Current Events > How much credit card debt do you have?

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CE_gonna_CE posted...

~$120-130k or so

Damn I hope that's a joke.

@ $25000+, Jesus how??

CE_gonna_CE posted...

~$120-130k or so

???? how on earth

DKBananaSlamma posted...

Usually like $1000-$1500 every month, but I pay it off in full >_> But a good chunk of that is actually business expenses for work that I get reimbursed for too. I put it on my card so I can get the points lol

Smart

Like 800

Its wild to me to not always pay your CC bill in full every month. I would have anxiety knowing there's a debt hanging over me.

12K. Sounds like a lot but it used to be a lot more. I'm only about 18 months into the first good job of my life. Paying off student loans which are about another 6K so interest is kicking my ass a bit on the cards.

Seems like everyone itt has generational wealth or good ass jobs

$0. I pay my balance off monthly every time.

Some people are overreacting to the horrors of CC's

The problem isn't CC's, but the users' own habits.
A bit of an extra step to check into your bank account to pay off routinely, but if you're not even checking your bank account weekly, I don't know what to say to you. Rewards are nowhere close to life-changing but they can rack up better than just a regular savings account and more conveniently accessible than pulling from an IRA, which IMO you don't want to really pull money out of anyway.

I have never carried a balance. I love the free money that credit card rewards offer.

Around $5000

I always pay mine instantly, Im not paying for whats basically a late fee.

ItsNotA2Mer posted...

Interesting, I'll need to research this. Thanks for the info!

He's right. I never carry a balance either and also have a score in the 800s. I figured out how to game the system a few years ago and went from 650 (dropped from 710 when I opened a medical credit card to get basically LASIK) to 800ish. Highest I've been at was 817 or so. Things that matter for your credit score are:

• average age of all accounts (so opening a new account lowers your average age which brings down your score a little; once I pay off my last student loan, my credit score will actually drop since it's one of my oldest accounts)
• Amount of total credit (receiving a credit line increase on your cards will boost your score)
• Credit card utilization (the lower the better with 0% being the best. If I forgot to pay it off completely or get a charge right before the statement date have something like a $20 statement fee when the previous was 0, my score drops a little)
• Collections (this hurts your score a lot. I found out I had like $90 in collections from some medical bill I wasn't aware about years ago...paid it off and my score went up like 10-15 points...I'm sure it'd be even more for people with higher debts)
• Hard checks (the more hard checks, the more they hurt your score. I think they typically take 2 years to get off your record. Each check would drop my score by 1-2 points. I got 5 checks at once the first time I bought a car)

I'm sure there are more, but that's the gist of it.

• Amount of accounts (more accounts is better)

I pay my single credit card off every couple days (after everything has settled) and haven't paid interest in the decade I've had it.

Will_VIIII posted...

I pay my single credit card off every couple days (after everything has settled) and haven't paid interest in the decade I've had it.

This is the way. I've had my Capital One Quicksilver card since 2017 and still have paid 0 interest since I've had it.

Usually around 1000 a month that i pay right off

600 atm. Right now im in an interest free period on my card so i don't mind under 1k debt.

Jupiter posted...

Collections (this hurts your score a lot. I found out I had like $90 in collections from some medical bill I wasn't aware about years ago...paid it off and my score went up like 10-15 points...I'm sure it'd be even more for people with higher debts)

Oh... :(

Around $1,000 right now. Ill be able to pay it off over the next few weeks. Probably wouldnt even have it but my life is awesome and I owed a lot for taxes

Card limit of $25k, balance is always paid off in full every month. Usually $400-800.

spriga posted...

Damn I hope that's a joke.

pretzelcoatl posted...

???? how on earth

Its not a joke. The vast majority of it comes from 0% balance transfers. I have enough cash on hand and/or assets I could liquidate to pay it off, but theres no sense in doing that before the promotional 0% period ends since its incurring no interest.

There are a couple cards I use regularly for daily purchases and whatnot which I do pay off in full monthly as to not incur interest charges, but the 0% stuff stays out there and I just pay off the balances in full at the time when the promo expires.

Been doing this for the last 10 years or so at least.

8000. Most of it is because of dental bills and replacing stuff that was lost when we moved. Were paying it down pretty quickly though.

CE_gonna_CE posted...

Its not a joke. The vast majority of it comes from 0% balance transfers. I have enough cash on hand and/or assets I could liquidate to pay it off, but theres no sense in doing that before the promotional 0% period ends since its incurring no interest.

There are a couple cards I use regularly for daily purchases and whatnot which I do pay off in full monthly as to not incur interest charges, but the 0% stuff stays out there and I just pay off the balances in full at the time when the promo expires.

Been doing this for the last 10 years or so at least.

So you're paying off the 120k soon? Or transferring it again.

spriga posted...

So you're paying off the 120k soon? Or transferring it again.

Mostly transferring. Ill likely pay down a portion with bonuses Ill get this year, but I have to look at all my debts (including house & cars) all together and apply any excess cash there is against highest rates first before using it against the credit cards.

I definitely dont recommend my approach to everyone. Since Im a CPA/accountant and know how large businesses manage debt, I am good with it and also have an Excel schedule that keeps everything on track and I dont miss payments.