Comments on: Creating My List Of Financial Priorities

By: The Success Professor

The Success Professor — Sat, 19 Jul 2008 14:08:23 +0000

One reason why you may do well with or without using a credit card, is because of your previous priority – to live within a budget. That means that you are paying attention to what you spend money on and won’t spend extra simply because you are using plastic.

Most people spend more money when they are using plastic. I have read studies which show that people spend an average of 18% more when they use debit cards, and 28% more when they use credit cards. Any form of plastic creates an emotional detachment from the spending.

By: Darin

Darin — Thu, 17 Jul 2008 16:33:45 +0000

Good stuff here! My wife & I have what we call a WSA (Working Savings Account). We figure 200.00 a month to buy a car in the future, 100.00 for car insurance that will come due, 100.00 a month for maintenance on each vehicle, 100.00 a month for plane tickets to visit family, etc). The account goes up & down, but actually slowly is going up. What we’ve found is that many times there is actually money left over in the checkbook at the end of the month so that if we need 100.00 for some car maintenance we don’t actully have to take it out of savings. We paid off our final credit card July 1st which is a GREAT GREAT feeling. We never ever ever what to do the “borrower slave to the lender” thing again.

Blessings, Darin

By: Mark

Mark — Wed, 09 Jul 2008 13:43:12 +0000

I wouldn’t get hung up on not using credit cards, I use credit cards when travelling abroad because they reduce risk and are the most convenient way to pay. What I dont ever do is allow any debt to roll over, so I always pay the debt off before any interest is due using a direct debit from my current account.

However I agree completely with the drive to live debt free – good luck.

PS.The landlord insurance will cover the buildings but not the tenants belongings which would need to be covered under a seperate tenants insurance policy.
M

By: Debbie M

Debbie M — Mon, 30 Jun 2008 21:47:44 +0000

Wow, I categorize things very differently in my head. Here’s my list.

Vital: eat and drink daily, take care of health issues, don’t spend money on stuff I don’t want, don’t steal

Very important: live indoors, have fun

Important: live within my means, don’t depend on others (borrow), save for big goals (such as my next car, my next computer, vacations, the annual insurance bills, future health issues, etc.), help others

Cool: own fancy toys I don’t need (e.g., car, computer, cheese grater), eat yummier food than I need, wear prettier clothes than I need, retire early

By: Erica

Erica — Sat, 28 Jun 2008 05:04:42 +0000

Great advice! These are things that everyone needs to be doing, but it continually amazes (and horrifies) me how many people don’t understand them.