First Credit Card...

[taco2004]

I am looking to get my first credit card soon(probably this week). Any suggestions on where to get it from? I have looked at Visa.com and Chase.com. They both seem to have good selections. I am in college but I want to try to avoid a student card. I need something with a very low interest rate, no annual fee, and at least 6mo 0% apr. Also I have been told that i should go with Visa. Is there any reason for me not to do this?

Any input would be greatly appreciated!

In case you are wondering.... I am going to be using it to buy a 5d and some other gear.

[motocrossnut34]

DONT GET ONE PAY CASH FOR EVERYTHING
Best advice you will ever get.

[taco2004]

Yeh I understand, but i have about 90-95% of what i need for the camera. After i get the rebates i will be able to pay it off. Also i am very good at budgeting stuff and i have already taken out a 6k loan and payed it off in a little 1 1/2 years.

[JaertX]

Yeh I understand, but i have about 90-95% of what i need for the camera. After i get the rebates i will be able to pay it off. Also i am very good at budgeting stuff and i have already taken out a 6k loan and payed it off in a little 1 1/2 years.


continuing to get yourself in and out of debt will make you poor.

[sugarzebra]

I agree with the above but would modify the sentiment to mean use a credit card wisely and cut it up the first time you ever have to pay interest (even one cent). This is the second best information you will ever get because studies have shown that people who use credit cards (and never pay interest) still spend about 20% more money than people who only use cash!

[inthedeck]

Get a Discover card. At least they pay you back...a cerain percentage per year.

Otherwise, cash is best...debt sucks.

[short5]

DON'T DO IT!!! They are EVIL:evil:

[taco2004]

continuing to get yourself in and out of debt will make you poor.

Your right! I am able to pay things off very quickly though. I do not plan on using the card much after I purchase this. I like to pay with cash.

[aIpha]

Actually, a student card is not a bad idea IF and only if you can and plan on paying off the card promptly every month. Otherwise, take the advice of the others and just use cash.

Got my first credit card (and second) right before my freshman year of college. I graduated over a year ago, I still have those cards on good terms but I rarely use them.

Assuming you are a student (and therefore have no credit history), I doubt you'll qualify for a non-student credit card. The only way you can get a non-student card is to get your parents to give you an additional card as this is basically 'co-signing' your card.

[COKE CAN]

DONT GET ONE PAY CASH FOR EVERYTHING
Best advice you will ever get.

Worst advice you will ever get.

You need to establish credit at some point in your life. That way when it is time to buy a car or house, you will get lower rates.

[yonni]

There are a couple of advantages to using CCs. One is that some cards offer extended warranties on purchased merchandise, and the other is that they will step in if you have a dispute with the retailer and sometimes give you a refund that the retailer wouldn't.

[COKE CAN]

They are EVIL:evil:

I am happy with my 8.9%, but some are evil

[DanteCaspian]

I have gone 30+ years without one and my credit is fine. I borrow my Dad's or friend's when I need to order something, and I give them the money at the time of using the card.
Anyone ever watch the Frontline special on credit cards? http://www.pbs.org/wgbh/pages/frontline/shows/credit/view/

[motocrossnut34]

Worst advice you will ever get.

You need to establish credit at some point in your life. That way when it is time to buy a car or house, you will get lower rates.
Wrong, You can establish lots of credit without using credit cards.

[PhotoJourno]

I say get one card, shop around the internet for one (In the US chase, Citi Cards, and probably Providian are very popular and have constant offers).

Having a credit card under control is priceless. I was not born in the U.S., but thanks to good use of Credit Cards, I was able to buy my first home almost two years ago, with a credit score of over 800 points (being the lowest of three samplings).

And to be perfectly sincere, you will probably also want to limit your Credit Card's maximum credit line. No matter if they give you $6000 or $10k, cut it down to $2k. I have found -at least for me- this to be the magical number. If the need arises, it is enough to run anywhere and pick up a nice lens, or a nice camera instead (or lighting, any one thing). But at the same time, it can be paid off in three to four months.

Leaving the limit opened and thinking you will be careful, does not work for all people. It sure did not work for me. I once was into firearms, and once I got the rifle, I charged the scope. Then I realized I could buy an even better scope, so I charged it also, while the first one went back for return. Then I bought hundreds of rounds of ammo, since it was cheaper than buying by the single box. charged that too. Then a sling, a new carrying bag, the green laser followed, and before I knew it I was waaaay over my head. The funniest thing (not funny haha) is that the Ccard company kept increasing the Limit, without me even asking.

They had me by the balls. I ended up selling half of my possessions in order to settle the debt.

So in Closing, choose the lowest APR card, ask around about Customer Service (believe me, you come across a problem, and there is NO ONE that can help you from Madras or Bombay), and limit your credit line to a very safe number, which you are sure to pay off in three or four months tops if it gets out of hand.

Good luck, and remember that nobody gives you something for nothing. Money through Credit is one of the best places to learn about this.

[COKE CAN]

Wrong, You can establish lots of credit without using credit cards.

You're right. But CC are the easiest. kthx

[DanteCaspian]

Just to clarify, a credit card does not give you the establishment of lots of credit, the users spending and repayment habits do.

[Bob_A]

My only advice is to only get a credit card if you can always pay the monthly balance off IN FULL. If you only make a partial payment you have to pay interest on the entire amount.

Credit cards used wisely are a good way to establish a credit rating. However they are a very poor way of borrowing money. If you need to borrow money for several months you'd be better off talking to your bank about some sort of short term loan.

[COKE CAN]

Just to clarify, a credit card does not give you the establishment of lots of credit, the users spending and repayment habits do.

It's really unfortunate that some felt this had to be brought up. But in any case, this is true.

[COKE CAN]

My only advice is to only get a credit card if you can always pay the monthly balance off IN FULL. If you only make a partial payment you have to pay interest on the entire amount.

Credit cards used wisely are a good way to establish a credit rating. However they are a very poor way of borrowing money. If you need to borrow money for several months you'd be better off talking to your bank about some sort of short term loan.

Depends.

Now say our friend wants to buy a 30D and a few accessories. Then yes, I would agree with this statement.

But, let's say he just wants to establish some sort of credit. So he gets a credit card with maybe a limit of $500 and uses it for gas and little things.

[kram]

As you can see, you are not getting specific advice on which card to get - reason is that most folkd dont know what's the best deal on a card. The industry has kept it that way for a reason. Apart from features, the best APR is often a factor of your credit history.

Get a card - no reason not to have one. But be wary of those interest rates. Per month, it'll not look like much, but if you use it without a specific idea of how to pay it off, you're in trouble.

Another factor to consider - if you are buying it on credit, is it coz you are going to make money from it? If its a hobby, think even harder.

[COKE CAN]

I have a card with Providian and I love their online banking. They give you monthly updates on you credit score. Now I also have a card with Chase. This is my 3rd Chase card. They have me locked in at 8.9%APR.

[theflyingkiwi]

I would also say don't get one if you can afford it. However they are usefull. After all I wouldn't have got my camera if it wasn't for the CC. I had the money at the time but all the good stores are out of town. So traveling out of town isn't always good either.

I think that using a CC online is perhaps the safest ways of buying (I am sure someone will disagree with me on that) but however I when I can pay the card off in full. No point in giving the card company to much money :) And I always keep track of the amount owing.

Just so ya know months can go buy with out even using it.

[Becca]

I just got a Citi Simplicity card to use when I am in Africa. They have a 0% interest rate for the first year, 11.24% after that. I don't plan to use it after I get back from Africa next year. I always use an American Express card and pay it off at the end of the month but have been told that they are not widely accepted in Africa.

Be very careful with credit cards. I got myself into a deep hole when I was in college and first starting out in life and it took me almost 15 years to pay it all off. Now I pay cash for everything, use my Amex (which has to be payed off every month), or use a debit card. You don't want to start off life in the red!

[AccidentalArt]

I think having a CC is great and even better if you can use it's purchase recording structure to give you a better idea of how you spend money day to day. You need one to establish credit. I carry a Visa from my bank for emergencies. I carry Amex for day to day purchases, required to pay off in 30days. I do this so at the end of the year I can review how I spend as all purchases are categorized in a spending report. Last year I noticed an increased in restaurant and photography purchases. I've been able to reduce spending on eating out since then ;)

Good luck!!

btw - there are some web sites that do reviews of CC's, just like lens elsewhere.

[Bob_A]

Depends.

Now say our friend wants to buy a 30D and a few accessories. Then yes, I would agree with this statement.

But, let's say he just wants to establish some sort of credit. So he gets a credit card with maybe a limit of $500 and uses it for gas and little things.

You'll establish a higher credit rating if you use it lots but pay it off in full every month.

[Claire]

I don't have a CC, only a debit card. Works well with me. :)

[2001storm]

Check this out first!!!! http://www.daveramsey.com/

[COKE CAN]

You'll establish a higher credit rating if you use it lots but pay it off in full every month.

My point on using it for gas, etc.

[JaertX]

Check this out first!!!! http://www.daveramsey.com/


yep.

Remember, you're taking advice from a bunch of annonymous (and probably close to broke) people. So, go ahead and do what 80% of everyone else in the U.S. does and stay just above the poverty line. Or go crazy and do what MOST wealthy people do...don't buy things you can't afford, use cash (or debit) and keep your #1 builder of wealth in your pocket...your income!

And hey, I ain't no better than anybody else...I just take money advice from people who got it, not broke people.

[KevC]

Credit is a powerful and dangerous thing. But getting a credit card ASAP is good.

Look for no-fees instead of low interest rates. You should NOT be using your credit card for borrowing. Get a Line of Credit or a loan if you need money you don't have.

Using a credit card and paying (at least the minimum) payment every month will build your credit which is important. Not everyone is lucky/cunning enough to make enough to buy a house/car/etc etc (put your children through college etc) with cash. A good credit history helps with securing loans such as car loans and mortagages.

Use your credit card like a debit card. ONLY buy what you can afford to pay off EVERY month. If you start letting payments slide, it's no good at all. At the VERY least, make your minimum payment so your credit history doesn't go to hell (so you can't even get a loan or another credit card!).

[SoaringUSAEagle]

I can only imagine myself and the gear I would have if I had a credit card. Nearly each week, if not several times a week I get credit card offers... Sometimes even daily. I refuse. I pay cash for everything now.

I have financed before however... obviously my car, (totally different story), my fiancees $2200 ring... had the cash at the time but wanted to at least start my credit... paid it off in 5 months just to build some credit. I also put my old camera on a circuit city card and paid it off within the year allowed for 0% interest. And I have also borrowed money from my grandma and paid her off within 7 months and it was over $2500 that I borrowed.

I am great with money and now that my credit score is 903 at the age of 19, I dont think I really need a credit card lol. When the time comes to get a home, that's a whole different ball game. I have had several cars with my name attached to them... had 3 totalled in 2 years (obviously none of the accidents were my fault) and that is how my credit got so high so fast, plus my parents rock with money too.

The advice has been given several times throughout this... Dont get one. It sounds like you really dont need it anyhow if you can manage money well unless you are trying to start a line of credit for yourself. Just before I moved out of my folks' place, I got a target card just to receive their 10% off deal since I had a large purchase, saved quite a bit too... When that first bill came, wham, paid off. So if you are able to do that while building your credit, do it... But dont get caught up in interest rates bud.

[Cybnew]

I plan on getting a card when I turn 18, strictly for internet purchases, however, i have a cosigned credit card right now, and i hardly ever use it. There is just something about walking into a place and handing the person $750 cash (my cheap specialized road bike) and walking out, that makes me happy. :) (yeah...i know...poor view on a serious topic)

[COKE CAN]

I can only imagine myself and the gear I would have if I had a credit card. Nearly each week, if not several times a week I get credit card offers... Sometimes even daily. I refuse. I pay cash for everything now.

I have financed before however... obviously my car, (totally different story), my fiancees $2200 ring... had the cash at the time but wanted to at least start my credit... paid it off in 5 months just to build some credit. I also put my old camera on a circuit city card and paid it off within the year allowed for 0% interest. And I have also borrowed money from my grandma and paid her off within 7 months and it was over $2500 that I borrowed.

I am great with money and now that my credit score is 903 at the age of 19, I dont think I really need a credit card lol. When the time comes to get a home, that's a whole different ball game. I have had several cars with my name attached to them... had 3 totalled in 2 years (obviously none of the accidents were my fault) and that is how my credit got so high so fast, plus my parents rock with money too.

The advice has been given several times throughout this... Dont get one. It sounds like you really dont need it anyhow if you can manage money well unless you are trying to start a line of credit for yourself. Just before I moved out of my folks' place, I got a target card just to receive their 10% off deal since I had a large purchase, saved quite a bit too... When that first bill came, wham, paid off. So if you are able to do that while building your credit, do it... But dont get caught up in interest rates bud.

It was alsmost believable.

[SimonG]

It was alsmost believable.
It's conceivable that he's quoting his score based on the new Vantage system (scores range from 501 to 990), rather than his FICO score.

[COKE CAN]

It's conceivable that he's quoting his score based on the new Vantage system (scores range from 501 to 990), rather than his FICO score.

ahhhh, I am unfamiliar with that.

[Photogurl10]

DONT GET ONE PAY CASH FOR EVERYTHING
Best advice you will ever get.

ditto!!!!!

[SoaringUSAEagle]

It was alsmost believable.

All I know is that is what showed up on the screen when I moved into this apartment complex. It filled up nearly the whole bar... Waived my deposit fee. I was happy.

[SuzyView]

I have 2 sons in college. Neither have a credit card. I told them the day they get one of those, I cut them off completely. That being said, I'm a generous mom. They have debit cards for their checking accounts. If they need anything that they think I should pay for, they ask me in advance and I tell them it's okay and I pay for it. They know to save big ticket items for holidays and birthdays, so they don't usually ask for much during the year except clothes.

Yes, a good credit rating is important. I may let my 22 year old get a cc soon, just to help pay for his car expenses. Carrying a monthly balance is actually a good thing within reason, but not to go right to the limit. Paying just the interest and lowest payment means you will pay forever and maybe never get out of debt. I am passionate about this because my husband and I were poor students once. We got married young, had kids before we were done with our education and we didn't have rich parents to take the load off. Thousands of dollars of debt later, we can say we have overcome that period of our lives. But we don't laugh about it. Debt is overwhelming and can cause some physical and emotional stresses. Do yourself a favor, if you do get a cc, which I think is a good thing for emergencies, plan on paying everything off within reason. I don't want my sons to suffer like we had to just to get done with school.

[SimonG]

Y'all are talking about credit cards as though they are some great evil incarnate, when the fact is that it's not credit cards that get people into trouble... it's poor spending habits that lead to trouble. Credit cards are just a means for paying for things, and provided that they are used properly (i.e. you pay them off each and every month, and you are careful not to spend money that you do not have) they are far superior to debit cards and cash in my opinion, due to the protections inherent to them. In my opinion, rather than cautioning against credit cards we should really be stressing the importance of healthy spending habits and a bit of discipline when it comes to budgeting.

[taco2004]

Thanks for all the advice!!! I plan to only use the card when i know I can pay it off.

I went ahead and applied for a Citi Simplicity Card. https://www.accountonline.com/ACQ/Chooser/LearnMore?siteId=CB&CARD_KEYS=4DPZE2U6-M

11.24% APR and 0% APR for 12 Months.

[rklepper]

These days you really need to have a card, but whatever you do, don't buy anything that you cannot afford. Never allow a balance to remain on the card. It is the most financially irresponsible thing that people do is use a card as credit. There are very few things that you should ever go into debt for and a credit card does not give you enough credit, or a good enough rate, to buy any of those things.

The only things that I have ever gone into debt for are houses and cars. You might add education and businesses to that, but that is really it. Those are really the only things that make sense to go into debt for.

[COKE CAN]

All I know is that is what showed up on the screen when I moved into this apartment complex. It filled up nearly the whole bar... Waived my deposit fee. I was happy.

I retract my previous statement after reading into the other credit report scoring.

[COKE CAN]

Thanks for all the advice!!! I plan to only use the card when i know I can pay it off.

I went ahead and applied for a Citi Simplicity Card. https://www.accountonline.com/ACQ/Chooser/LearnMore?siteId=CB&CARD_KEYS=4DPZE2U6-M

11.24% APR and 0% APR for 12 Months.

Stick to that and you will have no problems.

[COKE CAN]

P.S. - I will admit that it is tempting to use the credit card though. You don't know how bad I want to buy a new lens, but I am going to see a Wicked on Broadway next month and I know I should really wait until I get back. haha

[SoaringUSAEagle]

I retract my previous statement after reading into the other credit report scoring.

Oh it's ok coke. I was not mad at all. I didnt know there were different systems except thats what I saw lol... I asked to see the screen and they showed it to me.
:D