Credit Cards

[Mike McC]

Bit of a problem... how is one supposed to get a credit card when they have no credit? Most seem to rely on some sort of credit rating, and you can't really get a credit rating without a credit card, so... you see the issue here?

[Melfice]

The company that supplies you with the credit card looks at your bankaccount and it's history. It looks at whether you have been in debt before. If so, it would take a miracle to receive a credit card.
If not, congratulations with your new debt-maker... 'cause that's what they are, you know. If you don't know how to handle one.

[Mike McC]

I know how to handle it quite well, It's just sort of a neccesary evil this day in age, because... well, you need a good credit rating to get a car loan, or a house, or many other things.

Plus, it's helpful on things like buying a new computer.

[Melfice]

I know. Creditcards are the source of all monetairy evil. But I stand by my statement. Be very careful with your credit card, because before you know it you'll be paying back your stuff two-, three or even fourfold.

Good luck on getting one, and getting that new computer.

[Bob The Mercenary]

You need some sort of fixed income to be eligible for a credit card. I mean something more than minimum wage. That is another factor that credit card companies look into before approving you.

I remember that when I turned 18, at every Jets football game my dad and I went to I would register for a Jets Visa card at a kiosk right outside the stadium. We both knew I'd get rejected, but every time you apply you get a free gift, so there was really no downside. :)

[Sky Warrior Bob]

I also personally only suggest getting one credit card & keeping up to date with your payments on said card. Also rely on a cash card whenever you can (take money from your bank account, but allows you to make credit-card type payments).

I know, those are two tough standards to stick too, but if you can manage it, you'll be better off in the long run.

SWK

[adamark]

It would be better never to get a credit card at all. Pay cash. If you can't pay cash, you shouldn't be buying it. Paying with credit is like paying the original amount + 15% after all the interest. Why pay more? Fight the system that keeps you oppressed.

[Arlia Janet]

It depends on your financial situation and what type of credit plan you have. I have certain bills that are the same every month- rent, utilities, food, etc. I can pay all of that with a credit card and instantly turn around and pay the credit company before they accrue interest. I have no net loss, but I gain the credit points. (And it's all about the points. Points= plane tickets, supplies or anything else I need).
If you are younger than 21, I would not do anything but buy petrol with it.

[RaiRai]

There are banks that can offer you a credit card despite your credit history. As long as you've not been in debt too long and have regular income coming into your account, you should be considered. And keep only ONE card if you do get accepted - the more you get tempted to spend your overdraft, the more in debt you WILL be at the end of the day.

[Kazekage]

Also many credit cards will give people with exceptionally bad credit a card because either way they win. If you don't pay on time you build up interest that is essentially profit for them. If you do pay on time they still get their money plus interest. So if they give someone in a really bad credit situaton a card that person will of course agree in hopes to fix their credit. But the credit card companies bank on the idea that humans are creatures of habit and will fall into debt again.

[Sky Warrior Bob]

Also, I only thinnly went into this & mistakenly called it a cash card, instead of calling it a bank card, but you should consider getting one of those. And unless you're bank account it running on empty, its use can only help your credit & it doesn't have interest rates.

SWK

[synkr0nized]

It would be better never to get a credit card at all. Pay cash. If you can't pay cash, you shouldn't be buying it. Paying with credit is like paying the original amount + 15% after all the interest. Why pay more? Fight the system that keeps you oppressed.


If you pay your bills on time, guess what? No interest. I have an impeccable credit rating because of this.

Brave, if it comes down to it and you decide a debit/bank card is not what you need and credit really is, perhaps you could look into a joint account. Before I started high school, or somewhere around then, my father helped me out by being my co-owner of the card. In practice, he handled nothing but advice and the like. Technically, he could use the card number, but it was issued in my name and my bank account was used to create it. I honeslty don't remember if it's become 100% mine now or not, as I only use credit for purchases I don't want to or can't spend the cash/debit on directly [I really should look into this]. Regardless, this provides a way for someone with no credit rating (I really still have little need for a credit card, being in my senior year of college and not living alone) to create and establish one.

[Kitty Cannonade]

It would be better never to get a credit card at all. Pay cash. If you can't pay cash, you shouldn't be buying it. Paying with credit is like paying the original amount + 15% after all the interest. Why pay more? Fight the system that keeps you oppressed.

That only happens if you don't pay the amount in full when the bill is due. Or better yet, pay it early.

Also, I only thinnly went into this & mistakenly called it a cash card, instead of calling it a bank card, but you should consider getting one of those. And unless you're bank account it running on empty, its use can only help your credit & it doesn't have interest rates.

SWK

I think these are good, too. My first card was a visa through my bank. It had a limit of $500. After a year, the limit went up to $750. Then I started getting regular credit cards. After that, I bought a car. It was frustrating, though, trying to buy a car before I had a credit card. I had the money, but I didn't have any references.

[Terex4]

Okay, you can try a bank with a secured card (think of it like a phone card, you put money on it and that's all you have. Its like a check card almost.) If you live with your parents, convince them to apply for a gas card or something with both their name and your name on it, then when they use it and pay on it you gain the credit too.

If you live on your own, your bills will help your rating as long as they are in your name.