[HighDensity]

Originally Posted by Blitz34 Discover has an amazing student card. I'm really big into this kind of thing and I've personally tried several. Discover has the best rewards program of any other card.

+1

That's what I use. We put EVERYTHING on it and pay it off each month (just about everything but the mortgage payment). The rewards % vary on a quarterly basis depending on what places you shop but our reward $$$ basically pays for at least one vacation each year.

OP I started with a credit card when I was 19, they gave me a $500 limit. 14 years later I have a $25k limit with that same card, and about $100k limit with all of them. I carry a $0 balance though.

[WhiteNoise]

Originally Posted by 03SonicBoom The thing about getting a credit card is that you HAVE to be able to handle it. If you have trouble balancing your budget, then move to a cash system. When you pay for something on your credit card, immediately go to the ATM/bank and withdraw however much you just put on the card. Then take that money and put it in an envelope to pay off the CC bill at the end of the month. Then if you don't have the money in your bank account, you don't use the credit card. If one cannot handle that, then definitely do not get a credit card. I don't like the idea of taking out a loan, putting it in an account, and then having that pay the loan back. I don't like it b/c it's a waste of money. You're literally paying money you've earned (b/c of interest) for a slightly higher credit score. I just cannot stand the idea of throwing away money.

Thats a good system to use, ill keep that in mind! It lets you keep track of what you spent and then come the end of the month, all the money is ready to be sent. Thanks

[LethalDosage]

Originally Posted by HighDensity +1 That's what I use. We put EVERYTHING on it and pay it off each month (just about everything but the mortgage payment). The rewards % vary on a quarterly basis depending on what places you shop but our reward $$$ basically pays for at least one vacation each year. OP I started with a credit card when I was 19, they gave me a $500 limit. 14 years later I have a $25k limit with that same card, and about $100k limit with all of them. I carry a $0 balance though.

That Discover Card sounds badass...I'm not a student tho. Which one would you recommend I get? I want one that has the rewards...

[03SonicBoom]

Originally Posted by LethalDosage It's not like it's a whole lot of money...maybe around 25 dollars? I'll gladly pay that and not get into the death trap of a credit card. Unless you kick ass at saving and making your payments on time, the loan is the way to go. I've got the loan paying itself and a card on the side that I use for clothes..so it's like adding double to my credit. I meant the loan idea for someone who's not good at pacing themselves...those people get into...a world...of shit

It may only be $25 extra, but the loan is only for $500. A $500 loan isn't doing very much to build your credit. You'll have to have that loan a few times and pretty quickly you're looking at more money.

For me, a loan is more getting into a death trap than a credit card. With a loan you're in that loan until you come up with the extra money to pay it off. If you're uncontrolled or lose your job and cannot keep from dipping into that account w/ money, you could end up w/ another monthly payment and debt. With a credit card, as long as you make sure (using whatever method works for yourself) you have the money to pay it off at the end of the month, if you lose your job then you're not in debt b/c you pay the card off, cut it up, and you're good to go. It's a lower risk if you do it right (and it's free).

Originally Posted by LethalDosage To sum up this entire thread, credit cards aren't a problem unless you make them a problem. Simply put.

That's basically it.

[LethalDosage]

Originally Posted by 03SonicBoom For me, a loan is more getting into a death trap than a credit card. With a loan you're in that loan until you come up with the extra money to pay it off. If you're uncontrolled or lose your job and cannot keep from dipping into that account w/ money, you could end up w/ another monthly payment and debt. With a credit card, as long as you make sure (using whatever method works for yourself) you have the money to pay it off at the end of the month, if you lose your job then you're not in debt b/c you pay the card off, cut it up, and you're good to go. It's a lower risk if you do it right (and it's free).

Same difference. With both, you still have something to pay off at the end of the month. But with the loan, you already have the money to pay it off...you don't "start out" already in debt like a credit card.

[HighDensity]

Originally Posted by LethalDosage That Discover Card sounds badass...I'm not a student tho. Which one would you recommend I get? I want one that has the rewards...

Mine is the "Discover Cashback Bonus" card.

Pretty much all you need is a job. They might start you out at a lower limit.

To apply go here:

https://www.discovercard.com/cardmem...120208192414:s

[03SonicBoom]

Originally Posted by LethalDosage Same difference. With both, you still have something to pay off at the end of the month. But with the loan, you already have the money to pay it off...you don't "start out" already in debt like a credit card.

But what I'm saying is that with responsible use of a credit card, you're never in debt because you already have that money. You're just choosing not to use it b/c you're trying to build credit off the card.

Not only are you not in debt, I'll say that you're making money if you want to get down to it. The reason is that if you start the month and have to pay your bills, you loose that money right then and there. If you put that on a credit card, you'll earn interest off that money that's still in the bank and then pay off the card when it's due.

So you have to be responsible w/ a loan or a credit card. With a loan you're paying money for credit. With a credit card you actually make some money, never in debt, and building credit.

[Blitz34]

A credit card is only a death trap if your irresponsible and allow it to become one.

I up until the last two weeks have made minimum wage and have managed to pay off my cards without a problem while balancing other debt as well. These are the current cards I have, and if I can handle all of them, the OP can handle 1 card and if your dumb enough to let it get the best of you then building/ having credit isn't an option for you right now.

Capital One Rewards
Citi Simplicity
Discover Student
Chevron Gas Card
NFCU Cash Rewards
Express
Tire kingdom
Best Buy


My total available credit lines exceed my yearly income, and my balances would scare a lot of people. They key is either to pay in full every month, or keep your debt to available credit ratio below 15-20%. Having a balance isn't a bad thing. Inquiries and aaoa (average age of open accounts) make a large impact as well.

Its all about how you handle your debt. My credit scores make many adults' I know look like crap and I've only been in the game for 2 years.

My recommendation like stated earlier is the Discover student card. With limited to no credit history a Chase Freedom is not an option for you nor are any prime cards.At least in my region it wouldn't be. Go for a student card. Discover, Citi, and Capital One have them. Chase does not.

[Blitz34]

And a loan is not something I would not recommend. You'll get better results paying in full each month on a credit card without paying any interest on a loan.

[dr.gonzo!]

Originally Posted by Blitz34 Discover has an amazing student card. I'm really big into this kind of thing and I've personally tried several. Discover has the best rewards program of any other card.

I always get ones from discover that say 5% all over the place, then in the fine print it says 1% and you need to sign up for the 5%. What kinda fine print does the 5% hold


I wish there was a program where I could enter all my lines of credit and see which ones are hurting my score.

[Blitz34]

Originally Posted by dr.gonzo! I always get ones from discover that say 5% all over the place, then in the fine print it says 1% and you need to sign up for the 5%. What kinda fine print does the 5% hold I wish there was a program where I could enter all my lines of credit and see which ones are hurting my score.

I'm really into building my credit and its more of a hobby so I've learned a lot. I didn't even bother posting my Freedom or its limit but lets say I could buy a new mustang on it if I so wished lol.

Discover has a quarterly tier program which is why you "sign up". You'll actually end up doing it so long as your logging in to make your payments as it has big ass advertisements. Its 5% gas and groceries one quarter, hotels and dining, clothing blah blah blah etc. you just have to click on the tier when it gets to that quarter. You won't find a better rewards program and they also have the highest savings account interest also.

[Blitz34]

[02GT89]

I'm subscribed to this this is interesting


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[dr.gonzo!]

I have a lot of lines of old credit that I never use anymore

care credit
GE money from when I bought a drum set
lowes
kohls




amazon still use though and I have car loan

thats all I can remember. I am sure I have more I cant remember that I never use. Just have a 0 balance on them except for amazons.

[Xzavier247]

Originally Posted by HighDensity +1 That's what I use. We put EVERYTHING on it and pay it off each month (just about everything but the mortgage payment). The rewards % vary on a quarterly basis depending on what places you shop but our reward $$$ basically pays for at least one vacation each year. OP I started with a credit card when I was 19, they gave me a $500 limit. 14 years later I have a $25k limit with that same card, and about $100k limit with all of them. I carry a $0 balance though.

omg

[Blitz34]

[Blitz34]

It doesn't hurt you to have unused lines. Old trade lines help lengthen your credit history. Closing old accounts can actually hurt you depending on how many newer or recent accounts you've opened.

[Blitz34]

Originally Posted by Xzavier247 omg

Chase Freedom - 28K. I win!

[Blitz34]

I tell everyone who wants to start out and learn to go create a free CreditKarma.com account. Its not 100% accurate on scores but it does give you a pretty close baseline and helps you learn how certain things affect your score.

[dr.gonzo!]

Originally Posted by Blitz34 It doesn't hurt you to have unused lines. Old trade lines help lengthen your credit history. Closing old accounts can actually hurt you depending on how many newer or recent accounts you've opened.

That's what I have heard but I was unsure about revolving debt vs income. Like why can my credit score never hit 800 when I don't even have a single blemish on my credit report. What's keeping it down?