When I was 18, I had a debit card with a $500 credit limit. I was expecting to get paid and so I used the 500 credit to buy a golf pass. later that week I learned that the restaurant I was working for for was shutting down and so I did not get paid. I carried that debt for about seven months until my student loans at BYU came through and I was able to finally pay off my credit card (still a debt but less interest) ever since then I’ve learned not to buy things before I have the money. I’m glad I wouldn’t that lesson when I was 18. I’m maybe not as frugal as I should be, but I’d wager I’m more frugal than above average.

One thing I always think of since I still habe student loans is essentially everything I buy has a 7% interest rate and ask myself if I’m willing to spend 7% more on this because that’s how much it is if I’m not paying my other debts. If I was rolling over credit card debt, I’d essentially be asking myself if that thing or that meal or whatever is worth 20% more since that would be my actual cost. (if it takes me exactly one year to pay for it could be less could be more depending on how long the debt carries.