Looking into getting a CREDIT CARD.. Any suggestions?

[ggarvinxx3]

how important is having good credit in America ?




*serious question*

 

[elnino4530]

Originally Posted by ggarvinXX3

how important is having good credit in America ?




*serious question*

if you ever wanna own a house, car, business (whatever you need a loan for) it's extremely important. The better your credit, along with other factors such as income, etc. The better rates you will get on a loan.

I'm taking my final entrepreneurial finance class so I'm just spitting back condensed versions of what I've learned, but I may still be a good tool for those that have basic credit, loan, etc questions

 

[elnino4530]

Also, another good way to build credit is to get on a CC account with a parent.

I got on my moms account when I was 15 and she really had to trust me (15k limit

) but it helped establish my credit.

Back whenever the first iphone came out I got a card through Juniper (Apple store - now Barclay) and paid off my phone with the 6 month 0% APR with my tiny little $500 limit, then I got a Best Buy card and am paying off my TV with their 0% APR, and my credit line was increased to $1000. Then I got my first "real" card the AMEX blue cash with a $2000 limit and my strategy is, use the card for everything i have the ability to pay cash for out of pocket. If I spend $40 on gas, when I go home I put $40 aside for when that statement comes. This will help you 1) earn rewards, in this case cash back and 2) not get stuck paying interest on stupid things

Your credit score is made up of the following:
35% Payment History
30% Amounts Owed
15% Length of Credit History
10% New Credit
10% Type of Credit Used

In class we have discussed Annual Credit Report as being the best site to actually get a FREE credit check (sponsored by the 3 major credit companies)

 

[daprescription]

I finally broke down and got a credit card (student card through bank). Quick question (I'd appreciate any help/advice):
If I use this, is it best to pay it off in full every month (to me it sounds like a no brainer, but I could be wrong)?

 

[elnino4530]

Originally Posted by daprescription

I finally broke down and got a credit card (student card through bank). Quick question (I'd appreciate any help/advice):
If I use this, is it best to pay it off in full every month (to me it sounds like a no brainer, but I could be wrong)?

If you can afford to, it's definitely better to pay the total balance off when your statement comes. If you pay on time, that's what goes into your credit score. There's no point in paying interest on something you don't need to.

 

[ggarvinxx3]

good looks on the info elnino

i was prepared to get flamed becuz of my lack of credit card knowledge