Trust – Film You Must See Focus on the Payoff to Eliminate Your Debt Meet DebtKid: [...]
January 13th, 2009 at 7:19 pm
Just for one week try paying for all purchases with cash. Then compare how much you spent using your credit cards and how much you spent using cash.