I'm a fashion blogger who doesn't use credit cards | Suger Coat It

You know what, I think it’s very important that I say this here. Hubby and I talked about it at length one night. You see, when we met I had a little ‘thing’ for credit cards. That little thing had got me in some ‘big’ trouble. I had almost $15,000 on credit and store cards and had applied for two more online. I thought to myself, why not? I had a house, was paying down a small mortgage on it and always had some sort of job. What’s a little credit card action going to hurt, right?

Wrong.

I met Hubby, the super saver and on paper I look like a pretty good bet. I owned my car, I had a house with at least $50,00 equity in it, I was young with decent earning potential and a teeny bit of money in the bank. But that was a lie. Pretty soon the cards started to back up on me. This one got maxed out, this other one went into default and transferred the entire balance to 30% interest.

I started to sink below the weight of the repayments and then my hours got cut. That $15,00 in credit started inching towards $20,000. I freaked out. Hubby, recently engaged to my person and talking buying a house with me, freaked out too. Borrowing would be almost impossible with that amount of cards hanging over my {our – now} head.

Credit lesson learned.

It took us over a year to pay that money back. Almost two actually. It took budget’s and plans. It wasn’t easy. For me, it really was like breaking an addiction. I’ve quit smoking and sugar and giving up my credit cards was harder. We followed a method commonly found on the internet, in books and pretty much everywhere*.

First, we cut the cards up and stopped using them. Not a single cent more went on those cards. We made the minimum monthly repayment on all cards, every month, no question. We transferred balances to low-interest cards with no fee’s where it make sense to. Then the real work started and this is how we did it.

Then we took a $200 a week {it can be any amount you like, we had good jobs by this stage so committed more} and put it on the card with the biggest interest rate/highest cost weighing in penalties and all that. So we were paying $800’is + the monthly repayment on that card every single month. Soon it was paid down and the account closed.

Then we took that $800’ish a month, plus card 1’s monthly repayment and put it on the next most problematic card. The idea is that it would get paid down that little bit faster and the one after even faster and so on until all the cards were cleared. Closing each account as we went soon we were left with none.

Thank goodness!

Hubby now has a single card he used as leverage to open his business last year. A low-interest card it made more sense than taking out a business or personal loan. That small card will be paid off this year. Credit isn’t a bad thing, as a real estate kid I encourage people to borrow all the money in the world for investment purposes.

But the thing you have to remember is that you can only call it an investment if it makes you more money at the end of the day {thanks Rich Dad/Poor Dad}. And as much as I love my wardrobe, second-hand, clothes are worth diddly squat. So let me get to the guts of sharing all of this. Shall I?

When I show you great clothes, talk shoes and accessories, I want you to consider not buying them if you have to use credit. Consider a wardrobe challenge {shop your wardrobe, you’d be surprised what’s in there if you’re anything like me} or ANYTHING ELSE. Clothes swap, trade, borrow or save up for it. You know, old school. Haha.

I encourage you to start to pay those cards down. Sooner rather than later. Cut those cards up and stick to your debit card. Only spend money you have. I think you enjoy the purchases more when you do. Well I know I do. Just give it a go, try not to add any more to your account.

So will you accept my challenge? Are you already credit card free? How did YOU do it?  

* Dudes, I am not a financial planner. I am not a professional debt consolidator or anything like that. I just slogged my guts out to pay some stinking cards off and wanted to make sure that I tell every single person possible NOT to use them. Like, ever. Also, no judgement if you have cards, there are people out there who maintain them responsibly and use them the way that they should be used {you know, like pay off the entire balance every month or only in emergencies and the balance is cleared soon after}. I’m not one of them.