“No man’s credit is ever as good as his money.” Edgar Howe, author.
Let’s see if you could pass this experiment. Take all of your credit cards, put them in an envelope, and put the envelope in your freezer. Do this for two months. Ouch!@!@!
What’s the point you may ask?
1. To practice paying for what you want with cash or a check.
2. To show you how much you can save when you stop using credit to live beyond your means.
3. To prove that with a credit card you spend more.
A study done at a university entitled: Leave home without it, showed that people who bought with a credit card where apt to pay up to 100% more on items that they bought.
When people buy something using a credit card they rarely think about whether or not they have the cash on hand or in a bank account to pay off the entire amount they are charging.
Let’s say that you are going to the mall to buy a $30 dollar pair of sneakers (which are on sale) and you have $35 with you. You buy the sneakers and have $5 to buy a small lunch (shopping makes you hungry!).
Let’s say instead of going shopping with cash you go just with your credit card. Same item to purchase; the $30 sneakers on sale. While you are in the store they just happen to have a special which is buy two and get the second half price. That’s an extra $15 you where not anticipating spending but your saving $15 right? Wrong , you now have another $15 in credit card debt.
If you are strong enough and determined to get out of debt, try this experiment.
You will be glad you did!
Jacques
CreatingWealthThatLasts
1 comment:
Jacques, you are so right. We tend to get in over our heads with credit cards and other debt. OH it's only this much a month.Then you add another this much a month. Nothing left and a lot of bills to pay each and every month. We have to put a stop to it you are so right.
Dan and Deanna "Marketing Unscrambled"
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