[Zen888]

I want to learn how to limit my credit card spending. My credit card bills are very expensive.

I use my credit card for everything:

> Paying utility bills
> Insurance bills
> Groceries
> Clothes
> Starbucks
> Vet bills for my dog and grooming
> Other things

I am on a fixed monthly income and all my income goes to paying off my credit card bill. In addition to using my credit card for the above expenses I also transfer funds from my credit card to my other accounts.

[VickiesPath]

I am no expert in finances so I am not going to give you any pointers except the following.

Look up Consumer Credit Couseling in your phone book or online. See if they have a local branch in your area. They have classes that teach budgeting and credit management. They are great people.

[sunrise]

Originally Posted by Zen888

I use my credit card for everything:

> Paying utility bills
> Insurance bills
> Groceries
> Clothes
> Starbucks
> Vet bills for my dog and grooming
> Other things

Would it be easier to limit your spending if you didn't use your credit card for all of these things? Of all those things you listed, I only use my credit card to pay for clothes (which I don't buy much of). All the other things you listed I pay by cash, check, debit card, or online payment from my bank account. Since I pay most everything from my bank account, I can't pay more than I have. It helps rein me in.

One problem with using a credit card for so much is you get socked with a huge bill once a month. If you pay as you go, from your bank account, then it is a bunch of smaller things spread out over time. And if you do get to the end of the month and have little left in your bank account, you can limit all but the essentials and put those few things on credit. Then you have a month to pay those off, but it is a much smaller bill.

Do you think that you are spending more each month than you take in? If so, you need to redo your budget, change some spending habits, or something. Otherwise, you will keep getting in the hole and have to pay the high interest rate on the credit card. If that's the case, I think talking to a credit counselor, as Vickie suggested, could indeed be very helpful.

I used to have credit cards. I was spending a lot more than I should be.
The first step. I cut all my cards with scissors. then I slicked with debit cards.

if you are on fixed income, why don't you just use your bank account from now on?
If you must pay your bills with credit cards, that's fine but you should not buy clothes or any other stuff that you don't have to buy with cash only.

otherwise the credit card limit will just keep going up and you will end up paying high interests which means more debt.

Credit cards are very tempting. and they are very dangerous.
the best advice is to get rid of them.

[possum220]

I agree with thetimeis944.

I am also on a limited income. I now use a debit card - means I can only spend what i have got in my account, but I can still transfer monies and pay bills with it.

Credit cards let you spend heaps as they are making money off you. Time for a change hun.

[Zen888]

I plan on paying off my credit card bill asap. Then trying my best to use the fixed income money to pay my expenses and bills. And to only use my credit card for essential purchases or bills. It's going to be hard thing for me to do since when I am lonely, shopping makes me feel happy but then seeing my credit card bill gives me nightmares.

[possum220]

Am i being too hard to suggest that you cut the card up now - so you cant lapse into getting highs from retail therapy? That way you can pay the card off quicker....... no more night mares.

[ZilchHour]

Well I'd suggest: BUDGETING
And budgeting in cost accounting starts from actual or anticipated income. Check whether the expenses are in accordance with your income level. While preparing budget, divide your expenses into two strata: Fixed or recurring costs such as rent, utility bills, groceries et ceteraa and variable expenses such as dinning out, or a gift. Now the varaible expenses are the hard part which disturb the credit card limit. So be careful with that.

Ragards
ZILCH HOUR

[ZilchHour]

You are welcome Zen888!

[Rhapsody]

The first thing to do is to lower your credit card limit... then work on what you are feeling when you have the desire to SPEND as a means to FEEL GOOD.

[seeker83]

Well it needs to start with budgeting your spending down to necessity only. Spend only what you make and nothing more.
Set up an automatic transfer every month from your bank account to your savings account.
Only buy things on sale.
This may be difficult at first, but it makes you smarter in spending when prices are low and thus you can save a ton of money this way.
Start leaving your credit cards at home and not taking them out with you. This is another great tactic for if you don't have a credit card on hand, you won't be able to use it.

[Naturefreak]

I was not good with credit cards . I had no problem getting credit, they kept giving me more and more and more until it got so far out of control I couldn't keep up the payments.
I just use debit now on a fixed income.