Epic Financial Win

2009-December-22nd

One of the things I have recently done but failed to blog about is to get a credit card. It's not the biggest news ever, but it is important in my little universe because one of the issues I've been dealing with on a fairly regular basis as of late is the fact that from time to time, I have what I'm going to refer to as cash flow issues.

Just what are these "cash flow issues" of which I speak? Basically, what it comes down to is that this year I've had a very low amount of financial aid compared to previous years, and coupled with that low amount of financial aid, a very high amount of increased rent in my building, along with sometimes wildly varying work schedules.

The result of those things? I've run out of money more times than I wish to reveal. The solution? They say the trick to financial independence is not spending more money than you have. What if you don't have money but there are bills due? In that unfortunate case, you freak out until you do have money, or at least that's what I've been doing.

Enter the credit instrument, in my case, a card of credit from my bank. The theory here is that in the case I need something that extends beyond the amount of available cash I have in my checking account, I can use the credit account to make the probably necessary purchase and then pay it back when I do have the cash, which so far is typically within a week.

For now I have been making payments in addition to the minimum payments, and I've been keeping a fairly minimal balance on the card as well, with the intent of being able to pay it back in full whenever it is necessary.

So far, since getting the card, I have not had any overdraft events and I've been keeping a very close look at my accounts, to make sure everything goes properly.

And so, that's the story of how I'm on my way to financial responsibility and improving my credit score. Yaay!