I would love to have the courage to cut up our two credit cards but just the thoughts of it, puts me in a panic ! We have been caught in the debt cycle for so many years, it's hard to imagine not having that security blanket to fall back on. We haven't been able yet, to save up an emergency fund, if we had that, then perhaps cutting up the cards wouldn't be so scary. I've really gotten a fear of the unexpected, what we would do (without credit) if a real emergency came up. We just found out that hubby's BIL has prostate cancer and has to have his prostate removed. We are praying that the removal, will take care of all of the cancer (please say a prayer for him, his name is Ivan). He will be in hospital for four days (thankfully that's covered here in Canada) and will be off of work for at least 8 weeks. They are a mature couple without children or bills and I'm quite sure, money in the bank, so I'm sure they will be fine. Now, if that were us, we'd be up s*** creek without a paddle (without credit)!!! We are doing some refinancing, putting some bills on our mortgage (I really hate that but it seems like the best option we have right now), and are really working on getting our personal loan paid off (it only has one year left on it but we are hoping to finish it off by Christmas), then we will be able to breath. I have been seriously thinking of cutting up the credit cards, but I'm so scared! I hate debt!!!

Have any of you cut up your credit cards and survived or are you like me and hang on to them for security?

When I met my dh, I had LOTS of credit cards all having a balance. He had none. We put all of my credit balances on a personal loan and cut them up all but one and had them lower the limit ($5,000). We paid it all off. It was nice each month seeing the payment book get smaller and was a great feeling when it was gone. Meanwhile, I was an idiot and ran up the emergency credit card...ugh! We just got that one paid off completely and only use it if we are able to pay it off at the end of the month. I will never fall into that trap again.

Personally, I wouldn't put my credit debt into my mortgage. I would consolidate it myself and be dilegent about paying it off. Don't forget to cut all but one for emergencies up and don't carry it with you. A good way to start is if you need something, pay cash or use your debit card so that it comes right out of your checking account.

Good luck, it can be done!

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The mighty oak started out as a nut that held its ground.

I had cut all up except for 1 for emergencies, what a good feeling:happy dance:

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My goal-to live a peaceful and serene life

I am a big Dave Ramsey fan, I am going to see him live in Portland, OR next month. I cut my credit cards up. As a single parent I can honestly say this scared the S*** out of me. Again as a single parent when I ran short of $$$ I got in the habit of paying w/plastic but this caused me to accrue over approx $13,000 worth of CC debt. I am working hard to pay off now. Hard lesson I've had to learn.

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Me Mom
DS Matthew
DS Patrick
Family Pugs Disney & Parker
Completed the Disneyland Half Marathon 09/03/07.

No, because I use mine as a debit card (i.e. I record each transaction in my checkbook just like if I had written a check), pay in full (by tallying up my charges) and collect the 1% back. Credit cards are not suppose to be for expenses in addition to what you can afford. If my checkbook ledger says I have $500, that means I can only charge $500 and I do use the card for EVERYTHING - even utilities.

We do the same as you do.

I think a lot of people think that credit cards are their "emergency fund", and that is one reason why so many people are in credit card debt.

Actually, it makes me sick to USE my credit card, because I know it just puts us farther in the hole!

M

whoooa whoooooooohhhhaaaa wait a min here!


first things first. i used to fool myself into thinking that the low fat ice cream was ok to eat in hoards since it was low fat. Same situation here - your credit card is NOT a security blanket. Let me repeat that. YOUR CREDIT CARD IS NOT A SECURITY BLANKET!

Its a noose really.

I dont know the ins and outs of your financial life - but it reads to me that you guys are in some unending cycle. I worry about your post because I get the feeling that you guys *depend* on that plastic if something happens....

well, yeah its good to have one as backup. In the scenario of - paying off all cc debt, getting straight with creditors, having your $1000 emergency fund and THEN having a zero balance ccard tucked away "if ever"

Like I said before, since i dont know the ins and outs of your money, i dont know if you guys have taken a simple, serious look at your finances. Have you? have you pulled out a few bank statments from the past few months, laid out all your bills and check registers from the last few months to see, really see where your money is going?

I hate my credit card. It pains me to use it and I havent used it since June 27th. Its a noose that I refuse to tighten anymore. So I urge you - pick up Dave Ramsey's book at the library - cut up all but one card, pay them off and make cash your security blanket...dont let a piece of plastic lul you into feeling secure - it wont. Go to it girl!

I probably should but I like getting the CC rewards program. My goal is to get to the point where they are paid off every month. So as long as YOU have the self control to not spend more then you can pay off then no don't cut them off.

I hate spending just in general, I weigh the needs against the wants and just go with the needs.

I agree track EVERYTHING it really shows how little things add up.

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Kimberly Proud Mommy to Bethany Rose April 2006

Yes, we have had a serious look at our finances and do know all the ins and outs of what we owe, spend, etc. We have made many positive changes in the last 3-4 months. We have not used our credit cards and are working at getting them paid off. The problem is, we aren't able (right now) to save for an emergency fund so if something comes up and we don't have the extra cash.......you know the rest! We just made some unwise choices when we were younger, and we have been trying to get caught up ever since so yes, we have been in a vicious cycle. We were stupid (blind, refusing to see what we were doing to ourselves....our part in the blame) and didn't see the damage that CCs can do BUT we've finally smartened up and are making changes. Sometimes it's babysteps but we are moving forward .