An Addiction Begins

My addiction to credit cards began about 9 years ago. I was in college and invited to go on a sponsored overseas trip. I had no income but, with a bit of help from my sponsor, was able to get a credit card with a $1000 limit in order to make reservations at hotels.

I maxed the card out before I even went on the trip!

A couple years after I got that card I got a job which had me travelling all over the country. My expenses were all paid for but I had to fork out for them up front. The first thing I did when I got my first pay check was increase my limit to $2000. That was soon maxed out with personal expenses and I was struggling to pay my work expenses each month. I decided to apply for a separate card which I would use only to pay for the work expenses and I would clear the balance as soon as I was reimbursed.

That card was very quickly maxed out.

At least I was earning lots of reward points.

I received an offer to increase the limit on my first card to $5000. Accepted immediately and maxed out almost as quickly. Next it was an $8000 limit. Then a $12700 limit. Don’t ask me how they came up with $12700.

I knew I would never pay them off so I asked for a cheap consolidation loan. I borrowed $15000 and paid off both the cards. Within a year they were both maxed out again. All my income was going on repayments so I applied for another card. $5000 limit. Soon maxed out. I a wanted to upgrade to a gold card for more reward points. Increase the limit to $7000.

Around about them I got a substantial pay rise. It was just enough to make payments on a new car so I financed $30000. I still had no way to actually buy anything because all my income was going on repayments so I took out another card. $2000 limit. This one never made it to the limit because I couldn’t make the first monthly repayment and it was frozen. It took me about 2 years to slowly pay off what I had spent. I still have the card in my wallet today.

Then the bank offered me an increase to $18000 on my original card. I new I shouldn’t so I ignored the letter. But then my glasses broke and I needed to replace them so I could drive. I went looking for the letter and asked to have my limit increased to $14000 instead of $18000. That gave me enough to buy the glasses and give me a bit of breathing room.

Then I left my job for one that paid about 25% less. I was $68000 in debt and in big trouble. On the bright side I had enough rewards points for an around-the-world trip...