OK, Life without credit cards..is it possible?

[drummer1]

So you do this BK, You wipe out your problem and get a fresh start...you have some extra money each month...But now everything you buy has to be with cash on hand...Is it possible? to live without any credit? what if the car breaks down? what if there is an emergency? what about if you need to book an airline ticket? what if the water heater goes or the fridge dies? Tell me how you all adjusted to life without credit! This is all new to me...Thanks

[B12]

You set up an emergency fund. Our parents and grandparents did it.

[SinkingFast]

You used to live without Credit. Way back when. You did it then. You can do it now.

Yes, you can live without Credit. Lots of us here do it every day.

Like B12 said,........... Set up a "Rainy Day" fund.

Open an ING or Emigrant Bank acct that earns interest. Someplace where it takes 2-3 days to get at the money. Then you're not tempted to spend on whims.

Invoke a 24 hour rule. No more impulse buys.

Look at it. Fondle it. Lust over it. Slobber on it if you like. Then put it back on the counter and step away from the item. Go home and think about it.

If it's really, really important, you can go back and buy it later. If it's not so important,......... Think of the money you just saved yourself from spending!

[jp2861]

You're asking this question 6 weeks after you filed?

Yes, it can be done. You filed an expense sheet right? Well, cut down on some of those expenses and put some of it in an emergency fund. Thinking you needed credit is what got you/us in trouble to begin with. Adjust your lifestyle and plan to do it without credit for the first year. If you can accomplish that you'll feel much better about your future.

[kl030505]

when stuff happens and things need to be fixed, you prioritize and if you don't have enough in the emergency fund, you cut back on other things to make the first priorities happen.

Credit is CONVENIENT, it's not a necessity

[drummer1]

You're asking this question 6 weeks after you filed?

Yes, it can be done. You filed an expense sheet right? Well, cut down on some of those expenses and put some of it in an emergency fund. Thinking you needed credit is what got you/us in trouble to begin with. Adjust your lifestyle and plan to do it without credit for the first year. If you can accomplish that you'll feel much better about your future.

I know how it looks, but thats not my reason for asking, I just want to know about how to handle the future now, I dont want credit, its the last thing I want..I have learned a valuble lesson in all this..We just have to learn now how to prepare for the unknown and what may come up.

I do know so far, this feels very good, no more phone calls, sleeping better at night and the family is much more happy! When the smoke clears my wife and I need to sit down and come up with a solid savings plan....This is all new to me.

I do have people tell me however that its almost impossible to go the rst of your life without some type of credit...That last thing I want to see now is a piece of plastic..

[CATCHMEIFYOUCAN]

Its possible but if you want to rent a car, you might consider getting a credit card (SECURED). Otherwise when they will hold up a certain amount of funds from your debit/credit account.

CMIYC

[HeatherB]

I went without cc for a few years after bk. I still had my debit/visa though. I did just fine without one. It made me not purchase those "luxury" items. I still wish that I knew that my credit score would go down due to not having some sort of cc reporting. I would definitely save up and get a secured credit card. You won't be able to spend money that you don't already have that way. Plus, if you decided later on to "approve yourself" of a credit card, you will have a current card and it will show that you pay as agreed and will have more options open to you.

[ssdsco]

Found this when I googled "debit versus credit cards".

http://www.creditcards.com/Debit-Cards-vs-Credit-Cards.php

Sounds like secured credit or responsible use of unsecured credit is the best option for many purchases.

[tay666]

Yes.
It can be done.
It isn't easy, but it is possible.

We have been doing it since March.
And we have no disposable income to set aside for an emergency fund, so it is even more interesting.
At the moment we are just getting by on my paychecks.
So when those little tragedies arise it gets interesting.
In August I blew the head gasket on my car.
That knocked us down to one vehicle. Rough, but not horrible.
I work 3rd shift, and my wife goes to school during the day, so we could both still get where we needed to go while I save money here and there for parts to repair my car.
2 weeks ago the motor blew on my wifes van. (not surprising since it had 250,000 miles on it. It was a cheap vehicle I found when her car got repoed in May)
That made thing really tough.
She is now driving our son's car to school (he works 3rd also).
I'm driving a borrowed truck to get back and forth to work.
It's a piece of crap, burn oil, and has a horrible exhaust leak. But it gets me the 10 miles to work and back, and my best friend was nice enough to lend it to me indefinitely.

Why did I just tell you all that.
To illustrate that no matter what happens, you can find a way to make things work.
It may not be pleasant. But you can make it work.
Sure, a CC would be nice to get the parts I need. But then I would owe money that I can't repay, and would be adding interest on top of it.

When we finally file and get through our BK. And get back on our feet, I do plan on getting one card. Because it is handy for things like making hotel reservations and stuff like that.
But I don't intend to use it, unless I can pay it in full at the end of the month.

[$$only4ever]

The last time that I used a credit card was 12/30/2004 and I am living without them just fine. I never want another credit card again. I have set up an emergency fund and that account is strictly for emergencies. I have stopped any impulse buying and if we need to make any kind of major purchase, we just work that into our budget. Sure, you can't buy stuff right at that moment, but eventually you will be able to purchase what you want. But the best part of using cash is that you never have to fear going to the mailbox again. No monthly bills.

I have also decided that even my bankruptcy is discharged, there will not be any credit cards. Who needs them?....who wants them?

[keepmine]

I'm 2 years post bk filing and I'm doing just fine with a checkbook and cash.
If you find you're unable to save money, the solution is obvious. You lower expenses and, raise your income. Get a better job or, find a pt job.
A year or so after I filed,I got an offer from HSBC for a cc. No annual fee and a nosebleed apr. I was approved with a $2K credit limit. I use the card for gas and groceries but, I have a selfimposed cutoff of $100 worth of charges/month. I pay in full every month. You will get credit post bk-doesn't mean you have to use it.

[chpxiii]

Disclaimer: when I use the word "you," I mean in a general context and am not referring to anyone here or anywhere specifically.

It's called living within your means. If you want something, you have to save. It can be done. It just means delaying gratification. Save money for emergencies. If you can't save money, it probably means that you need to cut back on expenses and increase your income. If you can't buy something you want (I'm not talking about emergencies) with cash it probably means you can't afford it right now. Learn to budget and keep within it. And part of that budget is a savings - for emergencies and future purchases.

Yes, it can be done. People do it everyday. Even people WITH credit.

[BKOnce]

Doesn't matter with CC or without CC. The right word is ==>> "SELF_CONTROL".... .. after BK...

[howie789]

i would like to have cr/cards for emergencies- i swear i will never run them up again and not do the "minimum pay thing" every month-- i can't believe how that adds up- only paying the minimum- thats how i got into this f'ckin mess...