Guest tbutera2112 Posted October 27, 2009 Report Share Posted October 27, 2009 what is a decent company to open a credit card with? what could i expect to be my minimum payments monthly on a $200ish charge? is there any penalty to paying it off and cancelling it early or anything? ive never had one before i need a couple hundred bucks to fix my car, and this is looking like the only option, but i plan to have it payed down by the end of the year hell i dont even know how to open one though mastercard website shows normal cards, and student cards...what is the difference? Quote Link to comment Share on other sites More sharing options...
Bam Posted October 27, 2009 Report Share Posted October 27, 2009 just walk into any local bank, chase, 5/3, etc. and apply, most likely get approved for the student cards only unless you have credit and some good credit. Make sure you get one with no annual fee and try and find the lowest rates, but they will still be like 15% probably. minimum payments are generally between 2-4% of the balance, depending on the card. But some cards are 2-4% or like a minimum of $20 if that percentage is less because of the low balance. I honestly wouldn't recommend getting a credit card for this reason, get a credit card because you want to and are ready and prepared to be responsible with it, not when your broke/short on money and you can't pay it off each month. That's a good way to dig a DEEP hole super quick. There is no penalty to paying it off each month, you want to do that. You do NOT want to cancel the card just because you paid it off and don't use it. Throw it in your sock drawer and forget about it if thats the case, but leave it open as it builds credit history. Just my .02, you can bum $200 off your mom or someone for a couple weeks to get you buy? Quote Link to comment Share on other sites More sharing options...
Guest tbutera2112 Posted October 27, 2009 Report Share Posted October 27, 2009 just walk into any local bank, chase, 5/3, etc. and apply, most likely get approved for the student cards only unless you have credit and some good credit. minimum payments are generally between 2-4% of the balance, depending on the card. But some cards are 2-4% or like a minimum of $20 if that percentage is less because of the low balance. I honestly wouldn't recommend getting a credit card for this reason, get a credit card because you want to and are ready and prepared to be responsible with it, not when your broke/short on money and you can't pay it off each month. That's a good way to dig a DEEP hole super quick. Just my .02, you can bum $200 off your mom or someone for a couple weeks to get you buy? i could afford $20 a month, that wouldnt be an issue...ide have the whole card payed off probably in 2 months...moneys tight right now because of school and my job just fucked me over real good so for the next 3 months until i recover from UPS screwing me, im on my ass a little bit i would be charging 150-200 bucks on it and then putting it into our lockbox where i wont be tempted to make any charges with it, so i wouldnt have to worry about racking up debt...im very anti-credit cards and swore ide never have one... what is a student credit card? and my mom is dealing with a ton of fines and court costs right now because of a serious traffic violation and she is strapped also...she just got a 10% paycut at work and now were barely affording groceries...i do alright when UPS doesnt fuck with me...its hard to get by when youre on a budget and get screwed over though my gma would loan me $200, but i already owe her $500 that ill be paying her back on Nov. 1st, and i dont want to ask for more, right after i pay her back...(i do have her $500...im not that irresponsible) i had a nice cushion to lay back on in my savings account, but i lost $950 to UPS over some technical BS and now its gone Quote Link to comment Share on other sites More sharing options...
Bam Posted October 27, 2009 Report Share Posted October 27, 2009 a student credit card is just the same as a regular credit card, except meant for students as in it is easier to get approved for one and they generally only have like $500 credit limits. Ok, i just wanted to warn you that paying the minimum at like 15% would end up costing you a shitload more than $150 or $200 and take you quite a while to pay it off. Credit cards are perfectly fine when used in moderation. I typically get back about $1000 cash back per year from just using my credit cards like normal, for free. But I agree they can be the devil for some people. You will want to have a credit card and show on time payments to build your credit so that you can get better rates on things in the future, such as cars, houses, etc. Just an fyi. good luck, you can also try online at like capital one or citicard as I've heard both of those are VERY lenient when approving credit cards, but I personally do not have a card with either of them. 1 Quote Link to comment Share on other sites More sharing options...
Guest tbutera2112 Posted October 27, 2009 Report Share Posted October 27, 2009 ok thanks...my plan is to order my parts, then shred the card and close the account immediately after...then pay down the balance asap, 2 months at the latest i will check out citicard, or apply at a bank...im a member of a credit union, not a bank...so i dont think my bank does these kinda things are any banks still offering the free $100 sign up bonus or whatever? Quote Link to comment Share on other sites More sharing options...
copperhead Posted October 27, 2009 Report Share Posted October 27, 2009 The time that you think you need a credit card the most is the time you need it the least. It's only when you don't need them, that they can be safe to use. Find another way. Quote Link to comment Share on other sites More sharing options...
Bam Posted October 27, 2009 Report Share Posted October 27, 2009 ok thanks...my plan is to order my parts, then shred the card and close the account immediately after...then pay down the balance asap, 2 months at the latest i will check out citicard, or apply at a bank...im a member of a credit union, not a bank...so i dont think my bank does these kinda things are any banks still offering the free $100 sign up bonus or whatever? You obviously didn't read everything I wrote. You will HURT your credit score by doing this and it will negatively affect your chances of getting approved in the future. If you do not want to use it, fine, don't, but just secure it somewhere and forget about it. Hell you can even cut it up if you want, just DO NOT CLOSE THE CARD. Plus, if you need to do this again for some reason in the future, you already have the card, and can use it immediately for emergencies like this. Another thing, if you open a CC, charge something on it, and close the card immediately after before paying it off, the card company may require full payment immediately in full or jack your interest rate up. Why do you not want a credit card? Quote Link to comment Share on other sites More sharing options...
Bam Posted October 27, 2009 Report Share Posted October 27, 2009 The time that you think you need a credit card the most is the time you need it the least. It's only when you don't need them, that they can be safe to use. Find another way. Exactly what I tried saying, but since he obviously wants to get one I've tried to tell him the best way to go about it. Quote Link to comment Share on other sites More sharing options...
Guest tbutera2112 Posted October 27, 2009 Report Share Posted October 27, 2009 Why do you not want a credit card? i dont feel like im responsible enough yet to have one Quote Link to comment Share on other sites More sharing options...
Guest tbutera2112 Posted October 27, 2009 Report Share Posted October 27, 2009 The time that you think you need a credit card the most is the time you need it the least. It's only when you don't need them, that they can be safe to use. Find another way. Exactly what I tried saying, but since he obviously wants to get one I've tried to tell him the best way to go about it. im trying to find other ways...just exploring options Quote Link to comment Share on other sites More sharing options...
Aaron Posted October 27, 2009 Report Share Posted October 27, 2009 Find a promotional 0% card and sign up. Be very careful though, it can pile up fast. Ask me how I know. Quote Link to comment Share on other sites More sharing options...
wnaplay1647545503 Posted October 27, 2009 Report Share Posted October 27, 2009 I will give you $500 for the mustang problem solved, Actually 2 problems solved. You dont realize the relief you will feel when this transaction is done. Quote Link to comment Share on other sites More sharing options...
Aaron Posted October 27, 2009 Report Share Posted October 27, 2009 You obviously didn't read everything I wrote. You will HURT your credit score by doing this and it will negatively affect your chances of getting approved in the future. If you do not want to use it, fine, don't, but just secure it somewhere and forget about it. Hell you can even cut it up if you want, just DO NOT CLOSE THE CARD. Plus, if you need to do this again for some reason in the future, you already have the card, and can use it immediately for emergencies like this. Another thing, if you open a CC, charge something on it, and close the card immediately after before paying it off, the card company may require full payment immediately in full or jack your interest rate up. Why do you not want a credit card? X2 Open it up, and keep it forever. Freeze it in a bag of water if you have to. Thats what we did for 2 months, then thawed them out and put them in our filing cabinet. Haven't put a dime on them in over 4 months. Quote Link to comment Share on other sites More sharing options...
Bam Posted October 27, 2009 Report Share Posted October 27, 2009 i dont feel like im responsible enough yet to have one ok fair enough, so why get one? LOL. And just because you close the card doesn't make any sense. If you CLOSE this card and want another, you'll just go apply again and *hopefully* get approved and have it in the mail in a couple days. OR If you leave the card OPEN but CUT IT UP so that you physically do not have it, you have to call the 800 number or go back to the bank to have them re-issue you one, again it will take a few days in the mail. So there really is no difference....I'm confused. Quote Link to comment Share on other sites More sharing options...
Guest tbutera2112 Posted October 27, 2009 Report Share Posted October 27, 2009 ok fair enough, so why get one? LOL. And just because you close the card doesn't make any sense. If you CLOSE this card and want another, you'll just go apply again and *hopefully* get approved and have it in the mail in a couple days. OR If you leave the card OPEN but CUT IT UP so that you physically do not have it, you have to call the 800 number or go back to the bank to have them re-issue you one, again it will take a few days in the mail. So there really is no difference....I'm confused. sorry...i didnt know the difference...thats just what my mom told me would be best... Quote Link to comment Share on other sites More sharing options...
Bam Posted October 27, 2009 Report Share Posted October 27, 2009 No problem, I'm just trying to be helpful, you want to keep your credit card(s) open to show you have good history of paying on time, which is what lenders want to see. Quote Link to comment Share on other sites More sharing options...
Guest tbutera2112 Posted October 27, 2009 Report Share Posted October 27, 2009 i found a card through my bank with 0% APR for 6 months...so if i paid it off in 6 months, it would not cost me anything more than my initial charge right? its a co-signer card, but my mom said she would co sign it for me and she has perfect credit Quote Link to comment Share on other sites More sharing options...
Aaron Posted October 27, 2009 Report Share Posted October 27, 2009 No problem, I'm just trying to be helpful, you want to keep your credit card(s) open to show you have good history of paying on time, which is what lenders want to see. Agreed Lenders want to see that you can routinely pay off debt; $100 per month for 10 months on a 1k balance. That is how you build credit. It isn't as beneficial to you and might even hurt you if you carry a 1k balance for 9 months and pay it off in month 10. They also don't like the balance to be greater than 50% of the credit limit. If you think you have the restraint (I don't yet) put everything you spend on a credit card and pay it off before interest is charged. That way you get points and bonuses depending on the card of choice. Quote Link to comment Share on other sites More sharing options...
Aaron Posted October 27, 2009 Report Share Posted October 27, 2009 i found a card through my bank with 0% APR for 6 months...so if i paid it off in 6 months, it would not cost me anything more than my initial charge right? its a co-signer card, but my mom said she would co sign it for me and she has perfect credit correct Quote Link to comment Share on other sites More sharing options...
Bam Posted October 27, 2009 Report Share Posted October 27, 2009 i found a card through my bank with 0% APR for 6 months...so if i paid it off in 6 months, it would not cost me anything more than my initial charge right? its a co-signer card, but my mom said she would co sign it for me and she has perfect credit Exactly, that'd be your best bet. But realize that if it is NOT paid off in the six months it not only jumps to a rediculous rate, as in 20% plus probably, but you are usually hit with retroactive interest, dating back to the purchase, so basically the first 6 months. Just make sure you pay it off BEFORE 6 months are up, (I usually do it at least a week or two to be safe) and you got a free loan for 6 months. Quote Link to comment Share on other sites More sharing options...
Bam Posted October 27, 2009 Report Share Posted October 27, 2009 Agreed Lenders want to see that you can routinely pay off debt; $100 per month for 10 months on a 1k balance. That is how you build credit. It isn't as beneficial to you and might even hurt you if you carry a 1k balance for 9 months and pay it off in month 10. They also don't like the balance to be greater than 50% of the credit limit. If you think you have the restraint (I don't yet) put everything you spend on a credit card and pay it off before interest is charged. That way you get points and bonuses depending on the card of choice. I do this every single month, and reap the cash back benefits from it. I typically charge $2500/month on my cc, with everything from daily expenses to actual bills (insurance/utlities/daycare/etc) on it and it all just gets paid off at the end of the month. Quote Link to comment Share on other sites More sharing options...
Guest tbutera2112 Posted October 27, 2009 Report Share Posted October 27, 2009 ok thanks guys...going to try one other option before i apply for it i take winter quarter off for work, and they write me a refund check for my financial aid...im going to see if i can file the paperwork early and then steal 200 out of it and throw the rest in my savings account Quote Link to comment Share on other sites More sharing options...
V8 Beast Posted October 27, 2009 Report Share Posted October 27, 2009 I did the whole build your credit thing in college and kept a balance for 5 years to show I could pay on time. Fast forward 12 years later (never having a late payment or overdraft issue) I get a letter saying my 8% interest rate is being raised to 18% making the credit card 100% worthless to me. Not the best time to be looking for credit cards when someone with a credit rating over 740 is forced to have a variable rate... If you can find a card that is set then go for it... and please let me know if you do since I'm in the market for a new card as well. Quote Link to comment Share on other sites More sharing options...
Aaron Posted October 27, 2009 Report Share Posted October 27, 2009 I did the whole build your credit thing in college and kept a balance for 5 years to show I could pay on time. Fast forward 12 years later (never having a late payment or overdraft issue) I get a letter saying my 8% interest rate is being raised to 18% making the credit card 100% worthless to me. Not the best time to be looking for credit cards when someone with a credit rating over 740 is forced to have a variable rate... If you can find a card that is set then go for it... and please let me know if you do since I'm in the market for a new card as well. x2 Our rate increased on a card we have a balance on. Something like 18% sounds right. I am going to call all of our cards to see if they will lower the rate, not expecting them too, but its possible. Like you said, the common practices don't seem to apply anymore. Quote Link to comment Share on other sites More sharing options...
V8 Beast Posted October 27, 2009 Report Share Posted October 27, 2009 x2 Our rate increased on a card we have a balance on. Something like 18% sounds right. I am going to call all of our cards to see if they will lower the rate, not expecting them too, but its possible. Like you said, the common practices don't seem to apply anymore. I was told that thanks to the economy I didnt have a choice. If you have better luck please let me know. I used to buy car mods during the year and pay it back with my bonus checks.. but with a 17%+ interest rate i'll just wait until I get my bonus to buy the parts. Tyler be very careful what you do... especially if you plan on keeping a balance. Quote Link to comment Share on other sites More sharing options...
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