Wednesday, July 6, 2016

Jumping Back Into The Credit Card Game....


...Sadly...


Contrary to what you may think, we don't have any credit cards anymore.  About five years ago, that was a different story.  We had one with an APR of 5.9% that I had racked up to a little over 32K!  I say "I" not "we" because, truthfully, it was me that did it!  Yes, most of it was stuff for the house/guppies/etc and nothing was for extravagant purchases...but I had "nickeled and dimed" us into a huge hole.  The turning point came when I received notice that, ALL users of this particular bank/card were going to have an increase in APR..to a revolving fluctuating number!  The notice assured me that I wasn't being penalized for anything (I was always on time in payments) but it was an across the board move.  The only way I could keep my low APR was to close my account.  I was beginning to read Dave Ramsey at the time and did just that!  While I haven't made the progress I would have liked, I have cut the balance on this card by a little over half.  Slow but steady progress which I hope to amp up now that Papa is working again.

So, why would we dip our feet back into potential disaster?

Papa's job.

Papa's old job had corporate credit cards so there wasn't any need for us to outlay any money for trips/conferences/etc.

This new job doesn't.

And, a few opportunities have presented themselves...

But we have to outlay most of the $$$ first!

Papa has a conference in New York next week.  When his boss told him that he wanted Papa to go, Papa had to tell him we don't own credit cards.  His boss wanted him to go so badly he told Papa he would charge it to his own card and get reimbursed by the hospital if necessary! (Thankfully, Papa was able to have a P.O. cut for the conference charge - 2.5K for just the three days without hotel!)

Plus, there is another conference in San Diego that Papa wants to attend but hasn't mentioned it to the boss yet because of our monetary situation.  But, now he can.

The hospital's turn around time with repayment is (supposedly) amazing and you get reimbursed the next pay period.  So, in theory, Papa can pay off the business expenses in full every month.

Yeah, did I mention that this credit card is in his name only and is exclusively for business/work expenses? It is the only way that we can be assured that this will work right now.

We had thought about pulling money out of our IRA and placing into Papa's checking account but we don't want to deal with the penalties associated with another early withdrawl.

So, here we are....or at least Papa is.  "Proud" owners of a credit card (((cough cough)))

Happy Wednesday!

1 comment:

  1. I think it was a wise decision. Just plan on paying it off when the reimbursement comes through. On our PA trips we use one card for gas, meals, gifts. I get cash back with this card. I pay it off each night when we are back to our room. Also keeps me on top of any fraud. (One time our cars was used at a restaurant for more than our own bill!).

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