I Am Credit Card Debt Free!!!!!

Well I just completed filling out an electronic payment from my checking account to my credit card in excess of $3,700. The transfer will take effect Monday (the next business day) and I will have a $0 balance on my CC for the first time in a very very very long time (my guess would be 10 years).

I would like to thank work for issuing me the Retention Bonus Check (long story) that made this lump sum payment possible. I have been working on bringing my balance down for years and counted on this check when I planned my Last Payment Date a few months ago.

I can’t tell you how frustrating it was over the years making payment after payment and seeing little results in the overall balance (BIG TIP: Request a lower % Rate!!!). My balance had reached almost $10K (with little to show for it) just a few years ago and by that time I got the rude awakening that this excessive charging had to stop. The CC company didn’t seem to mind though. Through the years if I came close to my credit limit they would automatically increase my limit on the next bill. How nice of them (damn SOBs)!

I promised myself from then on in that I would only use the CC if a) I did not have enough cash in my bank account b) CC was only acceptable payment or (and more importantly) c) I actually needed to spend my money on it.

From this day forward I promise to be more responsible with my CC and I will not use it unless absolutely necessary.

I am also thankful that I never fell into multiple CC debt. I have only have had one CC (except store issued credit cards - which are all paid in full too) even though I was given countless offers to sign up and apply.
Next Goal: Save Save Save!!! All the payments I have been making to my CC will now be going into my savings account. Wow! I will actually now be able to watch my savings grow beyond the measly interest each month. I will keep my fingers crossed that I can stick to it.

Dude, that is awesome. Congratulations!

In about a week and a half I’ll be able to say the same. It’s a great feeling, isn’t it?

If only I could truthfully say the same, although 5.9% until the balance is paid is not as painful as it could be. My next big step: don’t charge more than I can repay in 25 days.

Yes, I’ve been CC debt free for a year. Feels good to just pay utilities, rent, and nothing else. I closed all of my accounts down just to be on the safe side. My new way of thinking is if I can’t afford it then I can save up for it. If I don’t want to save up for it then I don’t really need it.

I know that weightless feeling! Congratulations - it’s all uphill from here! My advice: Get thee an American Express card. DO NOT allow them to talk you into the “if you spend $250 on a single purchase we’ll allow you to pay over time” hoopla.

That way, you’re obligated to pay at the end of the month, for those items that you MUST put on a card (car rentals, hotels, online purchases, etc.) It will keep you from buying stuff that you can’t afford.

Good luckstaying debt free!

Mucho congratulations!

We’re just about there ourselves, after many years of having that albatross around our necks. You can bet your sweet bippy we got religion, too! No more, never again…

Thanks all.

Ino, yes it is a great feeling. You’ll know soon enough to know how it feels. Congrats to you as well!! On Monday I am probably going to look at my account on line a dozen or so times just to gaze in all its glory.

Lorenzo, that is a good rate. Good luck getting to that last payment. It is well worth it if just for the feeling.

Amp and Morgainelf that sounds like good advice. I’ll keep them in mind.

Thanks An Arky, I caught your post on preview. Good luck as well.

(Hey, a double post followed by the double post.)

Well, I just made the final step on the way to being where you are. All credit card debt is finally on one interest-free account, and should be paid off relatively soon. “Albatross around the neck,” as someone said, pretty much sums it up.

I’ve got to say that, in the past, I tried doing what people suggest, and calling the company to ask for a lower rate. They always just said no. So I just transferred the balance elsewhere. You can’t get much better than the 0% I have now, though. That will make the remaining debt a lot less of a burden, that’s for sure.

Congratulations! I know how great it must feel. I’m very happy for you.

Stick with your resolve to save, save, save. You won’t regret it.

I have a credit card with a very low limit ($800) but the bane of my existence is my Sears card.

I have almost a $6000 limit, and I was paying nearly $69 a month in interest.

Then I got my tax refund last year. Slammed all of it on the Sears balance.

The balance is now about $500, interest charges are about $12, and I’ll have that puppy paid off with my refund this year, wooohoooooooo!!!

Congratulations to everyone who got the credit monkey off their back!

** nineiron**, I am shocked they wouldn’t lower your rate. I have heard that as long as you were a established customer with a good history (used car often and paid on time) they would lower your rate. You are right though, you can’t beat 0%. Good luck!

Fairydust, I am going to try my best to save save save.

ivylass, way to go! I hope the charges to Sear were mostly household necessities. I don’t even want to get into the interest rates of store issued credit cards.

Hey you just reminded me that my Tax Refund Check is going to be mine all mine!! (I am starting to sound like Gollum.)

Now I just have to file my taxes.

“…I promised myself from then on in that I would only use the CC if a) I did not have enough cash in my bank account b) CC was only acceptable payment or (and more importantly) c) I actually needed to spend my money on it.”

Congrats on your pay-down. It is a great feeling to have the monkey off your back. HOWEVER…the best way to do a credit card (for us, anyway) is to never charge more than you can pay off when the bill comes in. We haven’t paid a penny in interest in years. We use it strictly as a convenience rather than a source of money. Oh, the joy of being debt-free!!!

Thanks Kalhoun, I agree completely. The problem was I didn’t lean that until after I was deeply in debt. When you are fresh out of college you are easy prey for CC Companies. My promise you quoted was during the time I was still in debt. I needed to keep the balance going down so I restricted myself from using the cc unless absolutely necessary.

From this point foward I am only going to be much more responsible with my CC. If I build enough of a savings I may just use my bank’s debit card for most purchases. That way I will cut out the middle man and have the money come right out of my checking account.

Congratulations on your lack of indebtedness! I was there myself earlier this year then went out and bought a computer and iPod. Oh well, I can afford them finally.

One caveat to those who are talking about closing out accounts: your credit score is figured in part by how long you’ve had credit. If you close everything down you severely truncate your credit history and lower your score. Then if you need credit (car loan, mortgage etc.) it’ll be harder to get and you’ll pay a higher rate. IMHO you should keep one credit card and one store card open (your oldest of each) to keep your credit history continuous.

Congrats! I’ll be there soon myself - and I’m staying that way. I cut them up & will close the accounts once paid off. I now have a healthy savings account for emergencies, not a credit card. Anything else that I want or need I save for and buy in cash.

May I suggest Financial Peace Revisited by Dave Ramsey as a great book re finances and getting/staying out of debt. It’s an excellent read - not boring or difficult at all.