Debt and other annoyances
OK, so that’s not the Uncle Pennybags graphic I wanted to use, but I couldn’t find the one where he’s pulling his pockets inside out, that would better explain my situation. Thanks to jX for finding the right image for me! And no, I’m not broke, I got enough to get me by until my next paycheck, and I had a big argument on the phone with a HSBC rep (For my Best Buy card). I think two of my biggest mistakes in the past couple years was getting a Best Buy card and a Sears Mastercard. I used to be able to pay them off fine, but ever since I moved into a more expensive apartment they’ve had to go to the wayside a bit so I can take care of the more important bills. I used to be able to make $40 or $50 more than the minimum on each card (which for the Sears card would keep my balance low, and they would increase my credit limit, which fell me into the trap of “ooh, I can spend more”). Right now I’m trying to work with these guys to get it paid off as painlessly as possible, but it seems like they give you very few options, and the past couple people I spoke with gave me incorrect information. Oh, and NEVER EVER do checks over the phone. It doesn’t work, even if they waive the fee, don’t do it. Learned that the hard way.
Anyway, the plan is once I pay off the Best Buy card, I’m cancelling it, and once i pay off the Sears card I’ll either cancel it too, or keep it for emergency situation. Although I may cancel it and get a card through my bank instead (Especially since it can be used as an overdraft protection backup). It’s nice to have a backup, but these fees are killing me and I’ve got to worry about other things.
Such as learning to drive. Yeah, I can’t seem to be able to get this done. It seems very few people want to help me with this, but I got a few options, it’s just whether I can depend on them or not… and that’s the hard part.
More to come…
October 18th, 2007at 10:22 pm
Careful, Sean. If you use your bank’s credit card as an overdraft protection loan, that essentially becomes what is called a “Cash Advance loan” which is entirely different than an overdraft protection loan.
The difference is this: When you buy something with your credit card, you get charged interest per month on whatever the balance is at the appointed time, right? right.
But a cash advance begins to charge interest the day you take out the loan and COMPOUNDS daily, meaning the interest from yesterday is added to the balance that is used to figure the interest charge for today….which will in turn be added to the balance which will be used to figure the interest for tomorrow, etc.
Another way Cash Adance Loans are used is to put your credit card into the ATM and take out cash, and charge it to your card. Sounds great except this comes as a price too heavy for most people to ever pay.
A really bad way of borrowing money. This adds up to be in the hundreds REAL quick. Avoid this.
If you want an overdraft protection loan, then just ask for one from your bank. We have a $500 ODP Loan from our credit union that charges some minimal interest rate when I use it. And I can transfer money from that account to my checking or savings account to save my butt when I have accidently overspent.
But do NOT use a credit card as your overdraft protection loan. This is a very bad idea.
And if it sounds like I have personal experience with this, then you’d be right.
October 18th, 2007at 10:26 pm
And if you want to learn to drive, I can show you. I am very patient and would love to help you if you want. The trick will come in finding the time away during a time that you would have off as well.
November 5th, 2007at 8:16 pm
It is also important to note that cash advance companies rarely loan the maximum amount the first time you apply. You have to get one of these loans so that the company knows that they can trust you and then, when you need it, you can apply for the higher amounts. Ultimately it is no solution.
December 3rd, 2007at 6:56 pm
till payday loan help payday php loan till
December 3rd, 2007at 7:12 pm
loans hom personal unsecured loans personal unsecured 100?financing
December 7th, 2007at 7:09 pm
settling credit debts card credit you debts card
December 19th, 2007at 9:15 pm
Hey. Do you update anymore or what :P
January 13th, 2008at 11:18 am
Don’t let debt get you down. There is help out there. The best resource for hundreds of informative helpful articles and references is at http://www.debt-support-center.com Go and have a read. Its free !