Well, I swallowed the bullet and put a transfer from my savings account to my checking account to pay for my AMEX balance. It's something I told myself never to do, but with the way things are in this economy, I would rather take care of business and have it OUT OF THE WAY!
I started with the balance 2500/3200 December 11th. This was from a 32 inch Samsung HDTV (bought the weekend before Superbowl Sunday, last year), my new queen size bed, my new hand-built desktop computer, Impala SS rims for my 1996 chevrolet caprice, and misc. moving and food expenses. A Balance Transfer for the TV was made when I first got the card.
Now, when I got the card, I had a 0% APR for the first year. So, I was just making the minimum payments, enjoying not having any interest build up. I think that time ends sometime in March, but WHY SIT IN DEBT?
So, for the past 2 months, I have set every penny for AMEX. My balance remains at 1150. I just took 1,150 from my savings (almost all of it, got 500-600 left) and will pay this bad boy this Thursday OFF. My limit on the card is 3200, and I want to show AMEX I am capable of handling this kind of debt (I applied for a CLI Sunday night, they said they will contact me in 7-10 days....probably denied but hey you can't go wrong with asking. If I am denied, I am calling them and asking a lot of questions because my balance will be zero by the time the next statement comes out)
All that remains is a Tires Plus card at 450 dollars. This is NOT my debt. I put tires on my boss's truck because his credit is tied up at the moment. He will be paying that off soon, so that will be erased.
My Capital One card balance is 112/1300. My roommate needed an alternator for his car, so I loaned him the money. He is paying me every 2 weeks, so that should be eliminated by March. (He'll pay the interest too, obviously)
My ebay Mastercard is at 150/2800. This will be eliminated by the end of the month.
My new Discover is 93/4000. I bought some groceries. This card will be my MAIN user for the next 6 months, as I will be paying ALL my bills and ANY expenses through this card to get good use and show good credit patterns.
Well, that's the story fellas. I might have biten the bullet on this one, but I'd rather have a few bucks in the savings than a lot of money in savings and be in the hole a few thousand. That's what savings is for, right?
Main story, after this is done, I am embarking on my journey to HOME OWNERSHIP. I am 22, been working 6 consectutive years (the past 2+ full time window cleaning), and with the way FLORIDA'S HOMES ARE DECREASING AS I TYPE THIS, in 2010 I will be in good condition to buy a house. I am not looking for anything major. Just a first-time house, maybe 2 bedrooms, something 1,000 square feet (I am single, I just want a few pets and call it a day.)...houses are around 45k-75k at the moment. If I am patient, and I save up about 8,000.....I will be a home-owner by the beginning or mid 2010. THE AMERICAN DREAM. Get it while the market bottoms out.....which still will be a few years to come
Yes they sure do. 75k miles, bought from my friend's grampa 4 years ago when it had 40k on it. Not bad for a 1996. B bodies
she is clean. and mainly, she is paid for.
Hopefully AMEX doesn't "reward" you with a CLD...everything I've been seeing of late suggests they may respond to your responsible actions of paying down a balance with AA. (I know this makes no sense. I haven't looked at their balance sheets, but their actions reek of desparation).
Anyway, good work keeping your credit usage under control, and it sounds like you're poised to become a homeowner, and likely time the market rebound to your advantage, to boot.
Yeah time will tell I haven't seen any increases yet....hopefully no decreases. But, I have my new Discover card so if AMEX is bad to me, goodday sir. That card will find a permenant spot in my drawer, thats for sure.
I talked to a real estate person that I know from a friend. "Now is the time to buy"....yeah right. Another year of decreasing home prices, and I know I will get a STEAL of a deal. It sure isn't going to go back UP anytime soon. Might as well be patient, save up 10,000 or so, and have a 400 dollar mortgage.
But, all that is not reasonable....without a nice high FICO!