Finally learned my lesson

PM22

Hi,

I have been in debt since the age of 18. I am 49 now. I am paying off a DMP with 6k left.

I have 5 credit cards, all with a 0 balance.

I log on every day and it fills me with joy to see a 0 balance. I use them but pay them off in full every month so I never pay any interest.

This is my 3rd and final DMP.

I'm so happy to have finally learned my lesson.

grumpy_codger

Well done!

eskbanker

PM22 said:

This is my 3rd and final DMP.

Not trying to rain on your parade but presumably when you were in the first and second ones, you wouldn't have intended to get into another, so what in particular has changed this time?

Brie

Along with eskbanker and no doubt others I'd love to know what's inspiring you to go the distance.  It can be greatly encouraging to others just starting their journey to know that success is possible and how they might achieve it.

Meanwhile  - let's all have a little happy dance!!!

PM22

Thanks guys. I'm not even tempted to o overspend at Christmas x 

diveunderthebonnet

PM22 said:

Thanks guys. I'm not even tempted to o overspend at Christmas x 

Could you not get rid of some of your cards to reduce temptation?

PM22

I thought it would help build my credit if I occasionally spend on them and pay it off same month?

eskbanker

PM22 said:

I thought it would help build my credit if I occasionally spend on them and pay it off same month?

Yes, that would start to demonstrate an ability to manage credit responsibly.

CliveOfIndia

PM22 said:

I thought it would help build my credit if I occasionally spend on them and pay it off same month?

This is a good way to start building a favourable credit history.  Just to clarify, for maximum benefit you need to wait until your statement is produced, then pay off the full statement balance.  Don't pay off your spending as soon as you make the transaction.

And hopefully it goes without saying, but do make sure you always repay in full every month, without fail.  Ideally set up a Direct Debit for the full statement balance 

BethRobinson

CliveOfIndia said:

PM22 said:

I thought it would help build my credit if I occasionally spend on them and pay it off same month?

  Just to clarify, for maximum benefit you need to wait until your statement is produced, then pay off the full statement balance.  Don't pay off your spending as soon as you make the transaction.

What difference does this make?

eskbanker

BethRobinson said:

CliveOfIndia said:

PM22 said:

I thought it would help build my credit if I occasionally spend on them and pay it off same month?

  Just to clarify, for maximum benefit you need to wait until your statement is produced, then pay off the full statement balance.  Don't pay off your spending as soon as you make the transaction.

What difference does this make?

There's only a benefit in credit building terms if there's evidence of debt being repaid on time, but paying it off pre-statement would conceal the fact that any debt had been incurred at all.