How Long Have You Lasted Using CCs to Stay Alfoat?

[tpatterson2k9]

From everything I have read on these forums, it seems that it is relatively easy to live off of CCs for one, two, or more years.  What I mean by that is if unemployment occurs, given that you have enough CCs and some cash in the bank, then it is possible to live off of using CCs for groceries, bills, etc. for several years if need be by just paying the minimum each month.  Of course, this would amount to quite a bit of interest over time, but if it is a necessity to carry a balance, it seems like CCs really help you stretch that dollar.  Does anyone have experience with this where they fell on hard times and had to rely on credit to get you through?  I am not trying to single out those who have struggled in the past, but I am curious as to the purchasing power of CCs over cash (i.e., how long they can keep you afloat before the next job offer comes through).

[scottwagnon]

think about it if you were a lender, would you want you to do this. if you know that prospects are good into the future, do it. just be careful, but if you don't know don't do it.

the objective of unsecured debt is to smooth out the rough patches. sort of like wall patcher to fix patches or the windshield patch guy that comes over to fix the crack in the windshield. he'll do it as long as the crack isn't too big. but for big repairs that cant be patched or are just to impractical to patch, that is what insurance is for. people that want this kind of protection, get insurance like aflac or something like that.

it is up to you (your responsiblity) to be the repair man, to be financially skilled enough to decide wether or not you can smooth things over correctly with your patch tools and patch materials.

[Anonymous]

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@tpatterson2k9 wrote:

From everything I have read on these forums, it seems that it is relatively easy to live off of CCs for one, two, or more years.  What I mean by that is if unemployment occurs, given that you have enough CCs and some cash in the bank, then it is possible to live off of using CCs for groceries, bills, etc. for several years if need be by just paying the minimum each month.  Of course, this would amount to quite a bit of interest over time, but if it is a necessity to carry a balance, it seems like CCs really help you stretch that dollar.  Does anyone have experience with this where they fell on hard times and had to rely on credit to get you through?  I am not trying to single out those who have struggled in the past, but I am curious as to the purchasing power of CCs over cash (i.e., how long they can keep you afloat before the next job offer comes through).

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Three years. This included hotel, food, car, gas, etc. Not going to discuss specifics, but this was a single mother who got screwed in a divorce.

[Anonymous]

I can last for 21 months without paying interest. To live by CC longer than that, I need low APR cards with hefty limit like NFCU,Alliant,USAA.

[Anonymous]

Until about 11 months ago I spent ~15 months living on a $500 CL card.  I didn't think I would be able to get another credit card, but then 7 months ago I tried and got approved for the Citi Dividend Platinum Select, which has a $4000 CL.  Needless to say it made things quite a bit easier but my UTL was very high up until 3-4 months ago.

Now I've got 2 more cards - AMEX Clear ($2000CL) and Chase Freedom ($3000CL) - and my UTL is acceptable and will be below 30% on Friday.

[Anonymous]

You know, I thought about it, and I really don't even WANT to know the answer to that question. I hope I never find out.

[Anonymous]

I've ended up doing it to some degree since I bought my house.  Still working, just needed to get appliances in (I think there will be enough left in my reno escrow to pay that off), pay out counters (my GC didn't have a source for granite), purchase and have cabinets refinished (found a deal), deal with a water issue, hire out HVAC stuff, install gutters (water issue), etc.  I just got "paid back" out of escrow for the cabinets & counters.  I immediately paid off 2 of my over-burdened credit cards.  I'm holding some in cash until I switch employment, then I'll pay down/off other balances.