I was 18 when I got my first credit card. This was before the laws changed, and the big credit card companies flooded college campuses, offering free t-shirts and pizzas for filling out a credit card application. And WOW, what a surprise to find out I qualified for a credit card with a $5000 limit! I don’t know today what the interest rate was on that card, and away from home for the first time, I didn’t even care or really understand what a higher interest rate meant.
But I do know that after a few late payments, I was knocking on 30% APR. I was 18, drunk with freedom, and ready to take the world by storm.
Fast forward 7 years and it has finally dawned on me that I need to pay closer attention to my finances…and those early morning coffees I charged ended up costing way more than $3.50 with years of interest. I was in trouble, but I wasn’t 18 anymore…I KNEW I was in trouble. And that’s when I made the best decision I could have, financially. I made a visit to Afena Federal Credit Union. My mom had opened my account there when I was a kid…moms usually do know best. And it usually does take 25 years for their children to figure it out.
Let’s be honest, nobody likes to talk about finances, especially when you’re in debt. I walked into Afena like I was walking in front of a firing squad. I was intimidated and defensive but it only took a few minutes with Lisa to start feeling so much better. We looked at my situation, made a plan, and put it into action. It took two years, but I’m not worried about that credit card debt any longer. And it feels good to set a goal and meet it.
We live in an immediate gratification world. It’s not always easy to skip the extras, and I’m definitely not a saint. Everybody wants a grande mocha latte every once in a while! But I’ve learned that making a realistic budget and sticking to it isn’t impossible. I’m Claire, the Afena blog mom. Thanks for reading.