Do not use credit cards!


Today is Frugal Friday at Biblical womanhood and I wanted to share something with you. When you get done reading here, click on the link and go to Biblical Womanhood for more ideas.

Many years ago I made a mistake that I realize now many are making. In an effort to be frugal I would see things on sale and buy them using the credit card. I was “saving so much money”, or so I thought, that it was worth it to get it even though I did not have the cash.

What happened next was the bills came in. I was new to credit cards and did not realize how much that purchase was costing me. Way more than full price till it was paid off! Cards that allow you to transfer funds at 0% interest often charge a lot for spending that is not transferred. They then take the payments off the 0% interest first and you are stuck paying interest for that sale item until you get the rest of the balance off of there.

Do not use cards to save money! Not unless you pay them off as soon as the bill comes in, then it may work. I say may, because many cards are now doing 2-cycle interest, in which the interest is carried over for two payments and there is no grace period.

Frugal ladies, keep the card in your purse and use cash, or you are not being so frugal.