I had an epiphany...
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| Thu, 10-27-2005 - 8:19pm |
I have finally realized that the key to gettting out of debt is to stop incurring new debt...wow, who would have thunk it? ;) So, I put my credit cards in ice and even put up my debit card. I have found that I tend to buy more stuff when I know I have money in the bank (even if that money is earmarked for a bill). I have decided to only deal with cash and once it's gone it's gone. I will even be leaving the checkbook at home.
Knowing that I am taking these small steps to secure my finances has made me feel like I am finally taking some initiative to becoming debt free. I just paid off 2 credit cards but before I can snowball anything to my remaining three cards I have to get my emergency fund up to $1000. This may take some time before I can I save that much but I am finally starting to feel like I may actually be in control of my impulsive shopping sprees.
Benita

I think you have some good ideas there! I think I'll follow your lead and try the same things! I have got to get myself under control with my finances and spending.
Good luck!
Great news, Benita! It sounds like you've really got a handle on your debt reduction plan. I stopped carrying my cards with me also. It's amazing how much I've saved just not having my card with me.
In about two weeks, we have to take a trip for our son's karate school. It's a tournament that requires an overnight hotel stay. Normally, I'd just put it on the credit card and be done with it. But this time, since I'm not using my normal credit cards anymore, I have budgeted for the hotel room out of our normal checking account, as well as a dinner out for the night we arrive. That's usually done as a treat for our son so he and his friends can all eat out together (each family at a different table, but the boys can all talk to each other since the tables are set near each other), and that also has been budgeted from our checking account. I'll use the debit card for both of these purchases since it's got that VISA logo on it, but at least I won't be incurring any new debt. It's such a great feeling to know I'm planning for these upcoming expenses and not just tossing my credit card to people to charge it all. :-D
Can't wait to hear about your debt amounts coming down in the future! :-D
Pat :-D