Getting a credit card?

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imported_UnsanePyro

New member
I was just reading a thread in ramblings about someone who was in the middle of paying off their credit card debt on six cards . I was thinking, that I Should get myself a card so that I can start building my credit for later on in life.



I'm 18, and a senior in high school. I've got a steady job, and have never personally ran into any finincial problems trying to scrounge up money for anything important, I'm pretty good at managing my own and budgeting myself also.



I've got a checking account with my name on it, with a debit card (Visa) but that won't help my credit score correct?



What should I look for in a card? I really don't know and haven't talked with my parents much about it (they have had problems with credit cards before). Would a card from a local gas station I frequently use be a good bet if I Get some sort of return on purchases made there? Or is that just a marketing scheme that doesn't really work well in real life?



Should I stick with Visa/Discover/Master Card/American Express because of their generally large acceptance? Is there even another good option?



Also, is there a good site online where I can keep track of my credit score, and learn more about building it up. It seems like there were differing oppinions in the other thread about what is good for your credit score and what doesn't really effect it.
 
you're probably not going to get a credit card easily because you have -no- credit history. Often that's worse than bad credit.



I'd suggest getting an installment plan credit card first, like a jewelry card. Make a small 100~200 purchase & pay it off in 6 months. that will build excellent credit. I'd stay away from revolving debt credit right now...



The site I like for credit scores is www.myfico.com, they can pull from 3 major reporting agencies. the one that does my area is mostly Equifax.
 
Kanchou said:
you're probably not going to get a credit card easily because you have -no- credit history. Often that's worse than bad credit.



I'd suggest getting an installment plan credit card first, like a jewelry card. Make a small 100~200 purchase & pay it off in 6 months. that will build excellent credit. I'd stay away from revolving debt credit right now...



The site I like for credit scores is www.myfico.com, they can pull from 3 major reporting agencies. the one that does my area is mostly Equifax.
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I was hoping that I could get a card with a low limit or something to that effect, I'm not completely sure how it all works. But I figure since I ahve no credit, I would end up only getting something very basic.



Can you elaborate more on that installment plan credit card?



And that website, looks good, I'll have to sign up once all of this gets underway.
 
your credit score is a bunch of things all put to gether but one thing i do know is god is that you have ONE long trem card. So pic one you want to stick with(look at Upromise.com it will help with school and maybe your family down the road)
 
Are you going to college in the fall? Wait until then and get a student card from one of the companies that sets up on campus. I got 3 cards that way! Still have 1 of them.. they've continued to raise my limit over the past 6 or 7 years..



I'd stick with Visa or Mastercard. One of those 3 cards was an American Express card which I cancelled right after they wouldn't let me use it at my school's bookstore. Decided I didn't want the hassle of worrying about whether or not my card would be accepted.



Soon, you'll be able to get a free copy of your credit report every year.. http://www.ftc.gov/bcp/conline/pubs/credit/freereports.htm It's already free in quite a few states.
 
perry said:
Are you going to college in the fall? Wait until then and get a student card from one of the companies that sets up on campus. I got 3 cards that way! Still have 1 of them.. they've continued to raise my limit over the past 6 or 7 years..



I'd stick with Visa or Mastercard. One of those 3 cards was an American Express card which I cancelled right after they wouldn't let me use it at my school's bookstore. Decided I didn't want the hassle of worrying about whether or not my card would be accepted.



Soon, you'll be able to get a free copy of your credit report every year.. http://www.ftc.gov/bcp/conline/pubs/credit/freereports.htm It's already free in quite a few states.
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Yup, I'm going to be going to a Community College this fall, and will be there for at least 2 years probably.



Thanks for the info on the free credit report, for me it is still a few months away, but definately nice :xyxthumbs
 
I got my own credit card under my mother's name. Discover Platnium with no limit :)

I really only use it for books and online shopping, everything is paid back within a day.

I always brag to my friends that its got no limit, so one day i'll just charge a brand new car, and probably get it repo the end of the month :lol
 
i got my first credit card at a local Mobil gas station that i frequent since i was 18 before i left for the army in 1972. ever since i built up my credit i had no problem applying for sears and visa. and put a limit for starters say at $400.00. this is a sure way of not going over the limit and will make you patient at saving your earnings to pay your bills on time. also avoid minimum payments and pay a little more than they ask for to avoid higher interest payments. shop around for a card with a good annual percentage.
 
JohnnyDaJackal said:
I always brag to my friends that its got no limit, so one day i'll just charge a brand new car, and probably get it repo the end of the month :lol
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Yea, my card has gotten to the point that I could buy an "average" car with it. I actually have thought about calling them and having it dropped down to like $5000 or so.. Absolutely no need for me to have such a high limit.



My student card, which has turned in to platinum or whatever, is through MBNA. I don't actually carry a physical card any more, just use my Visa check card for everything locally. But for online purchases I use a temporary number that MBNA's web system generates. I choose the limit and how long I want it good for (month, two months, etc), and they generate me a brand new number that can only be used at one vendor. So if I store's database is compomised, my number is of no use! I didn't know about the one vendor thing a couple weeks ago when I tried to purchase from two different stores at the same time. First one went through, second one wouldn't. Pretty good :xyxthumbs Since I don't have the card, I can't memorize the number, so it's harder for me to make impulse purchases.. used to be pretty bad about that ;)



If they turn you down for a student card (doubtful, but ya never know!), try getting a small personal loan from your bank.. $500 or something. Just throw the money in a savings account and make the payments each month. You'll lose a couple bucks on interest, but making the payments will build credit history.
 
Autoeng said:
A gas card that you pay off monthly is one of the best ways to build a credit history.
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That's one of the things I haev been looking for, I pick up the little flyers when I stop and get gas. I may get myself a Shell card (my car runs best on their gas, and its easily available) if I get approved.
 
Take out a $1000 or so personal loan at a bank. Make payments on time for 4-5 months and the credit cards offers start rolling in. Really helped me rebuild my credit after my divorce (having a wife who writes hot checks to your student loan and to Citibank really trashes your credit :( ).



Always carry as little balance each month that you can on any CC you may get. Be frugal during your college years and you will graduate with little debt and excellent credit. :)
 
Read the fine print about grace periods, late fees and when they charge interest (usually retroactively to the purchase date unless you pay in full by the due date!)



There are some sleazoid card issuers out there that make it easy to get their card but then practically force you into the interest/debt spiral. I have a friend whose son got caught in that trap. He absolutely hates interest and fees and always paid his bills in full by the due date. Just once his payment arrived a little late and they zapped him with big fees and then interest on the fees and no matter how hard he tried to pay them off they kept claiming he missed the deadline or got the amount wrong or some bull$#!^. He ended up having to go to a consumer affairs agency to resolve it.



If at all possible try to get cards from well known outfits, MBNA, Citibank, etc.





PC.
 
Credit cards are the devil's tool. I had 2 when i turned 18. Got buried in them and just coming out of them 6 years later.



I closed all the credit card accounts except sears and a visa for emergency's. I keep a 0 balance...if I don't have the cash, I don't buy it. ;)
 
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