Get Rid of Credit Cards : Should I Cut Them Up or Close the Accounts?

Get rid of credit cards --- How? If you are struggling with credit card debt, this may be one of the questions at the top of your mind. 

For some people, just owning credit cards presents a huge temptation to spend. They go to the store, and see a pair of shoes they just have to have. It is not in their #budget, but they know they have their credit card along, and can just charge it. Perhaps this is your struggle—you rationalize your purchases by saying to yourself: “I’ll pay it off right away.” Deep down, you know you might not be able to. 

If you really have trouble spending and getting into debt, at least make sure you do not bring your credit cards with you when you shop. It’s kind of a like a drug addict putting themselves into a situation where they know there will be drugs available. If you let yourself be vulnerable to temptation, you may easily succumb. 

Start your credit repair process today 

With #online shopping available from your home personal computer, maybe you should go a step further to stop your spending habits. I have known of some people who freeze their credit cards in a block of ice, making them very inaccessible.

The bottom line is, cut up your credit cards, if that is what it takes to make you stop spending money you do not have. 

Should you get rid of credit cards?
Should you cancel your accounts?
Here are some practical answers to those questions:

First, your credit score is better off if you pay off your credit card accounts rather than canceling them.

Next, if you are going to cancel accounts, start by canceling store credit cards. Space it out over a period of time. Never cancel all credit cards at once, as this will negatively impact your credit score.

Finally, there are some situations where you may need a credit card, such as for renting a car. Of course, there are alternatives to #credit cards, but #financial experts recommend keeping open at least one or two major credit card accounts. Having one or two major credit card accounts is better for your credit score.

In conclusion, I highly recommend that you do not charge purchases on credit cards unless you KNOW you can pay the balance off every month. 

Should you just cut up your credit cards? 

Have You Paid off Debt or Are You Working on Paying off Debt?

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Start Saving Money: 8 Creative Ways to Help You Begin to Save

Start saving money – just the thought may be totally overwhelming to you.”I’m already in debt, how can I save anything?” or “Where do I get even a little money to put away?” may be some of the first questions that come to your mind. It is actually possible, really possible, for anyone to get that first deposit to start a savings account.Here are some ways to begin: 

1. Have a yard sale. You may already shop at them, so why not have one? Everyone has excess junk, clothes that don’t fit them anymore, or toys they no longer use to get rid of. Instead of taking a trip to the donation center, try having a yard sale. I know of people who make hundreds of dollars on their used stuff. Even if you only make $50 or $100, it’s a start on a savings account. 

2. Sell on Craigslist. If you have bigger items (a refrigerator that still works, a kids' swingset, a winter coat) that you could part with, list them on Craigslist. You will be emailed by potential buyers who will come to your house to pick up the items and give you the cash. Personally, I like to have my husband home if someone is coming to the house for safety’s sake, so please keep your own safety in mind also.Sell on Craigslist 

3. Raise your deductible on your car insurance. If you have an older car, it might be worth it to raise your deductible and save a few hundred dollars a year.

4. Use your own bank’s ATM. This seems like a little thing, but can really add up. If you are using an ATM that charges you $2.00 once a week, and you switch to a free ATM, this adds up to a savings of over $100 a year. 

5. Learn to do more things yourself. Try coloring your own hair, cutting your husband’s hair, or waxing your own eyebrows. There are lots of sites online that can help you save money by learning to do things yourself that you would normally pay a professional to do. The potential savings per year can be in the hundreds of dollars--a great way to start saving money.
6. Wash your own car. Washing your car is not that hard, and your kids can help you do it (Translation: fun family activity!). Think of the savings per year: $5.00 a month minimum, 12 months a year = at least $60 a year to save!
7. Rent a video instead of going to the movies. Movies cost $7.50 per person where I live. So, a family of four is going to pay $30 just for the tickets. Popcorn adds in another $5-10. Total cost is around $40. Renting a movie from the local video store will cost you $4.00 plus the cost of a bag or two of microwave popcorn and a soda.
8. Make your own coffee to take to work. Two Starbucks coffees will cost you more than a bag of coffee at the grocery store. A bag of coffee will last you for a couple of weeks.

These are just a few creative ways to start saving money. Open a savings account, try some of these ideas, and you are on your way to a future of debt free living. Your children will learn about saving money also—so set the example now!