I'm in serious debt with credit card
By jilshi
@jilshi (271)
Malaysia
January 4, 2010 11:13pm CST
Please help me and advise how to manage financial in better way. I spend money in credit card monthly more than my salary. My salary is not enough to pay for the credit card debts. As the result, the interest in credit card accumulate. For your information, i am shopacholic and could not control myself to buy beautiful dress, shoes, accesories, handbags and etc.
How can i earn more money to pay all the credit card bills?
7 responses
@lelin1123 (15595)
• Puerto Rico
5 Jan 10
You need to get rid of the cards first of all. Keep only one for emergencies. The other thing you can try to do is call the credit companies to see if you can work out a deal where they will cut the bill in half for you. My son-in-law just received a letter from a cc company that instead of paying 1200 dollars he could pay 800.00. So they took off 400 hundred dollars from his bill. If you keep shopping you are only going to make it worse for yourself and you will never get out of this deep hole you have dug for yourself. Good luck to you.
@daliaj (5674)
• India
5 Jan 10
You should be very careful about spending money. I am also fond of beautiful dress, shoes, and especially handbags. But, I don't buy anythign without seeing my balance. Always make plans for the month and spend according to that. Please control your shopping and write down daily expenses.
Decide on the amount you will spend in each month. It should be less than your salary. Divide that amount by 31 and find how much money you can spend each day. Then, write down the expenses each day. Make sure that you don't spend more than your limits. Work hard online to earn some money. But, I don't think online earning can help you much.
@vinslounge (1295)
• India
14 Jan 10
Thats really good idea daliaj.. You have exactly mentioned what has to bve done inorder to make a perfect saving. I too follow your method but in a different manner. I always used to deposit 15% of my earnings amount in the saving list and the rest of the money I use to spend for many purposes. But I never follow the divide amount by 31 and other things( But what you have said to divide the amount by 31 is really an excellent one) and spend the rest according to my will. But once i get the month's salary I used to depoosit 15% in savings. Sometimes I ended up in facing a shortage by spending the remaining 85% of the money quite lavishly but I never borrow any money and willsomehow help myself with the remaining small amount I have for the rest of the month. Have a great and lovely day. Cheers:-)
@cutepenguin (6431)
• Canada
25 Jan 10
If you still have the nice things you bought, you could sell them online or in a consignment shop to help you pay some of the debt off.
I think the Dave Ramsay plan might help you. You basically have to:
sell what you can
save every bit of money.
While paying minimum payments, save up an emergency fund so that you won't need your credit cards
then, pay everything possible at your credit cards.
@Downwindz (2537)
• Netherlands
13 Jan 10
The problem with Credit Cards is you do not have the money in your hand and therefore have a different view on cash. Instead if you know how much you can live for on a month, the maximum amount needed, you go to the bank and withdraw what is allowed either the whole for the complete month or just devide it into 4 so you are allowed to withdraw 1/4th of the amount once a week of the total monthly amount.
When your wallet is empty friday but you may not pick up more money before comming monday, to bad, you could have planned your purchases better. Eventually you should learn to control your money better and therefore do not have to get rid of the credit card based on previous experiences.
If that is not a way you think it works out, then yeah cut over the credit card and do not ask for a replacement.
I can also recomend yout he movie "Confessions of a Shopaholic" :)
@StevenZhu (198)
• China
5 Jan 10
Hi jilshi, just regard my words as a joke. Once I watched the TV program "friends" I noticed they broken all credit cards to abolish buying all kinds of stuffs even they didn't need them.
@burrito88 (2774)
• United States
5 Jan 10
You might consider selling some of your things. It may be necessary sacrifice some items to get things back under control.
