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Credit Card Recommendations

also getting a credit card is not a good way to build up your credit history.

They can hurt you score a lot more than help it. A better way to build up a credit history is to get a car loan, pay several bills in your name (cell phones, rent, power cable and so on).

Yeah I got a credit card this year in my name but the credit backing it isnt exaclty my own. My dad co signed for it and the limited is only 750 and yes I have max it out a few times but that was with text books but it also paid off at the end of month.

Yeah I am building a credit history right now but it about to get a huge boost over the next year or so because I renting a house and it my name on the lease. Also going to have a few bills in my name and that is going to make a much larger difference in my credit history than any thing else.
 
My mom works at a bank and always tells people that the more credit cards you have, the worse it looks when people check your credit score. This is the case even if you aren't carrying a balance on any of them. Because it tells the person checking your score that you have the ability to run up a massive debt. So my advice is to just get one major card (Visa, Discover, Mastercard, AMEX, etc.) and leave it at that.
 
FFTT said:
If You Have To Charge It, You Can't Afford It!
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Most people can't afford to pay in full for a house or a car... does that mean they cannot afford it?

Using credit isn't bad, it's a normal part of life. Just make sure to make regular and on time payments. Don't run up a debt which would prevent you from making payments.

As for cards, my choice is American Express.
 
FFTT said:
If You Have To Charge It, You Can't Afford It!
Click to expand...

Well, I use credit to pay for stuff online that I do have the money for. I've tried shoving dollar bills into my CD tray, but no such luck!
 
I got a Capital One Visa when I was 18 and a half with a $300 limit, which they eventually upped to $550. When I turned 19 I got a Chase Visa with a $300 limit, which was upped to $600. Then came the Victoria's Secret card, the Old Navy card, the Best Buy card ($1200), the GM MasterCard ($600), the Citi Visa ($1000), and four gas cards. Capital One seems like a pretty good place to start out. My friend who has no credit just got approved for the same card I have.

A note about Discover cards: You have to make at least $15,000 a year to be eligible for any Discover card, except the student cards. If you go to a two-year school, you're also out of luck. Apparently, Discover doesn't recognise the great two-year schools out there. You can go to school for two years to be a nurse and make more money than someone who went to school for four or six years for education or social work or whatever.

It seems that most American Express cards have an annual fee. Watch out for that.
 
I'm boycotting Capital One. Even though I don't carry a balance from month to month, this is why:

One of the factors that contributes to your credit score is the percentage of your credit limit you are carrying as a balance from month to month. So carrying $900 on a card with a $1000 limit is worse for your credit score than charging the same amount on a card with a $2000 limit.

A few companies, Capital One being one of them, refuse to report your credit limit to the reporting agencies. The result is that the only number the credit agencies can use as your credit limit is the maximum amount you've ever charged. So even if you have a credit limit of $2000 on your Capital One card, if you've only ever charged a maximum of $1000 on it, carrying a balance of $900 is reported as 90% of your available credit instead of 45%.

You can read about it here. The article is coming up on a year and a half old, but Capital One has not changed its policies since then.
 
I also suggest getting a secure bank card. I got my first credit card when I was 19 through my bank. They started me off with a $500 limit. They've since doubled my limit which wasn't authorized but I don't mind having that extra. Great way to build up some credit. When I went to get my own cell phone, they did their usual credit check and said I had excellent credit. Yay. I intend on keeping it that way.
 
Whichever card you get, read the actual card agreement very carefully when you get the card.

You may get lots of glossy materials promising "0% Fixed APR!" but none of that matters. What matters is the fine print (and there will be pages of it) that you get with the card. Read it and understand it before you buy so much as a burrito.
 
FFTT said:
If You Have To Charge It, You Can't Afford It!
Click to expand...

wow...did you or some one you love have a horrible experience with the credit card people? Now tell me, how is one to make purchases online without a credit card?
 
I'd gently suggest that you don't go with a credit card...interests rates can be killer.
 
FFTT said:
If You Have To Charge It, You Can't Afford It!
Click to expand...



Not always. Credit cards are really useful if you can pay them off at the end of the month. It is a secure way to spend money.

2nd They are really good in a case fo an emergany where you need to buy something right then. (death in family illeniess, car trouble, computer trouble and so on) The things can not be put off until you have the money. That where a credit card is very useful.

I carry one because of that reason plus it a place for me to put charges on that go to my parents or things they are willing to cover already since they pay off my card. Mostly it gets used for school related stuff and paying for gas for my trips 2 and from home *which last time was a little over 100 bucks for spring break and then for may I am looking at 200-250 in fuel cost for my car alone that go to my parents.

3rd credit cards are a really easy way to keep track of what you buy at the end of each month with the statement.

Oh and yes I do know about debit/check cards which are useful as well but I still like carrying a full credit card in my wallet.


That being said there are a few items I like to always carry in my wallet with me.
1 Driver Linceanse.
2. Credit card
3. Check card
4. Debit card (I dont know the pin to my check card)
5. 20-40 bucks cash
6. 1 check.

Bettween those 6 items I pretty good to cover anything money wise when it comes up.
 
If you're a college student, don't worry about getting a credit card, worry about fending them off. Oh, and my first credit card was the regular chase platinum card and they started me off with a $1500 limit with no credit history.
 
Saluki Alex said:
My mom works at a bank and always tells people that the more credit cards you have, the worse it looks when people check your credit score. This is the case even if you aren't carrying a balance on any of them. Because it tells the person checking your score that you have the ability to run up a massive debt. So my advice is to just get one major card (Visa, Discover, Mastercard, AMEX, etc.) and leave it at that.
Click to expand...


I've read the exact opposite...that having more credit in your name looks better for you even if you only have a balance on one card (i.e.; having $15,000 over multiple cards rather than just $1500 on one card).
 
Credit cards are great if you are good with your personal finances. I got a credit card when studying in London (without even asking). I wasn´t used to carrying one and when in desperate need for money I used it. I had a really hard time paying it back I have to admit. I say get one, but be carefull to up your limit when they offer it.
It´s very easy to spend more than you can afford.
The interst is very high, so pay it off in time
 
Amex ... they are probably best of the heap and have the most straight forward rules. Either get their "Clear" or get some Amex card through Citibank (they have 12month 0 % APR). DONOT APPLY TO MORE THAN 3 at any time. More than 6 requests a year will kill your credit Score.
 
When you apply for a card they take all of your financial information and then determine your credit limit so there is no way to know exactly what they will give you until you have the card.

Credit cards are easy to get. However, a good card with lots of cash back and a high limit are hard. Most first credit cards only give you about $500 starting limit. I was able to get the Amazon one though and they gave me $1000.
 
Matt Phoenix said:
Well, I use credit to pay for stuff online that I do have the money for. I've tried shoving dollar bills into my CD tray, but no such luck!
Click to expand...

I wondered why I wasn't getting anything in the post. Thanks though, just found £380 in my computer :)

AppleMatt
 
With all due respect to those who manage their credit cards responsibly,
most people have a very difficult time doing so.

The system is rigged so that paying minimum payments drags out your liability to somewhere around 15 years+

The interest rates most banks change should be prohibited under usery laws. It's nothing more than predatory lending.

Of course people need bank loans for major purchases like homes, cars or setting up a business, but that's not what people use credit cards for in general.

The majority of credit card users, buy merchandise that will not last as long
as the payment liability.

For convenience and buying online, a DEBIT card backed by funds in your account is the much better alternative.
 
If you want to use the credit to buy an Apple computer, you might consider the amazon.com credit card - 3% back on Amazon purchases (you get in the form of Amazon.com gift certificates). That's $60 on, say, a $2000 computer.

Dave
 
Say it with me: Credit cards don't put people in debt. People put people in debt.

If you have so use a credit card, you need to already have a plan in place to pay if off other than[/i] the "minimum payment" plan offered by the cc company.

For instance: I purchased my MBP and had all but 700. So I used my (gasp!) credit card to finance the difference. However, I already knew that I would be paying it off in two months ($350/month plus interest).

Credit cards are painfully easy to get. Believe me, someone will give you a card.
 
I would go for the American Express Blue for Students. They were quite generous with my initial credit line at age 18, there is no yearly fee (Membership Rewards is ~$45 USD or something).

They increased my credit line every 9 months or so and the payment system is quick end efficient unlike MBNA's horrible online payment where the payment posts days later. Making an online payment with AMEX is instant.
 
saturnino3 said:
I would go for the American Express Blue for Students. They were quite generous with my initial credit line at age 18, there is no yearly fee (Membership Rewards is ~$45 USD or something).

They increased my credit line every 9 months or so and the payment system is quick end efficient unlike MBNA's horrible online payment where the payment posts days later. Making an online payment with AMEX is instant.
Click to expand...
Yes, I too would recommend AmEx. They seem the most honest out of all the companies I have dealt with. Get Blue Cash if you can.

CapitalOne pissed me off no end by giving me a $500 credit limit on a card (when I had two other cards with more than 20x that limit and good credit), and then they cancelled the card because I never used it (because I was basically afraid to because the limit was too low).

Citi Cards have good balance transfer rates, but they annoy me by sending me direct mail too much to sign up with them, even though I already have their card! However their 2.9% APR for the life of the balance transfer is fantastic and I use that to great effect as a low interest short term loan (they will even write you check at that rate).

To elaborate on my "Bollocks" comment above, credit cards are only bad if you misuse them. I.e. spend with no plan to pay back. Without credit people would be able to own Cars, Houses and yes *expensive Apple computers*.
 
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