Scared to Use the CC.

[jarmll]

I am trying to rebuild and get back into at least the 620-650 range in the next 6 months and then to the 700s in a year or two. I got two unsecured cards and I realized today I am literally scared to use either of them. Is this normal? Am I just a freak?

[Anonymous]

As the Russians say...once you burn your mouth on the soup, you blow in the vodka! You have to use them if you want to rebuild but you don't have to use them a lot! Maybe just limit yourself to $50 a month on each for things you would buy anyway like gas or food and then send in a payment for the full amount as soon as it posts to your account.

[rmduhon]

Or set something like Netflix on a card and have auto payments for that card. Then you can put the card up and not use it.

[elim]

Don't overspend, Never use more than 29% of the CL, show <9 % utilization on 1 card, Install Prism Bills on your phone to catch any missed/late payments.  Run a spreadsheet to track stuff and keep you in the garden.

You got this.    :]

[Anonymous]

I actually went through the same thing and still do but not as bad.  After years of living below my means while paying off the BR13, I became a 'minimalist'.  That is not going to go away.  I still struggle to purchase things I don't need for the sake of the Joneses or whatever.

So when I figured out I would HAVE to get cards again to help raise my credit worthiness, I did so reluctantly.  What I have done since then is begin to put my monthly expenses to one card per month and then paying it almost off (I keep a few dollars on there) right before statement.  Its money I'd be spending anyway on my debit.  My plan is to rotate through 3 cards, 1 per month.  Then on the others, like the couple of store cards, I have to be a bit more creative.  My initial plan is to buy the smallest denominator gift card they offer, then give as a gift, or use it myself if I ever want something from there.

Good luck and dont be afraid!

[Anonymous]

Good advice so far in here  

My advice, put one of those cards in your sock drawer, and leave it. Even without using it you're building positive credit history. 

For the other one, as has been said, put a recurring monthly bill on it. Buy your gas with it. Basically anything you've already used a debit card for, on a regular basis, can now go on your card. BUT ... you MUST then pay back your credit card with the money that would normally go out from your debit card. Then it's like you're not even using the card, but in truth you are.  

And I'll add one more thing that has been said here too ... GET ORGANIZED. Whatever you have to do to make sure your payments are made on time. 

[Anonymous]

I'm still PETRFIED that i am going to miss a payment.  I signed up for every alert they have per site, including the reminders of course.  I've entered into AutoPay as well.  Put reminders on my phone calendar as a recurring appt. etc.  

STILL I am almost obsessed with checking each card site every few days. 

[Anonymous]

I use Mint Bills to alert me of every bill I've got, and if it hasn't been paid right away it'll send you multiple emails and push notifications telling you your due date is approaching. (Mint Bills is different from the regular personal finance tool Mint, which I could take or leave. Intuit bought the service that I was using previously and rebranded it to a Mint family product).

I still check things on the regular but having everything in one place for a quick glance is nice.

The previous suggestion about Prism does similarly as Mint Bills, I just happen to find Mint Bills does a better job staying connected to everything, particularly the accounts that require two-step authorisation (like my VS card, for example - Mint Bills does a better job reconnecting with the auth dies than Prism does for me).

[Anonymous]

Thanks!  I just set up Mint Bills!