Credit card debt

[MOMTOMOOTOO]

We try to pay off any credit cards at the end of each month. I don't know what happened but it seems I have about 1300.00 due which I will pay at the end of this month. I was totally flipped about that but its not really a big deal. This morning I am out running with a neighbor who recently moved in, I'm telling her that I don't know how I goofed and have this balance. She tells me that she has $32,000.00 in credit card debt I nearly fell down. Is this unusual or do you carry credit card debt as well?

 

[Serena]

I have a debt that I'm working on. It won't be paid off this month, but I expect it to be totally paid off within a year. Then I'll plan a trip to disney to celebrate.

 

[pirateofthecarolinas]

My husband is adamant about paying off all bills at the end of the month. I know it is for our own good but we could really use some new den furniture!

Lori

 

[Kimberle]

Absolutly not.

I charge everything on my card, but I pay it off in full everymonth.
I use "their" money to get "my" FF miles! I average about 1 domestic airline ticket per year. Got 2 just burning a hole in my pocket right now!!

 

[arminnie]

I pay mine off each month. I got caught in that trap many years ago when I lost a job. I didn't think I would ever get out of debt and swore I would never borrow again.

It is a good idea though to have a credit card you could tap in an emergency. I had complications after surgery three years ago. My disability insurer refused to pay (have since learned that is standard procedure) and after I used up my liquid saving cushion I had to borrow from my credit cards to make my house payment until my house sold.

I finally got the money I was owed a year later and it was a great bonus.

 

[katerkat]

We don't have any CC debt (we pay in full every month), but I think the average American has 7 credit cards, owing an average of $2,500 per card. That's $17,500.

 

[CJMickeyMouse]

I think I have more than the average 7, but they all are paid in full each month.

Never have carried any credit card debt, and that would be a last resort if we ever had a major crisis.

 

[my3kids]

None here.

$32K is huge! How would someone ever get out of a hole that deep?

 

[floridafam]

$32,000


We just paid off our last credit card with our tax return. I didn't think it would feel this good!

 

[WDWHound]

We once had $12,000 in credit card dept. Due to some bad financial planning on my part, we were forced to live off the credit cards for awhile. It took us 3 years, but we finally got the balance back to zero. Now we do our best to pay the entire balance every month and NEVER let a balance ride for over 3 months.

 

[ducklite]

I pay them all off each month, except one.

About a year ago, after a WDW trip and a couple of major household purchases, I got a $8000 bill. The same day I got an offer for a new card, with a fixed rate of 2.9% on balance transfers with no transfer fee. So I applied and transfered the balance.

I have the money to pay it off, but my investments are making more in interest than I'm paying to carry the balance, so I'm leveraging by continuing to carry it, and making money in the process. I'm making slightly higher than minimum payments, and unless something goes crazy with the market, I'll continue to so so. The key is that I could write a check right now and pay it off.

Anne

 

[septbride2002]

32K is alot but I don't think it is unusual for people to carry credit card balances. DH and I use to carry a balance of aroun $10,000 every month. It was crazy! But we were also young (19 and 20) and forced to live on our own. There were a lot of times Credit Cards were the only way I could get groceries. We paid them down and now only use them for emergencies and vacations (just paid off our disney trip from February).

I have a relative that has probably $7,000 in credit card debt right now with no relief in sight.

~Amanda

 

[Toby'sFriend]

I'm not sure of the exact number, but I think the average American family carries about $8k on credit cards. That number has traditionally increased about 5% each year. I haven't looked at the number recently, but about 75% of all credit accounts carry a balance from month to month.

So yes, $32k is very high, but it certainly isn't unheard of... this is especially true for the "middle class" where many people live lifestyles that cost more than their annual incomes.

 

[tkyes]

just personally, I would be sick to my stomach with a credit card debt of $32,000, I just couldn't do it. Obviously there could be extenuating circumstances involved.

We never carry a balance, we did have a balance after our wedding, but that was only $2,000 and it's been paid off for quite awhile.

 

[Dax]

I guess I am in the minority on this one...

Due to being young and nieve...I seemed to have backed myself into a $15,000 dollar hole.... I was having problems digging out...just was getting deeper and deeper...

Then I found Consilidated Credit Counsling...They were my ladder out of the hole. Now instead of being in debt for the next 30yrs, I will be out in about 4 or less....It feels great. I have cut all the cards and will NOT do it again..

I guess we all need to learn the hard way sometimes

 

[Minnesota!]

We have a balance - around $5000. I think that is a very good thing, considering we were at $15K less than a year ago. We make payments each month. Rarely do we charge something (maybe 1x a month, for like $40 as it looks better on your credit record to use it), and I have gone from 13 credit cards to just 3. My best friend just told me she is about $25K in credit card debt. They just took out a home equity loan to pay it off. And, while I think that is a lot, there are worse things. And, with my mortgage, student loans, car payment, etc., $32K is a drop in the bucket..

 

[jkovick]

I manage a credit union and let me tell you---a lot of people carry ALOT of credit card debt! We had a member that just declared bankruptcy and had $103,000 in credit card debt between he and his wife. Can you imagine? So many companies are so eager to get their cards out and many people don't realize how long it takes to pay cards back if you pay just minimums. It's sad and amazing at the same time.

 

[barbeml]

We pay our two cards off every month in full, no matter how high the balance.

Someone I know racked up around $40,000 in credit card debt--the wife was a big spender and he was not paying the bills each month (no idea where the money was going). Anyway, they were supposed to close on a house for which he had never applied for a mortgage. Day of closing, he tried to kill his wife while wearing a mask in a staged robbery (in court it came out that he figured if she was killed, no one would ever find out about the debt). She survived, but he got 12+ years without parole.

 

[teh fish]

this is why i only have one credit card. I know the limit is pretty low ($3000) but at least I won't do any damage.

Besides, I only use my credit card when I know that I have enough to pay it off. I only use my credit card b/c I rarely carry cash.

 

[Tea Please]

I'm another one that doesn't think that its that uncommon to have credit card debt that high. Depending on the day, we have managed to rack up some serious debt as well. We usually pay it off but sometimes its just not cost effective to do so. I think right now we are carrying about 14,000. Its nice to know I could pay it off, but like another poster stated, my investments are doing well right now, so the low interest is not a concern.