I have a like/hate relationship with my credit card.
I like the convenience of having access to my credit line at a moment’s notice. It does make larger purchases a little simpler, in a way.
But I don’t like making the payment. It feels like I’m paying twice for the same purchase.
We used credit to rent our moving truck, since if I gave them my debit card, they’d put a $400 hold on the account. I don’t keep much money in my checking account — just enough to get us through the month’s purchases — so $400 would be too much.
I then used my credit card when I bought some cloth diapers. I could have used my debit, but in that particular situation I felt more comfortable with using the credit card.
And then, I bought a set of tires. I got the tires, installation, allignment and some windshield wipers for around $475, which is a touch under the $500 budget I established.
[Not-so-fun fact: If you get your tires re-treaded, don’t charge it to your credit card! It’s a red flag to credit card companies, according to Living Well on Less.]
Next thing I know, the balance on the credit card is inching its way toward a thousand bucks. What. The. Heck.
I didn’t mind paying for the purchases, but paying that credit card balance feels different to me.
It adds up all my purchases and gives me one giant bill that feels a lot worse than if I just paid for it once and was done with it.
I’m paying it in full, and since it’s a rewards card we’ve earned a few dollars toward a cash-back reward.
Also, periodically using the card helps keep our credit scores high. We’ll want our scores in the “you are super-neato!” range when we set out to get a mortgage in the near future.
I guess I should stop whining about credit cards. I don’t have to use them. And, I’m fortunate that I can pay the balance in full. That wasn’t always the case for me.