The credit card companies really are trying to keep you in debt

I finally paid off my furniture last week. I was so excited when I put that final check in the mail box. I kind of had mixed emotions about it, though. The reason why is because it cost me approximately $300 more than it should have.

Back-tracking to March of 2008. You know those promotions that furniture stores like Roomfull Express run where you have 12 or 24 months to pay something off with no interest? Well, I was approved for the 12-month deal and that's how I purchased my couch and awesome recliner for my new apartment.

The amount was approximately $1200 and I figured I'd have that paid off in a year. No problem. But, as always with life, things came up and I couldn't devote as much money as I wanted to each month and to make a long story short, I paid my balance down to a little under $200 by the end of the one-year promotion. I wasn't too worried, I figured I'd get slapped with some interest but still, $190 would be paid off in no time. Boy was I wrong.

I didn't know that not only would they hit me with interest, but they retroactively hit me with all the interest that accumulated over a year's time. And they also hit me with a finance charge. So, the very next bill, my $190 turned into over $400 dollars!

I couldn't believe it, but it was a lesson I had to learn. If you purchase something with no-interest for a period of time, pay that bad-boy off. Maybe you're more educated than me in the area of credit and you already knew that. Well, kudos to you, lady or gent.

As for me, I've made my share of mistakes in that area but I'm finally starting to wise-up. You see, unless you know how that game is played, you're not going to know how to win, or at least stay competitive.

I financed this computer that I'm blogging on the same way at Best Buy. I'm way ahead of the game, there, however, and if I don't pay this off in time, shame on me.

Surprisingly, my credit is actually quite good. I never have a problem getting approved for something and my score is up there fairly high compared to a lot of people. But big deal. All having good credit means is there's more of an opportunity to get into debt.

I pay my bills on time, mostly, and I can't remember the last time I collector called me on the phone.

Back in the day when I first ventured out on my own, I was broke. I mean, I was so broke that I had to buy food with my credit card. I used to work at PITT and there you get paid once a month. My salary wasn't exactly great and I remember sitting around with two or three weeks until payday with $40 to my name.

I made a lot of goofs back then. I call it being young and naive. When I moved into my first apartment, I got all kind of calls from people trying to sell me stuff. The Post Gazette actually convinced me to purchase a three-month subscription. But the apartment building I lived in wasn't the most organized and I hardly ever received my paper. I just didn't pay the bill. In-case you don't know, it doesn't matter if the service you're paying for is good or below-average. All the collectors care about is getting paid, son. I also got calls from BMI for the cds I purchased. Yep, hurt my credit, no doubt. But hey, what are you supposed to do? You still want to live your life even if you are disgustingly broke and horribly underpaid.

I also had a car-payment, a school loan, and various other bills that I had to pay each month. When you sit down to make out your bills each month and you're left with about $100 afterwards, that's where living off of credit comes into play.

It all adds up and the credit card companies know that. They bank on it (pun intended.) They know you'll run that sucker up and after six months or so, your interest rates will be thru the roof.

Heck, I have two cards, one's almost paid off, the other one is over the limit. Not because I put it there, but because I got close to the limit so they nailed me with finance charges and other stuff. And they will do everything in their power to keep you in debt. Those commercials are no joke. To show you what I mean, I have sent Bank of America two payments over the last two months and they've taken $1 off. Why? Well, they have to nail you with a finance charge. I mean, they wouldn't be a credit card company if they didn't do that. And also, my last payment was received one day after the due date and since they're a credit card company, naturally, they have to punish you for that. If you're a little late with your car payment, your rent or your cable bill, they give you a grace period, but not credit card companies. They have no grace.

Like I said, I'm doing better than most. I paid my car off at the end of '07, my unjustified heating bill was finally paid off recently, my school loan is off the books and, of course, the furniture. I'm in good shape compared to even five years ago.

I'm sure other stuff will come up like having to buy a new car. That's a constant in life. I'm still behind in the battle, but it's the tenth round and Apollo Creed has some cracked ribs and he's spitting up blood. I'm making progress.