Blair Villanueva
Having a credit card is already considered a financial milestone especially for the working individual. It offers convenience as well as the power to afford things you can’t otherwise afford at a specific time. But how does having a credit card affect our spending habit?
Here is a guest post written by Ms. Blair Villanueva of For Urban Women regaling us with her credit card story.
Do you own a credit card? How do you manage it?
Currently browsing my Facebook feed, all I could see are huge banners and some GIFs flashing on my screen and at the back of my mind I keep wondering “what is going on?”
“Hello! It’s the biggest sale of the season!”
Part of me wants to skip work and visit the shop as early as possible…
And still a huge part of me is saying – well you don’t have to. My frugal instincts are way stronger.
Pppfffttt.. I know right.. Sometimes I’m an effin buzz killer.
“But then you have your credit cards! You can use it and you don’t have to cash-out money,” some shopaholic friend says.
“…and that’s what credit cards are made for,” she continued.
Well I admit she have a point (partly).
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Which makes me think, “She’s absolutely right… I have eight (8) cards with me, so what am I doing with it?” It’s just bulky in my wallet.
But still my responsible frugal instinct never allows it, LOL.
I ended up as just her shopping companion, just window shopping and not buying anything (well except I promised her I will treat her for lunch, which I insisted because I know she will have no more money to pay for her share lunch), LOL.
My love affair with credit cards started in 2012 when I first moved here in the city, when was still a provincial-girl-who-just-got-accepted-by-the-city type of gal. I was working as a Personal Assistant then, and was tasked to manage my boss personal finances (yeah I could see her purchases, from household, office related, to her shopping extravagance, blah blah blah, even her shopping spree for her boyfriend No. 2).
And I was like, how come my boss haven’t paid any single amount of interest from her purchases?
Then I’ve learned her credit card tricks… No matter how big your bills are, never ever pay your bills via installment plan. Always pay your credit card in full amount (or pay it in full with excess) and pay it 3 business days before the cut-off.
She told me that there is no other good rules. And it works!
I’ve learned some trick-and-trade of personal finances from her (though she’s kind of sassy, but I like her that way), and for that I thanked her.
That same year, I applied for my first credit card – the LJC-RCBC Bankard. I remember, it’s the card with the lowest credit line of Php 15,000 during that time, and with faster approval (which I don’t know why exactly).
So I filed my application online, and after 7 days my application was approved and delivered after 10 business days!
I tell you honestly – I felt like my life (and my status) changed when I received my first ever credit card!
Seriously, you won’t admit it at first but when you think about it, IT HAS REALLY CHANGED YOUR LIFE.
I CAN FINALLY STRUT AROUND MY FAVORITE SHOPS, AND CONFIDENTLY SHOP!
Taking home these flashy beauty bags! OOohhh Emmm Geeee!!!
Hey hey STOP
I’m talking about your first credit card that you personally applied for and not the supplementary card that your parents handed over to you.
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Having your first-ever credit card is something that you should be proud of. Why?
It means that someone entrusts you with a big amount of money (although in plastic) and believes you to be responsible enough to handle your personal finance.
Having your own credit card is a stepping stone of being financially independent and of being able to learn to take your financial life more seriously, more responsibly.
It is indeed a milestone for everyone.
It is not about having it and just feeling the glamour on the act of swiping it left and right… Having a credit card is about TRUST.
My Momma said before, “You don’t need credit cards. You’ll end up IN DEEP DEBT for using it, so better pay cash.”
Being the stubborn daughter that I am, I didn’t believe my Momma (sorry Mom! But I still Love you!)
I find out for myself that these speculations and advises are true enough.
Rules of having a credit card is very simple. You don’t need a degree to understand its principles.
Your credit card application was approved because the bank believes that you are credible based on your submitted documents. Once your card is in your hands and you start using it, it is your responsibility to return the favor – that is by paying your credit card bills on time. Because if not, the bank has the right to charge you certain interest and so on and so forth.
I honestly agree with this type of penalty or consequence. That’s what I signed-up for anyway when I applied. It was crystal clear.
I just don’t understand why most people can’t handle it properly or still don’t know how to play their credit cards the right way.
I simply applied the principle I’ve learned from my former sassy-lady boss, and I am thankful that it became part of my system until today. I always pay in full (well actually, I always pay with excesses) and always pay three (3) business days before my due date.
I make sure I won’t have any slightest delays on my payment and that I am able to maintain my good financial record, so that in my future transactions (such as loans or more credit cards) – the bank could see I’m a good payer. That I’m credible.
And it works!
I applied for other credit cards and BAM! My applications were approved so quickly and smoothly!
Then I realized while I’m writing this blog post, I currently own Eight (8) plastic magic credit cards! And recently got my AMEX, woot woot!
I think I deserve to brag here… well I worked hard for it. I treat my credit cards as my investments. I’ve invested so much to have a clean and pretty bank financial record and for that simple reason I am most proud of myself.
Sounds funny for some but I take my personal finances more seriously.
And I believe every women should take it seriously as well, whether you are in a blue or white collar job or just a sassy Momma at home.
Every woman should know how to play our credit cards right and be a winner!
So ladies, how do you manage your credit cards? Have you tried to get one? What are your credit card stories? Share it here with us!
