How to Reward yourself with Responsible Credit Card Spending

Written by admin on February 10, 2010 – 11:37 pm

Do you want to make the change to responsible credit card spending, but you simply can’t find one good reason to stop spending recklessly on your credit card? After all, you are still able to pay the minimum payments on your credit card, so there’s no problem, right?

Well, not so fast. Your manageable credit card habit may be controllable now, but what will your situation look like in the future? Consider whether you would be able to pay your credit card bills if you lost your job tomorrow. Also, consider how long you can continue to pay only the minimum payments on your credit cards before the cards are maxed and the finance charges begin to take over. Finally, consider how many years it will take to pay off just one of your credit cards if you continue to pay only the minimum payment.

Although many of us don’t want to face these realities, the fact of the matter is that we must deal with them head on if we expect to learn from our mistakes and move forward toward a more financially responsible future.

Better yet, start rewarding yourself each time you make a responsible credit card decision. Here are a few tips to get you started towards your financial goals:

Each time you pay for something in cash instead of credit, calculate the amount of interest you would have paid on that items and take that money and put it into a special savings account. Stay diligent and continue to do this until you have worked up to a specific savings goal. Then, take your saved money and purchase something special for yourself!

Instead of paying just the minimum payment on your card each month, strive to put at least $20 to $50 more. You will be surprised to see how much quicker your balance shrinks just by putting a little more money towards it each month.

After you have paid off your credit card, take the money that you used to spend on monthly payments and instead direct it into a savings account and watch your savings grow!

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