Living Without Credit Tips


A couple of months ago I switched to a cash only lifestyle.  It hasn’t been easy, and I haven’t been perfect.  This is how I’ve been making it work.

for those that are serious about the cash only lifestyle

for those that are serious about the cash only lifestyle

Tip 1: Plan for expenses well in advance.  There are times when I just couldn’t escape charging something to a credit card.  Today I had to pre-order a specialty pie for a dinner I’m going to tomorrow.  Because it’s a special order over the phone, the bakery needed me to pre-pay.  As I gave them my credit card number over the phone I was whinging.  It could have been avoided if I just planned in advance and had gone in person to pay in cash.  I’ve had a couple of other slip ups along the way and pretty much all of them were do to bad planning.

Tip 2: Link Paypal to your bank account.  I took advantage of some online Boxing Day sales.  Online shopping = credit card spending… wrong!  A lot of websites give the option to pay by credit cards or by paypal.  Paypal gives you the option to use a credit card or to withdraw funds directly from your bank account.  It’s not exactly using cash, but it’s a better option than relying on a credit card.

Tip 3: Use pro-pay.  I have a home-based business and my commission is paid to a Master Card/debit card on a weekly basis.  I use this card to pay for websites that do not let me pay through Paypal.  There aren’t any additional costs to me, and although it says Master Card, I can’t charge anything to it.  It’s a bit like a pre-paid card, except there aren’t any service charges.

Tip 4: Wait 24 hours.  I have found that a lot of expenses don’t seem that necessary after a while.  Or sometimes I have found a new way to work it into the budget

Tip 5: set up recurring bill payments.  All of my bill payments have been set up to happen automatically.  Once a week I take out $100 for my grocery money.  I have a $30 slush fund that is used for gas/entertainment or unexpected things.  This is probably the only thing that I still use my debit card for, but it’s only once a month or so.  Because every thing is done automatically, I know that as long as I have stuck to my cash budget, I don’t need to check my bank account balance or worry about when bills are going to be withdrawn.  It’s stress-free and simple.


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