topic Re: how do I NOT use my card? in Rebuilding Your Credit

how do I NOT use my card?

Anonymous — Tue, 25 Apr 2017 20:33:06 GMT

Everyone is different with how they use they're cards, I for one am pretty bad, I spend than pay in full but wonder whats going on with my bank account (don't judge me I am trying my best) but I want to not use my cards for like a month or two, I guess challenge myself. I have a friend that has a 17 thousand limit on her card and she barely use it (idk how she does it because man I think I would go crazy) but I just told myself I refuse to rent in NYC and want to buy an apartment problem is that I need to save

So my fellow myfico friends, what are your secrets to not using your card?? Do you put it in the freezer, do you sock drawer it, maybe even have a friend hold it for you, or are you just strong enough to not use it?

Again, no judging we all need help, thanks everyone for your advice

Re: how do I NOT use my card?

Anonymous — Tue, 25 Apr 2017 20:48:19 GMT

Personally my cards all have purposes and I believe the idea is to put spend through your cards, let a small blance report on at least one (pay all others to zero) and then pay the balance. This is how I do it at least...hope that helps...

Re: how do I NOT use my card?

Anonymous — Tue, 25 Apr 2017 20:52:11 GMT

If I have it, I'm going to use it.

Particularly rewards cards, which is the whole idea behind them.

The way I limit it is to know, almost down to the penny, what's in our bank accounts, so that I know I could pay it off immediately if need be. I often don't pay it immediately, but I do pay my cards in full, every month, so that there is no interest. The only cards I don't pay in full are the ones I have special financing offers on (AMZ, O'Stock, Wayfair).

I guess that's the opposite of the answer you're looking for. If I really needed to avoid using the card, I'd put it in my drawer.

Re: how do I NOT use my card?

Anonymous — Tue, 25 Apr 2017 20:57:58 GMT

@Anonymous wrote:
If I have it, I'm going to use it.

Particularly rewards cards, which is the whole idea behind them.

The way I limit it is to know, almost down to the penny, what's in our bank accounts, so that I know I could pay it off immediately if need be. I often don't pay it immediately, but I do pay my cards in full, every month, so that there is no interest. The only cards I don't pay in full are the ones I have special financing offers on (AMZ, O'Stock, Wayfair).

I guess that's the opposite of the answer you're looking for. If I really needed to avoid using the card, I'd put it in my drawer.

No, its not opposite, its a great response, thank you

Re: how do I NOT use my card?

Anonymous — Tue, 25 Apr 2017 21:00:17 GMT

@Anonymous wrote:
Personally my cards all have purposes and I believe the idea is to put spend through your cards, let a small blance report on at least one (pay all others to zero) and then pay the balance. This is how I do it at least...hope that helps...

This is very true, every card should have a purpose, problem with me is that If i got to Barnes and Noble or Strand book store im probably buying around 20 books (trying to build my own beauty and beast library) and if I go to Nike or flight club im buying a lot as well (I appreciate a good pair of sneakers and have been collecting them for quite sometime) they are both my sort of bad habits that are actually kind of good habits but you see where im going right lol...I need to control MYSELF, but you made some great points

Re: how do I NOT use my card?

sarge12 — Tue, 25 Apr 2017 21:13:41 GMT

Credit cards are a wonderful aid to achieving high scores, getting rewards, and extending warranties, while providing purchase protection. Used carelessly however they are very dangerous. I have rules that are set in stone for my credit card use.

1) Never use a credit card to buy an item you would not buy if you had no credit cards.

2) Never buy anything on credit card you do not have the easily accessible funds to buy using another method.

3) Always PIF early and often

4) Pick the card with the highest reward for that purchase.

5) Never, and I mean never pay 1 cent in credit card interest.

That being said...I pay almost everything on credit cards, and they make me money. It takes discipline to not use them to buy things you do not need or spend more than you make, so if you cannot control your own actions, then credit cards might be best left alone.

Re: how do I NOT use my card?

Anonymous — Tue, 25 Apr 2017 21:19:23 GMT

@sarge12 wrote:
Credit cards are a wonderful aid to achieving high scores, getting rewards, and extending warranties, while providing purchase protection. Used carelessly however they are very dangerous. I have rules that are set in stone for my credit card use.

1) Never use a credit card to buy an item you would not buy if you had no credit cards.
2) Never buy anything on credit card you do not have the easily accessible funds to buy using another method.
3) Always PIF early and often
4) Pick the card with the highest reward for that purchase.
5) Never, and I mean never pay 1 cent in credit card interest.

That being said...I pay almost everything on credit cards, and they make me money. It takes discipline to not use them to buy things you do not need or spend more than you make, so if you cannot control your own actions, then credit cards might be best left alone.

You are one tough cookie, but that is why your scores are EXCELLENT...it takes a whole lot of discipline to not spend on what I don't need, just yesterday I had to stop myself from buying chrissy teigen cook book for the third time because I keep lending it out I had to tell myself to contact my three friends that have my three cookbooks and give it back to me or I can just go to they're homes (i get super lazy after work)

thanks for your advice, I promise to try my best

Re: how do I NOT use my card?

Anonymous — Tue, 25 Apr 2017 21:50:41 GMT

@karladicent wrote:
@sarge12 wrote:
Credit cards are a wonderful aid to achieving high scores, getting rewards, and extending warranties, while providing purchase protection. Used carelessly however they are very dangerous. I have rules that are set in stone for my credit card use.

1) Never use a credit card to buy an item you would not buy if you had no credit cards.
2) Never buy anything on credit card you do not have the easily accessible funds to buy using another method.
3) Always PIF early and often
4) Pick the card with the highest reward for that purchase.
5) Never, and I mean never pay 1 cent in credit card interest.

That being said...I pay almost everything on credit cards, and they make me money. It takes discipline to not use them to buy things you do not need or spend more than you make, so if you cannot control your own actions, then credit cards might be best left alone.
You are one tough cookie, but that is why your scores are EXCELLENT...it takes a whole lot of discipline to not spend on what I don't need, just yesterday I had to stop myself from buying chrissy teigen cook book for the third time because I keep lending it out I had to tell myself to contact my three friends that have my three cookbooks and give it back to me or I can just go to they're homes (i get super lazy after work)

thanks for your advice, I promise to try my best

Halarious...hahaha

Re: how do I NOT use my card?

sarge12 — Tue, 25 Apr 2017 21:51:48 GMT

@karladicent wrote:
@sarge12 wrote:
Credit cards are a wonderful aid to achieving high scores, getting rewards, and extending warranties, while providing purchase protection. Used carelessly however they are very dangerous. I have rules that are set in stone for my credit card use.

1) Never use a credit card to buy an item you would not buy if you had no credit cards.
2) Never buy anything on credit card you do not have the easily accessible funds to buy using another method.
3) Always PIF early and often
4) Pick the card with the highest reward for that purchase.
5) Never, and I mean never pay 1 cent in credit card interest.

That being said...I pay almost everything on credit cards, and they make me money. It takes discipline to not use them to buy things you do not need or spend more than you make, so if you cannot control your own actions, then credit cards might be best left alone.
You are one tough cookie, but that is why your scores are EXCELLENT...it takes a whole lot of discipline to not spend on what I don't need, just yesterday I had to stop myself from buying chrissy teigen cook book for the third time because I keep lending it out I had to tell myself to contact my three friends that have my three cookbooks and give it back to me or I can just go to they're homes (i get super lazy after work)

thanks for your advice, I promise to try my best

Not all that tough...following these rules use to be difficult, but changing circumstances made it easy...mainly becoming disabled at 55. When due to permenant spinal cord damage I became disabled..my lifestyle became mostly sedentary. SSDI income of 2050 dollars a month against about 1500 dollars a month expenses means I could live off of that easily.....but...I also have a lump sum retirement settlement and 401k monies that became available when ever I wish to withdraw some. These 2 funds total about a half a million dollars, so I try to withdraw about 20000 dollars a year to keep the taxes low. Under these circumstances meeting these rules is easy.

Re: how do I NOT use my card?

Anonymous — Tue, 25 Apr 2017 21:55:32 GMT

+1 to what sarge said, excellent advice

Re: how do I NOT use my card?

Anonymous — Tue, 25 Apr 2017 21:55:57 GMT

I do my finances every Friday. When I started, it took me 2 hours the first couple of times.

4 months later it takes about 15 minutes. I go through 3 credit cards, 7 student loans, 2 bank accounts, and my cash on hand, every Friday.

Every Friday I know down to the penny this very simple equation: bank account balances + Cash - Credit cards = X

If x is $5k or greater and I'm not near 29% utilization, then it's okay to use the cards. If not, I need to layoff on purchases.

Basically, $5k is $0 to me and 29% of my CL is my max.

Those are my rules and I'm sticking to them. I can easily PIF 29% of my CL each month. Plus, CRAs set that as a max usage point before they ding my credit score.

I go a little deeper, myself. But that is the jist of how use my cards.

Re: how do I NOT use my card?

Anonymous — Tue, 25 Apr 2017 22:14:26 GMT

@Anonymous wrote:
I do my finances every Friday. When I started, it took me 2 hours the first couple of times.

4 months later it takes about 15 minutes. I go through 3 credit cards, 7 student loans, 2 bank accounts, and my cash on hand, every Friday.

Every Friday I know down to the penny this very simple equation: bank account balances + Cash - Credit cards = X

If x is $5k or greater and I'm not near 29% utilization, then it's okay to use the cards. If not, I need to layoff on purchases.

Basically, $5k is $0 to me and 29% of my CL is my max.

Those are my rules and I'm sticking to them. I can easily PIF 29% of my CL each month. Plus, CRAs set that as a max usage point before they ding my credit score.

I go a little deeper, myself. But that is the jist of how use my cards.

This is awesome ... we're not there yet, but that's where I want us to be. Thanks for sharing that

Re: how do I NOT use my card?

Anonymous — Tue, 25 Apr 2017 22:33:35 GMT

Wow that is perfection, thanks for sharing, very informative