Disclaimer: I am not a lawyer. I am
only publishing my interpretation of my situation. You should seek your
own legal representation for your own particular
situation. Do not rely on my
opinions or statements for your own purposes as state
and local law varies as do individual circumstances.
I did it last month, and I have done it again this
month. I have maxed out my credit card. I have zero available
credit left. What a bummer. Last month, it happened when trying
to pay for a dinner with my family - I had to pay with cash.
This month, just yesterday in fact, it happened on a taxi ride -
I used my debit card to pay the fare. These instances are
manageable as I had a back-up. What makes these instances
embarrassing is when other people are there to witness it -
people that I know. For instance, in the taxi incident, my
little nine year old nephew was there and immediately said out
loud with no regard for discretion, "Is that card out of money,
Noah?" Two seconds and a deep breath later, I replied, "Might
be."
All of this goes back to
American Express reducing the credit limit on my personal
American Express credit card due to my falling credit score
based on my recent foreclosure and unpaid mortgage payments.
Again, I am surprised that they just did not cancel the card
completely. I am grateful to have the little bit of credit that
they left me. The new credit limit is not an insufficient amount
really. I should rarely spend so much money each month. I am
still, however, adjusting to the new reduced limit.
Of course, it has been
the holidays; and I have done a good bit of traveling. Now that
Christmas and New Year's Eve are over maybe I will be able to
concentrate my attention on reduced spending. That would be
great and much needed. I go back on the road next week with
work. That will help me cut my spending as all of my travel and
meals and transportation will be business expenses and will go
on my corporate credit card and not my personal credit card.
I have thought about
going cash only in the past, but I have ruled that out unless I
lose all of my available credit cards and credit options. I use
my American Express credit card on a daily basis for everyday
living expenses like gas and hair cuts and groceries and
everything else. This helps my credit report and credit score
(as the balance is paid in full each month). Plus, I get points
on my American Express credit card for every dollar that I spend
which I can redeem for merchandise, services or even cash. I
just need to start paying closer attention to when I am getting
close to my credit limit. I think that I will add that to my
list of Official 2009 New Year Resolutions.
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