TO CHARGE OR NOT TO CHARGE by Marsha L Randolph

HAND AND CREDIT CARDMaking purchases on time, as the old folks use to say, is addictive which is why many people have poor credit ratings. From about September through December is the time in the year in which the temptation to not use cash increases particularly when we want to buy nice things for friends and family not to mention all of those wonderful sales!

Because of my debt, and my desire to become debt free, I made the decision to live a cash only lifestyle. This is difficult not because I cannot tell myself no but because other people do not appreciate this concept. Many believe as long as the bill gets paid it does not matter if you charge it. Often people have to work extra jobs to take care of daily expenses such as housing, utilities and food in addition to credit card fees, I do not want to live like that.

Recently I was trying to convince myself that it would be OK to purchase something with in-house financing because it was a business related purchase. The item I needed was to replace the one that I broke, I have gone without this item for 3 months to wait one more month would not be a major problem. I decided to continue doing what I have been doing- just waiting until I can afford to pay cash.

Charging the $50 item may not seem like a big deal however it would not have just been $50, there would be shipping and handling fees in addition to finance charges which could easily bring the purchase total to $80. If I made payments instead of paying the entire balance off in less than thirty days I could easily end up paying over $100 for an item that cost $50 and was worth less than that.

The accumulation of fees charged by various institutions such as: credit card companies, automobile finances companies, and banks that hold the mortgage leads to large debt. Many people have student loans others have outstanding medical bills; things happen, emergencies occur which can create additional financial burdens.

The best thing to do is not do it. Do not use your credit cards to buy Christmas presents. Do not order gadgets on television that promise 3 or 4 payments. Do not pay your tithes with your credit card. I repeat: DO NOT PAY YOUR CHURCH TITHES WITH A CREDIT CARD!!!!

Learning to live a cash only lifestyle is difficult; even a person with bad credit can get some type of credit. Far to many people are using credit cards to pay for things they want but not need. The longterm consequences of buying on time is having to work when you should be relaxing. The long term benefits of living a cash only life now is the peace associated with being debt free.

You may not be able to get the latest iPhone, or the newest flat screen television, your car may be old and in need of a new paint job, you may not be able to afford to go to the movies every week or a restaurant once a month because you do not have a credit card.holding money

You will be debt free sooner rather than later. Even if you are working two jobs now you will soon be down to just one. And you will know who really appreciates you for being you when you see the expression on their face when you don’t buy a gift or the gift is not as expensive as what you use to buy.

 

Today is the best day to stop using your credit card. Of course it will be easier in January because by then you will have reached your limit on everything.

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