How Do You Use Your Credit Cards?

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I’ve been reading debt repayment blogs for a little while now and one of the things I always notice is the different standpoints that bloggers take on credit card usage. It seems people are completely against using their cards or they use them for everything and then pay the balance (off or for what they use). I have been one of those people who assume that because I am trying to pay off my credit card it is off limits…I’ll go into the overdraft but not use my credit card with available credit.. It doesn’t make sense! So for the next 2 weeks (I get paid every two weeks) I am going to put my gas and groceries onto my credit card (I’ve already transferred my budgeted money over) to see if it motivates me to spend less or more.

How do you use your credit card?

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12 thoughts on “How Do You Use Your Credit Cards?

  1. Not very well, apparently, since I’m paying off a lot of credit card debt! We still use our cards, (which doesn’t help with paying them down!), but we use cash a LOT more now than we used to. We used to charge EVERYTHING! Unfortunately, we rely on the cards to help us cover unplanned expenses, like my husband’s $1,000 in dental work this summer!

  2. I have mine locked in a safe. I just cant keep it in my wallet because I have 0 self control. This morning I thought about getting mine out and using it for bills and then using my bill account to pay it off but I’m still nervous. Good luck with yours though.

  3. If you have a balance owing on your credit card, I would not use it. You’re just getting into a repetitive circle. You need to use cash for expenses and figure out a way to not go into overdraft. Sorry if I sound harsh, but if that is still happening then you are living beyond your means. You need to figure out the root cause and stop the bleed. Do you have an emergency fund set up that would help not going into overdraft? If you budget $100/month for car expenses and you don’t spend it, you should move the $100 (or unspent amount) to your emergency fund, so that eventually when something does break, you will have the funds available (as an example).

    • Thanks for your input debs! Your opinion is always welcome šŸ™‚ I currently do not have an emergency fund set up (bad! I know! But it’s one of my goals) currently the only account I have that has overdraft available is at the opposite bank than the one I have my Visa with…maybe I should write a post about banking with multiple banks!

  4. I must admit, I have still been using one of my CCs occasionally, but overall I try not to use them at all since I’m trying to pay them all off. But, once the debts are gone, and I’ve cancelled quite a few of the cards, I do plan to use credit again for rewards and to keep my score up. I know some think that credit scores and using credit doesn’t matter, but I still think I may need credit someday, so I’d like to keep my score up if possible.

    PS: I’m glad you have a Twitter now!

  5. I use credit cards for everyday expenses, and always have. In the past, I’ve run them up many times and then slowly paid them down (I used to freelance, and I got used to the cycle of using them to fund an unemployed month or two, then paying them down when I worked) but now that I work more regularly and am trying to clear the balance one last time, I’m (a) paying off what I actually spend every month and then (b) putting an extra amount towards the old balance of about $1800 (currently). I don’t know if that’s the best way, but it’s how I’m doing it.

  6. My husband and I use credit cards to pay most online bills, gas and when we buy stuff from stores in our 5% categories. We also use them for big purchases that we have saved up the money for, it allows us to get the points and we transfer the money to pay it off. We have found that it is better to use cash for groceries because otherwise we tend to overspend. We use the credit cards to get points. When we use the points, we don’t use them for everyday expenses, because it’s not an amount we can ever count on. We use the rewards to go into savings or for a night out. We pay our credit card in full every month and in 4 years I have never carried a balance. If we ever ran into a situation that a balance might be carried, we wouldn’t use the cards. It works for us, but I know it doesn’t work for everyone.

  7. Late to the party. šŸ™‚ But I use my credit cards for any sort of online purchase or recurring, automated bill. I also use them for any reimbursable work expenses that I don’t want to take out of my cash.

    Other than that, it tends to be discretionary. But I’m also compulsive about going back in and paying them off almost immediately after putting any money on them! (New habit woohoo!)

  8. Pingback: Liebster Answers | Downstairs and in Debt

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