Student credit card

farquit
farquit

Redpill me on credit cards

I have a good credit score and I would like to raise it by getting a credit card.

I plan to get a student credit card which I will use monthly for one or two small purchase like gas or coffee.

It says 20% on purchases . So if I buy a 100$ worth of gas, and I pay before the due date, would I pay interest?

I'm guessing no right? So as long as I pay that 100% efore the due date, j won't pay interest and thus increasing my credit score right?

Methnerd
Methnerd

Pay the bill entire bill early to avoid paying interest. There are new trains of thought out there to not pay it off as soon as possible, but you can look that up as I don't subscribe to that school of thought.

There are more factors to credit than just having a card and paying it off. Credit utilization, accounts opened in the last two years, length of accounts, ect. Look up a full listing somewhere.

PackManBrainlure
PackManBrainlure

Thanks so what's the primary utility of s credit card?

When you're stuck in a situation where you don't have enough cash/debit?

Emergency purposes?

Because I'm totally fine and competent enough to live on Visa Debit

Sharpcharm
Sharpcharm

Here in the UK you have to set up a regular payment for the full amount of the bill - you literally tick a box that says full amount. If you just make a transfer to reduce the balance instead of waiting for a bill the amount isn't reported to credit agencies and your monthly balance to them will shoe as zero and therefore won't affect your credit score at all.

Snarelure
Snarelure

Go for something that has an immediate reward/use case for you. I opened up a Kroger credit card because I live 5 minutes from one and behind rent/utilites, groceries are my largest expense. This nets me the Kroger Plus discounts, $0.25/gallon discount on gas for the first 12 months (added with the discount from Kroger Plus points this is insane) plus a 3x point reward for purchases made in store.

SniperWish
SniperWish

I use my credit cards for every day expenses and other things that I already have the cash for. If I can't afford it, I don't buy it on credit. Buying things you don't have the money to pay for is the reason why people have tens of thousands in credit card debt.

CouchChiller
CouchChiller

In an ideal world you pay that $100 gas bill on time, earn 3% cash back, increase your credit score, and transfer that 3% cash back points to an airline which you can redeem for 1.5~3x the amount - or just outright sell for cash.

AwesomeTucker
AwesomeTucker

So I should get an air miles card?

PurpleCharger
PurpleCharger

I figured. I'm not that dumb.

What do you get out of credit card purchases.? Cashback? Air miles?

Spazyfool
Spazyfool

Do you want to travel?

Cashback. I recently picked up a Chase Sapphire Preferred and am on my way to putting the $4000 on it in the 3 months due to travel for work (all reimbursed). Before someone here says you can't get those cards anymore, you just have to walk into a chase location and ask for it.

Go on sites like nerdwallet and you'll find comparisons and more information.

Raving_Cute
Raving_Cute

My priority is to save money so traveling is not really part of that yet.

Nerdwallet
Cool

I want cashback then. I just want my purchases to earn me something.

Booteefool
Booteefool

Pay the bill entire bill early to avoid paying interest.
no! pay it exactly on time! never pay the balance before they close it, because you will lose utilization and benefits. (i guess this will not be true for all cards but every one i have or looked at) tldr read the fine print!

Bidwell
Bidwell

Credit Scores
Biggest meme of all. You don't need a credit score to get a mortgage. You don't need a credit score to get a car loan. It's called Underwriting.

Credit Cards
A tool of the poor. 86% of people with credit cards pay interest monthly.

Gigastrength
Gigastrength

Why shouldn't you exactly get a credit card, if you can pay bills on time?
cashbacks/airmiles
safe/cancellable payments
basically a free loan worth 1 month of your spending

Methnerd
Methnerd

what is self control
just because I can't hack it no one can!

If you aren't a moron credit cards are a boon for a financial health. Every single CC thread one of you faggots shows up and then get btfo.

Evilember
Evilember

I use my credit cards for everything I can. I pay the balance in full every couple days, which only takes like ten seconds on my phone, and try to make sure the balance is low come that time of the month where they report a statement. That way I keep utilization low.

It's easier than cash, safer than debit, and I get cash back which adds up. I also never pay interest and having the open accounts and available lines of credit is *i'm pretty sure* good for my credit score.

Basically the key is never buying anything you wouldn't be buying in cash anyway. It blows my mind how much trouble people get in with cc debt.

SniperGod
SniperGod

Basically the key is never buying anything you wouldn't be buying in cash anyway.
that's very true.
I pay the balance in full every couple days
again depending on the card and bank this is a very bad idea. you should just pay in full after the balance close in the grace period.

TalkBomber
TalkBomber

A made a few bad decisions ten years ago, not like tens of thousands in credit card bills or anything like that, but a few unpaid utility bills that I just walked out on, totalling about $1100 if I remember correctly, How will this affect my credit now, ten years later? My life is sorted out now but I want a credit card so I can actually start establishing credit.

WebTool
WebTool

I have a citi doublecash card and I still get the 2% paying it early

Methnerd
Methnerd

both of my cards expressly state that if i pay more than once a month i lose the promotion that comes with the card for the season. not only that but only get cashback after the amount that i carried till the balance closed.

citi is a joke here and they are leaving. they had 2% "cashback" which was not real cashback but you could buy coupons from the "points". fuck them. but i know it's different by country.

Emberfire
Emberfire

You guys are making it needlessly complicated. Just set it up to autopay in FULL every month. All my bills come out the 3rd of the month. Check your statements for fraud and rack in the rewards.

TurtleCat
TurtleCat

that's good if you can, i sadly can't on good rewards cards there is no auto-settle. or if there is auto-settle it's only for the minimum payment and it actually costs you to set it up.

so i have to manually settle every month but it really takes 2 minutes and a 15 day window is hard to miss.

StrangeWizard
StrangeWizard

I have like 5 credit cards from different vendors and they all have auto-pay minimum or full amounts. What kind of shit card do you have?

Raving_Cute
Raving_Cute

well i looked at some amex but they were crap and ended up with a raiffeisen one card and an erste joker. i'm currently looking at something from cib but that doesn't have this either.

New_Cliche
New_Cliche

Utilities are a greater expense than groceries

How much do you fucking spend on utilities?

haveahappyday
haveahappyday

By rent/utilities I meant rent AND utilities