Credit Card Advice - Page 4

|Zach| · 10-16-2006, 09:16 PM

I have held off on credit cards for good long while now but I need to establish some credit. I think it would help out here and there to have a CC.

What is my best choice?

Not really best choice as much as most responsible choice credit card wise. There are a shit ton of options out there. Any advice?

kepp · 10-17-2006, 07:25 AM

Quote:

Originally Posted by bill parcells

I only have 3 credit cards..but I had incidents of fraud on 2 of them..citibank and chase..citibank called me right away..with chase I found out after some jerkoff put out a huge spending spree on my card.

go with citibank!!

Agreed...I've had a citibank card since my first year in college and have never had a problem. They are on top of the security issues.

joesomebody · 10-17-2006, 09:56 AM

American Express is the way to go. That company has got to be the greatest to work with in the world.
As someone said though, if you have zero credit, you are probably going to have to go with Visa. Capital One is usually very good about a first credit card. Usually the max starts out at $500 and as long as you use it and pay the bills on time it will go up quick.

Keep in mind, your credit score takes negative hits for every time you apply for a credit card, so don't get TOO many. Also, if you haven't had the card very long it is a negative, and if you have the thing over 50% of your max it is a negative.

teedubya · 10-17-2006, 09:59 AM

in order to build the optimum credit score, you should carry 3 credit cards, with no more balance than 1/3 on any of them. If you get a balance over 1/3 then your credit score suffers, as they think you are overextended.

Id go with a Discover for sure... Also, get a card with a

on it, they look really cool!

Amnorix · 10-17-2006, 10:00 AM

Quote:

Originally Posted by Simplex3

Do a Discover and then a Visa/MC for a backup. Don't take anything with fees, let them get their % from the retailer (which they all do).

The key with credit cards is to pay them off at the end of every month. Every time. Don't let yourself start carrying balances, it will lead to ruin.

This is exactly what I do. To take it one step further -- use the Discover as your primary because you get various awards, including cash back as an option. This is better than the millions of frequent flyer points only usable on Tuesdays and Thursdays between 11:00 p.m. and midnight when flying to Nome, Alaska reward card....

Cash back is hard to argue with. Sure it's 1% of your purchases, max, if you do the cash option, but that's better than zero back, plus an annual fee...

Amnorix · 10-17-2006, 10:01 AM

Quote:

Originally Posted by Ari Chi3fs

in order to build the optimum credit score, you should carry 3 credit cards, with no more balance than 1/3 on any of them. If you get a balance over 1/3 then your credit score suffers, as they think you are overextended.

Id go with a Discover for sure... Also, get a card with a

on it, they look really cool!

NEVER CARRY A BALANCE.

Fug the credit score, NEVER carry a balance, and you will be fine. Start carrying balances, and you're on your way to financial ruin.

Amnorix · 10-17-2006, 10:05 AM

If you suffer credit card fraud remember that federal law limits your exposure to $50, max.

NEVER BUY CREDIT CARD PROTECTION INSURANCE. It is the Biggest waste of money in the history of the world. If htere is a fraudulent charge, dispute it, and that's IT.

Your maximum exposure is $50. You are a fool if you spend money on insurance when federal law already caps your exposure.

http://www.ftc.gov/bcp/conline/pubs/alerts/lossalrt.htm

teedubya · 10-17-2006, 10:26 AM

Quote:

Originally Posted by Amnorix

NEVER CARRY A BALANCE.

Fug the credit score, NEVER carry a balance, and you will be fine. Start carrying balances, and you're on your way to financial ruin.

Yes! Ruin Indeed! Woo hoo... Yay for ruin!

greg63 · 10-17-2006, 10:52 AM

Quote:

Originally Posted by Inspector

You may have already received this advice about credit cards.

When you recieve them, use a regular paper shredder. It usually does a pretty good job on them and helps protect you from the difficulties that credit cards frequently bring - especially to younger folks.

Save and pay cash for everything. Or at least as much as possible.

That's probably not what you want to hear, but it is the advice I have given my kids and grandkids.

Good luck.

And, sound advice it is.

I wished I would have listened to those around me giving me the exact same advice when I was younger.

Calcountry · 10-17-2006, 11:16 AM

If you shop at Costco, an Amex card is a dangerous thing unless you have tons of self control.

Don't use credit, you rob merchants of anywhere between 1.7 and 3 percent of the gross sale. Why do you think that CC companies offer affinity programs that give you points, miles, dollars? They take it from the merchants. They probably use the other one percent for advertising, but the real profits are when you run a balance, then they get to charge you usury, they like that. That is why, even though you may feel broke, with a card balance, there will be no shortage of these thieves offering you more and more cards.

Get one Visa Card, one FREE Amex card(one that doesn't charge an annual fee), and that is it.

Always pay your balance off. If you ever can't pay it off, cut it up, when paid off there will be tons of new card offers in the mail, just open a new account carefully at that time.

PastorMikH · 10-17-2006, 11:47 AM

I would recommend staying away from Plastic if at all possible. We did until our 3rd year of marriage. We got one, and we were going to be DISCIPLINED with it. 10 years later we were in a huge hole and between the cards and car payment, close to $400 a month was going out to interest alone (we do not own a house). It has been a tough climb to being free from the credit card dept (and we did not declare bankruptcy either). I won't get back into that hole again.

If you go the card route, go with one that has a low max and don't let them raise your max. Pay it off every month. In fact, I would suggest not even carrying it and only use it if you have cash in the bank to cover the expense. When you charge something, put that cash asside immediately so you will have it when the bill comes in.

Another way to help your credit is with loans. Save money so you can put down a larger downpayments when you borrow but make sure you have the money in your budget to make the payments without putting yourself in a bind.

Frosty · 10-17-2006, 12:04 PM

Quote:

Originally Posted by mrub4

I believe they were with FirstUSA Bank.

I would avoid FirstUSA like the plague. They played all sorts of games with us. They would hold our check until after the due date and then jack up our rates because of "late payment". There were one time that we had the check back from the bank before it was credited to our account. It seemed like we had to call every month to complain and get our rate back down. My understanding is that paying online isn't much better.

I will be forever grateful to FirstUSA and their, IMO, sleazy business practices as they motivated me to finally get all of our credit card debt paid off and to never, ever carry a balance again.

I believe they own MNBA, too, so I would expect the same from them.

way2kalm · 10-17-2006, 12:19 PM

Quote:

Originally Posted by Inspector

You may have already received this advice about credit cards.

When you recieve them, use a regular paper shredder. It usually does a pretty good job on them and helps protect you from the difficulties that credit cards frequently bring - especially to younger folks.

Save and pay cash for everything. Or at least as much as possible.

That's probably not what you want to hear, but it is the advice I have given my kids and grandkids.

Good luck.

That is the best advice you'll ever get on this thread. You don't NEED credit! If you want more sound advice visit:

http://www.daveramsey.com/shop/Books_C31.cfm

Buy a book and educate your self about money as much as you can.

Take it from someone who is digging his way OUT of debt. I hope to have a FICO score of ZERO one day, that is going to be my life time goal.

Brock · 10-17-2006, 12:22 PM

Quote:

Originally Posted by way2kalm

Take it from someone who is digging his way OUT of debt. I hope to have a FICO score of ZERO one day, that is going to be my life time goal.

Absolutely. Nobody needs any credit beyond a mortgage. Financing cars or appliances or any of that kind of crap just means you're trying to buy something you don't have the means for.

Andoverer · 10-18-2006, 12:44 PM

Quote:

Originally Posted by Brock

Absolutely. Nobody needs any credit beyond a mortgage. Financing cars or appliances or any of that kind of crap just means you're trying to buy something you don't have the means for.

I concur.

Here's your credit advice :http://www.daveramsey.com/etc/wheres...ContentId=5705

May 5th in Kansas City. Be there.

ck_IN · 10-18-2006, 02:28 PM

I haven't read all the responses so I apologize if I repeat anyone. But why do you think you need credit? I had the impression that you were still in school. Is that right? If so you don't need to be given a loaded gun which is what a credit card is.

If you do want a credit history then save up for your next car. Wait as long as you can and buy a car that's as close to the amount you have saved. Go to a local bank, open an interest bearing account. Take out a loan for the car secured with the account you just opened. Make several months of payments and then use the account to pay the balance. You'll have a credit history with a local source.

10-16-2006, 09:16 PM
\|Zach\| For The Glory Of The City Join Date: Sep 2002 Location: Kansas City Casino cash: $5316768	Credit Card Advice I have held off on credit cards for good long while now but I need to establish some credit. I think it would help out here and there to have a CC. What is my best choice? Not really best choice as much as most responsible choice credit card wise. There are a shit ton of options out there. Any advice?
Posts: 53,435

10-17-2006, 09:56 AM	#47
joesomebody Waiting to be voted off Join Date: Feb 2004 Location: Baltimore, MD Casino cash: $9994900	American Express is the way to go. That company has got to be the greatest to work with in the world. As someone said though, if you have zero credit, you are probably going to have to go with Visa. Capital One is usually very good about a first credit card. Usually the max starts out at $500 and as long as you use it and pay the bills on time it will go up quick. Keep in mind, your credit score takes negative hits for every time you apply for a credit card, so don't get TOO many. Also, if you haven't had the card very long it is a negative, and if you have the thing over 50% of your max it is a negative.
Posts: 2,584

10-17-2006, 09:59 AM	#48
teedubya Most Valuable Poster Join Date: Oct 2003 Casino cash: $9480002	in order to build the optimum credit score, you should carry 3 credit cards, with no more balance than 1/3 on any of them. If you get a balance over 1/3 then your credit score suffers, as they think you are overextended. Id go with a Discover for sure... Also, get a card with a on it, they look really cool!
Posts: 36,652

10-17-2006, 10:05 AM	#51
Amnorix In BB I trust Join Date: May 2003 Location: Boston, Mass. Casino cash: $10029808	If you suffer credit card fraud remember that federal law limits your exposure to $50, max. NEVER BUY CREDIT CARD PROTECTION INSURANCE. It is the Biggest waste of money in the history of the world. If htere is a fraudulent charge, dispute it, and that's IT. Your maximum exposure is $50. You are a fool if you spend money on insurance when federal law already caps your exposure. http://www.ftc.gov/bcp/conline/pubs/alerts/lossalrt.htm __________________ "I love signature blocks on the Internet. I get to put whatever the hell I want in quotes, pick a pretend author, and bang, it's like he really said it." George Washington
Posts: 43,125

10-17-2006, 11:16 AM	#54
Calcountry Shoot the tube Join Date: Oct 2003 Casino cash: $8721645	If you shop at Costco, an Amex card is a dangerous thing unless you have tons of self control. Don't use credit, you rob merchants of anywhere between 1.7 and 3 percent of the gross sale. Why do you think that CC companies offer affinity programs that give you points, miles, dollars? They take it from the merchants. They probably use the other one percent for advertising, but the real profits are when you run a balance, then they get to charge you usury, they like that. That is why, even though you may feel broke, with a card balance, there will be no shortage of these thieves offering you more and more cards. Get one Visa Card, one FREE Amex card(one that doesn't charge an annual fee), and that is it. Always pay your balance off. If you ever can't pay it off, cut it up, when paid off there will be tons of new card offers in the mail, just open a new account carefully at that time.
Posts: 28,250

10-17-2006, 11:47 AM	#55
PastorMikH Will KC ever be better? Join Date: Nov 2002 Location: Land of Red Dirt & Necks Casino cash: $9945087	I would recommend staying away from Plastic if at all possible. We did until our 3rd year of marriage. We got one, and we were going to be DISCIPLINED with it. 10 years later we were in a huge hole and between the cards and car payment, close to $400 a month was going out to interest alone (we do not own a house). It has been a tough climb to being free from the credit card dept (and we did not declare bankruptcy either). I won't get back into that hole again. If you go the card route, go with one that has a low max and don't let them raise your max. Pay it off every month. In fact, I would suggest not even carrying it and only use it if you have cash in the bank to cover the expense. When you charge something, put that cash asside immediately so you will have it when the bill comes in. Another way to help your credit is with loans. Save money so you can put down a larger downpayments when you borrow but make sure you have the money in your budget to make the payments without putting yourself in a bind. __________________
Posts: 20,454

10-18-2006, 02:28 PM	#60
ck_IN Feels so good. Join Date: Aug 2000 Casino cash: $10004900	I haven't read all the responses so I apologize if I repeat anyone. But why do you think you need credit? I had the impression that you were still in school. Is that right? If so you don't need to be given a loaded gun which is what a credit card is. If you do want a credit history then save up for your next car. Wait as long as you can and buy a car that's as close to the amount you have saved. Go to a local bank, open an interest bearing account. Take out a loan for the car secured with the account you just opened. Make several months of payments and then use the account to pay the balance. You'll have a credit history with a local source. __________________ As sweet as Tupelo Honey
Posts: 2,718