How did you feel when you stopped the credit game?

[Phillymanhere]

I would love to hear from other folks on their experiences when they finally stopped charging things.

I stopped paying creditors at the beginning of April. It's great to be using cash, but I see how twisted I have been with credit cards as my brain is still struggling with the notion of spending within limits.

Also, though I have run numbers in preparation for chapter 7, still I have been shocked to see how little money I have left over at the end of the month. I'm paying no creditors and I've got two weeks remaining and it's going to be tight.

This experience has reinforced my desire to trim expenses even further and to figure out ways to make more money. And it's brought to the fore just how much in denial land I was to think that I could keep up playing the credit pin-ball game of using one card to buy items while saving cash to pay debt. How lost I have been!

Anyway, I'm excited and fired up and feeling really eager to rebuild my financial life, but I'm curious: what was it like for you when you stopped paying creditors? .... Was there a kind of de-tox (de-debt) process?

Thanks ahead of time.

[keepmine]

I felt pretty good when I stopped the credit merry-go-round.
It is a reality check about exactly what it costs to live without pulling out the plastic.

[MaxedOut]

We stopped at the end of Dec and I prefer to pay cash.
It felt really good knowing that I was not going to have to pay back what I was spending. I will never allow myself be dependent on credit cards ever again. It feels great

[$$only4ever]

I stopped charging in December 2004. The best part paying with cash is that you never receive a monthly statement.

[lillaimof2kids]

We had always used cash, then DH's business started failing. He went 2 years with barely no income ($6000 income for those 2 years combined). I only make mid 20's annually, so it was impossible to survive without cc's. But now things are back on track, the business is history and he has a full time job. It's SO nice being able to pay bills every month + go to the grocery again and not worry about bouncing checks!

[justplaintired]

Knowing that what we are buying is being paid for with cash feels awesome! CC life stopped for us on Jan 18th of this year.

I actually sometimes get excited knowing we have to use cash, that I can say to my DH we can't afford that right now, maybe next week and knowing he can't scream at me makes me smile.

Yep, I'm thrilled to be off that merry go round with cc too!

[FLBK7]

Four years after discharge I still get a kick out of paying cash/debit card for just about everything. Sometimes I charge major purchases (car repairs, home repairs, home appliances) and pay them off in 2 or 3 payments rather than raid my emergency savings funds. There are periods where all my credit cards have zero balance and then I remember that I can be penalized for lack of use, so I force myself to charge a tank of gas or something. I also remember to "rotate" cards so each one reflects recent activity when they report to the CRA's.

The feeling of not owing money to anyone except for my mortgage holder is, indeed, priceless.

[CindyLou]

We recently made a couple of major purchases (well, major enough, anyway...) a TV and DVD player for our bedroom and then a couple of months later a new computer. I used the debit card for both and it felt GREAT!!!!!!!

Philly,
As time goes on, it will be a little easier. You are still in that transition phase right now. Hat's off to you for making the step!!!

[lrprn]

Credit detox is a great description! LOL! That is what it felt like for us too.

Five months before we filed, hubby and I made a pact that we would write down every penny we spent while I kept very close track of our finances (bills, expenses, etc) in Quicken. It was sobering to find out how much we were REALLY spending and on what, but liberating at the same time because finally we were able to use real-time data to figure out where to economize and make sounds choices about the best ways to spend our limited funds.

We've been on a cash-n-carry lifestyle now for 2 1/2 years and we have a firm control of our finances for the first time in ten years. It's a great feeling to save and scrimp together for something we need, then pay cash for it and own it free and clear!

We knew that until we learned to do this right, we would be in danger of slipping back into old bad habits. Now every weekend we sit down for a half hour together and put everything into Quicken, run reports, etc. Both of us know exactly where our money is going and that is one powerful feeling! Now the budgeting habits are so ingrained, we were saying the other day that after Ch 13 we intend to keep right on going!

[pd1373]

It's been a bit surprising (and slightly discouraging, to be honest) to realize how far our money doesn't go now that we're off credit cards. We're still in detox. I think I'm a little further along than the wife so far, but I think she's starting to come down off the high of unmanaged spending now. We need to work harder to lock down our budget and keep our spending within it, but we're getting there. It's not easy. We're getting there slowly.

It's a little harder because we just built our house, which is what finally sent us over the edge, and we're going to reaffirm and keep it so we'll be "house poor" for a while yet.

Still, I feel good about it. Less tense. It's always a relief to walk to the mailbox and almost never see a bill.

[kl030505]

I had stopped using the cards for a while before I stopped paying them, but in general being able to say that we have financed absolutely NO purchases in the last 2+ years has been great. And, to be truthful, the only purchase I intend on financing ever again will be a home. Other than that, it's going to be cash all the way, though I will make use of credit to rebuild the scores, I'll just pay off balances before the end of the month.

I'm doing a detailed monthly budget before the start of each month and since we use our debit cards for basically everything, I track how much we are spending and earning at the end of each week to make sure I stay as close to the budget limits as possible. I'm working on making sure we have a very healthy savings. I have a budget category for "fun $" and we each get a certain amount in cash at the beginning of the month to spend on what we please - a new shirt, coffees/lunches out, etc, but once it is gone, it's gone until next month. This way we each feel like we have a little freedom to splurge, but it doesn't get out of hand. It's been the single best budget move I've made because we no longer feel like we are pinching every single penny. We each get $50/month, so it's not much, but man does that $50/month make me feel rich!

[Teddy]

cool thread!

I just filed not quite a month ago and I am still in the cc way of thinking. It's weird.

I need things and I still don't really have cash b/c of paying the attorney. My mind thinks darn it, I need my cc's. But, I've been making due (what choice do I have?).

My car is going to need tires and I'm already thinking that I'm going to have to save money for a couple months to pay for them. It's such a different way of thinking.

I want a laptop, I will have to save money! I'm one who wants the instant gratification and it will be hard saving for things I want right now.

[sharksfan]

My DW and I are in detox, though it is getting a little easier. It's nice whipping out the BoA visa DEBIT card when paying for groceries.

I do feel weird about 3/4 of the stuff we own... knowning we are never actually going to pay for it.

[mikep]

I just recently filed and the thought of using a cc makes me sick.It's not that i just went out and got myself in debt.Job loss lead to my situation.

[bal_ny]

I'm also having a rough time.
Haven't filed yet but I've retained an attorney and will file in the next couple of weeks.

The hard part for me is not having an instant flow of money even though I'm not paying my CCs and loans. Granted, I'm paying the attorney, had an expensive car repair last month (oh, that I'd decided to let it go BEFORE paying $400 ), and had to buy heating oil recently. I *know* where the "extra" money has gone. But it's really hard being totally broke and not being able to fall back on my cards. I even overdrew my checking account by accident - which has never happened before. I'm just not used to having no emergency source of funding.