General Goals 1) to be debt free in 3.5 years 2) save lots of money

Wednesday, June 22, 2011

Confessions of an indebted TD Student Line of Credit

In an attempt to not study for 30 min I decided to flipped though my old TD line of credit statements. I have only found a early as Feb 2006 when my credit limit was a small 8,000. Interest was dirty high at 8%, 7.25% and 7.5% though out the year.

I often want to ask people if they remember the very first thing that they put on their (visa, LoC, other consumer debt). I was always sure I knew what mine was but as I flipped thought my statements, it was reaffirmed. The very first thing I put on my LoC was my first and last month's deposit for my first place on  George st. N. That was March 28, 2006. I had had my line of credit since before September 2005 but had not used it. To 'spend' that $900 I was charged 74 cents. After that of the first year, most of my LoC was rent; though there are a quit a few spots were I paid my visa off with my LoC 60$, 100$ ect a shot. There are even months like June 2006 where all that my statement shows is payments, interest and insurance AKA no new debt And even by the end, Dec 2006 my available limit was 5,500.50 of the $8,000.00 I was given. So were did I fall off?

Some time between Jan 2007 and Jan 2009 I fell off the rail.

 I can't find the statements that consist of that time. June 2009 was a bang up month, I spend on my LoC $2,513.42. Yup that's a lot of money to blow though. But it didn't matter I still had 6,514.02 of averrable credit before I hit the 34,000.00 max. By December of 2009 my available limit was $1,668.41. The LoC was my never ending debit card and its clear that's how I saw it and used it. The statements don't lie.

Despite all the frivolous spending that I did that month (June 2009) and there was a lot like: $6.00 to E-Specially F (I don't even know what or who that company is, nor do I remember what the 6$ bought). The most frivolous thing I put on my LoC was candy. Yup I have a sweet tooth. The day after my birthday in September I went to the Bulk Barn and spent $50.52 on candy and a glass jar to to put it in. I justified it as my 'bday gift' to myself. The jar sat on my desk and I ate a lot of candy over the next month and half.

So there you have it, the day I starting digging my debt hole "March 28, 2006" for a deposit on my first apartment. The worst of my spending ways: June 2009 at $2, 513.42. And my most frivolous buy: $50.52 on candy.

What about you, can you answer these 3 questions:
1) what was the first thing you put on credit?
2) what was your worst debt month?
3) What was your most frivolous item you bought on debt?


  1. Hmm my debt hole probably started about 10 yrs before yours and I have no clue what my first purchase on my $500 visa even was. And likewise I can't tell you my worst month but were a few where I can remember just spending and spending. My most frivolous purchase was probably junk food as well. Glad to say those days are over! I might still buy junk food but I'll pay cash! lol

  2. I like this. To bad I can't participate but that is a good thing I guess. I caught the PF train before I was able to get credit.

    It's quite hard for someone to get credit here where I live unless you have been working for at least two years.

    I still don't have any credit. I applied for a credit card once and got rejected now I am trying again. I was considering a LoC with my credit Union recently but the interest rate is 17.5% so I decided there was no point in getting it as I had no real reason for wanting one.

  3. Too long ago for me to remember the FIRST thing but I do remember my very cash-poor student days and feeling so ashamed when I had to use my VISA to buy groceries, but glad I had the credit to do so. My line of credit I acquired more recently and the first thing i used it for was to buy my trailer for $10,000 but paid it off in 20 months.
    Frivolous purchase - just clothes and vacations.

  4. I remember mine - it was a laptop on HP. My first big purchase when I left high school. It was the start of looong debt-ridden journey. If only I'd known then what I know now...

  5. It's been so long since I first got my cards (~10 years) that I can't even remember what I put on there. I can pretty much guarantee it was frivolous because I was a student with very few expenses. Actually the majority of items put on my cards were frivolous. My worst debt months were definitely the months where I was riding the limits on my cards. It's not as if they are high limits, but for the amount I make in a year it can sometimes seem like it.