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-   -   How much credit card debt do you have? (http://www.mothering.com/forum/312-frugality-finances/1373001-how-much-credit-card-debt-do-you-have.html)

LoveOurBabies 01-23-2013 11:14 PM

I keep reading that the average credit card debt per person is around the 8k mark. That sounds a little high to me..

 

So how much in credit card debt do you owe? I've split the poll into two different categories (single account holders and joint account holders) and each has their own sub category.

 

I hope this poll is anonymous. duck.gifIf not, mods, could you please make it so?


bmcneal 01-23-2013 11:21 PM

I, personally, have no credit card debt. I have some student loan debt, and a loan I took out that I'm paying on, but no credit card debt.


phathui5 01-23-2013 11:39 PM

None.

onlyzombiecat 01-23-2013 11:50 PM

None.

I didn't vote because neither dh nor I actually have credit cards and haven't had them for years.


LoveOurBabies 01-24-2013 03:21 AM

That is SO freakin' awesome to see that three mamas in a row have no credit card debt!! biggrinbounce.gif broc1.gif Well done bmcneal, phathui5 and onlyzombiecat! clap.gif
 


SunRise 01-24-2013 03:54 AM

I have 0 credit card debt too (for the past two years). I selected the first option - I do use a card for certain purchases that are budgeted for and paid off each month.

At one time I had upwards to 20,000 but paid it off. I had carried an average of 5000 but had told myself/fooled myself with that amount knowing I could easily pay it off with saved money I had; eventually I realized that getting rid of it completely and forever was the way to go.


EmsMom 01-24-2013 03:54 AM

No credit card debt here.  I use mine for everything for the points and pay it off every month.
 


orangemomma 01-24-2013 06:24 AM

$8K sounds about right to me. I have LOTS of cc debit as well as many people I know have similar.  I am trying to change that - recently discovered Dave Ramsey and am trying to work his steps.

 

Maybe I should hang around with some of the PPs for inspiration instead of my usual friends. LOL


LoveOurBabies 01-24-2013 06:29 AM

My goodness! blush.gif More mamas with very little to no credit card debt! Well done SunRise and EmsMom joy.gifclap.gif I am seriously in awe of the fact that you paid off $20,000 worth of credit card debt, SunRise.. Well done indeed. thumb.gif

 

I'm considering using ours for a points only system too (once it's paid off).


LoveOurBabies 01-24-2013 06:32 AM

Quote:
Originally Posted by orangemomma View Post

$8K sounds about right to me. I have LOTS of cc debit as well as many people I know have similar.  I am trying to change that - recently discovered Dave Ramsey and am trying to work his steps.

 

Maybe I should hang around with some of the PPs for inspiration instead of my usual friends. LOL

 

lol.gif

 

You can hang out with me!! orngbiggrin.gif I'm trying to get rid of our CC debt too.. thumb.gif


glassesgirlnj 01-24-2013 06:41 AM

I can't vote in the poll for some reason, but we haven't had any interest-bearing debt for at least six years. Medical debt, yes, and money borrowed from (and repaid to) family members, but no credit cards at all. We use our Visa-branded debit cards for almost everything.

mamabear0314 01-24-2013 07:17 AM

$3,300 ish joint account. Paying it off asap and never getting a cc again.

TiredX2 01-24-2013 11:08 AM

I chose not to participate in the poll.

 

The problem with measuring credit card debt is how it is looked at. We *carry* $0 of credit card debt (pay the amount in full every month).  This is mainly for convenience as well as the associated financial benefits (right now interest is low so it doesn't make a difference, but we earn the interest on our money sitting there until we actually pay *and* reward card usage).

 

BUT, if you asked our credit card companies at any time how much we owed, the amount could vary from $0-$8K easily.  Actually, I don't think it ever gets down to $0 because by the time our payment for one month is due, we have already made charges for the next month.  So, even though we pay our full amount each month it could easily look like we owe thousands of dollars.


TiredX2 01-24-2013 11:13 AM

So, I went and looked at Credit Karma and right now my "Credit Card Debt" is $2688.  So, I could vote for $0-999 or $1K-2999.  The first is a better assessment of our actual debt, the second is what would be included in statistics of this nature. 


A&A 01-24-2013 03:09 PM

Quote:
Originally Posted by TiredX2 View Post

I chose not to participate in the poll.

 

The problem with measuring credit card debt is how it is looked at. We *carry* $0 of credit card debt (pay the amount in full every month).  This is mainly for convenience as well as the associated financial benefits (right now interest is low so it doesn't make a difference, but we earn the interest on our money sitting there until we actually pay *and* reward card usage).

 

BUT, if you asked our credit card companies at any time how much we owed, the amount could vary from $0-$8K easily.  Actually, I don't think it ever gets down to $0 because by the time our payment for one month is due, we have already made charges for the next month.  So, even though we pay our full amount each month it could easily look like we owe thousands of dollars.

 

I think the question is debt as you measure it, so not something you pay off each month.  


melissel 01-24-2013 03:46 PM

Quote:
Originally Posted by EmsMom View Post

No credit card debt here.  I use mine for everything for the points and pay it off every month.
 

 

Here too. At our worst point, though, we had approximately $35K in credit card debt yikes2.gif Never, never again (knock on wood, spit twice, sign against the evil eye, etc.). We paid the last of it off around 4 years ago and have lived a different life since then.

 

Quote:
Originally Posted by TiredX2 View Post

BUT, if you asked our credit card companies at any time how much we owed, the amount could vary from $0-$8K easily.  Actually, I don't think it ever gets down to $0 because by the time our payment for one month is due, we have already made charges for the next month.  So, even though we pay our full amount each month it could easily look like we owe thousands of dollars.

 

Good point. I'd also imagine that a good percentage of people who are carrying a lot of credit card debt are not hanging around frugal living sites. We (OK, I'll admit it, mostly me) built up our debt over 10 years, and it was only after we got really scared that we started focusing on living within our means and being intentionally frugal to get rid of that debt. Prior to that, we were living in quite a bit of denial, as one might imagine!


Sharlla 01-24-2013 08:01 PM

about 10k dh's card.    the last 2 years we have pretty much maxed it and paid it down some with the tax return. we are paying it off this year and only using it for bills (paying balance off every month) to earn the points.

 

we live very frugally. we are just poor


colsxjack 01-25-2013 07:47 PM

We do not have any credit card debt. We use our card for points and pay it off each month.

We do however have a low interest line of credit that we owe a couple thousand dollars on. We use it to do some renovations on our 100 yr old house.

Sometimes a renovation is needed that we do not have the cash up front for. SO we put it on the line of credit and then pay it off over a couple of months and then do the next renovation. We feel OK doing this because we live well within our means and the interest is very low. Worth the convenience of doing a renovation on a timeline that works with our schedules instead of saving the money forst and then doing a renovation after.


mamarhu 01-25-2013 09:18 PM

I have a credit card I use for car rentals almost exclusively. I have a zero balance, except for 2 or 3 times a year I rent a car, then pay it off immediately. I did get $200 into it for xmas, but I have paid that off as well.
 


kitteh 01-25-2013 10:31 PM

Just 2.5 years ago we had 25k in high-interest credit card debt. We recently paid the last of it off, and did so while dealing with one surprise pregnancy and 3 bouts of unemployment between dh and myself. Also, we make a low- to moderate-income and live in a high col area. It took a lot of hard work, strict budgeting, and sacrifice, but it was all totally worth it for the freedom and relief we now feel!

4Marmalade 01-26-2013 09:12 AM

Quote:
Originally Posted by EmsMom View Post

No credit card debt here.  I use mine for everything for the points and pay it off every month.
 

Same here.


Sunshyn74 01-26-2013 09:18 AM

No credit card debt here. I haven't owned a credit card in 5+ years. We discovered Dave Ramsey about 7 years ago, and paid off our debt, cut the cards, and never looked back. I am divorced now, and am so thankful that we were debt-free when that happen.

pohaha 01-26-2013 11:41 AM

None. We have an Amex card for costco and another card with cash back rewards, so that's what we use to buy stuff ( I don't like carrying cash). We pay it off every month and we can see exactly where our money goes. Then we get our rewards check every year, which is cool smile.gif

TiredX2 01-26-2013 12:55 PM

Quote:
Originally Posted by LoveOurBabies View Post

I keep reading that the average credit card debt per person is around the 8k mark. That sounds a little high to me..

 

 

 

So, I dug into this number a bit:

http://www.nerdwallet.com/blog/credit-card-data/average-credit-card-debt-household/

 

According to this site, the $7xxx number is actually *household* debt.  What I find more interesting, though, is that that is an average number. Only 46.7% of households actually carry a balance.  So, for 53.3% of households the credit card debt would be $0.  Then, for the remaining group, the average household debt it $15xxx.  So, the MODE (most common) amount of credit card debt for a household would be $0--- there is just a sizable minority that might carry a LOT of credit card debt.


erinmattsmom88 01-26-2013 07:40 PM

Our debt is more than just CC's. We have about 9K out there right now total. Two-thirds of it is DP's IRS debt. The rest is broken down into 3 small CC's, a medical bill, and a furniture payment. By my calculations, all should be gone by summer 2014... at the latest. Hopefully this spring/summer will be busy at DP's new job, so maybe we can be quicker about paying stuff off.


esenbee2 01-26-2013 08:32 PM

DSp let me quit working my 3rd shift job before having found another one in order to finish school because I was so drained all the time and falling asleep at work. It took a while to find a job and we had to put half our bills on credit card for that time period. We were pretty good until that point. It's like quick sand. I have since finished school, gotten a much better job, and we are living more consciously. We have signed up for ReadyForZero.com and have paid off 1 of 13 cards so far. Our plan is to have 11 more paid off in the next 12 months. I am so happy to have found ReadyForZero. They make it very easy to visualize all of your debt, how long it will take, and how much you will save.

justmama 01-26-2013 10:01 PM

Right now?  None.  It's been that way for about 3 years.  HOWEVER 6 years ago I had my single credit card maxed out at $5,500  I also had a car payment.  I cancelled the acct, cut it up, and started paying it down.  Took me 3 years but I paid off both and we've been debt-free ever since.  I haven't had a credit card since that day 6 years ago.  Credit cards scare me.  So total with credit card and car, I think I had about $15K in debt at the time.


rightkindofme 01-26-2013 10:14 PM

We pay it off every month. In a month we spend between $1400 on credit and $12000. Some months really blow my mind.


mcturner 01-27-2013 04:10 AM

The number is high because it's an average, including Americans with no credit card debt alongside those with 35k.

mcturner 01-27-2013 04:10 AM

The number is high because it's an average, including Americans with no credit card debt alongside those with 35k.


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