JUST got my first credit card!! - DPChallenge Forums

Canon EF 85mm f/1.2L II USM

03/21/2007 02:44:51 PM · #1

well its a prepaid credit card buttt its still a credit card and i just realised i can buy things online now! crazzzy

NstiG8tr

Canon EOS-5D Mark IV

03/21/2007 02:53:35 PM · #2

Then it's actually more like a debit card. Having Credit Cards are a bad habit to get into.

idnic

Canon EOS-60D

Canon EF-S 17-55mm f/2.8 IS USM

03/21/2007 02:55:25 PM · #3

Originally posted by NstiG8tr:

Then it's actually more like a debit card. Having Credit Cards are a bad habit to get into.

And dangerous. Especially when you are young. You could screw your credit up for YEARS by making a few bad choices.

RayEthier

Canon EF-S 18-55mm f/3.5-5.6 USM

03/21/2007 02:56:10 PM · #4

Originally posted by NstiG8tr:

... Having Credit Cards are a bad habit to get into.

...Actually No!!! Having credit cards is not a "Bad Habit", but over extending one's credit, and not paying the balance due, most assuredly are.

Ray

LN13

Canon EOS-60D

Canon EF-S 15-85mm IS USM

03/21/2007 02:57:50 PM · #5

What Ray said. Having them isn't a bad habit. USING them is.

kawana

Sony Alpha a7R

Samyang 135mm f/2 ED UMC

03/21/2007 02:58:30 PM · #6

meh whats so bad about a credit card, i have one and im fine. I think everyone should get one at age 19, just keep the limit low like mine ($500) Its easy to pay off, and builds your credit rateing. I mostly use it to buy small things like gas.

edit: mind you hes 16, and still in school id imagine, where-as im out of school and have a fulltime job, so its very easy to pay off. Just be careful with it, my parents got $40,000 in debt over the years and luckily they got a $72,000 inheritence and paid it all off. If your not careful credit cards can ruin everything.

Message edited by author 2007-03-21 15:00:23.

Nikon AF-S NIKKOR 24-70mm f/2.8G ED

03/21/2007 02:58:51 PM · #7

Originally posted by idnic:

Originally posted by NstiG8tr:
Then it's actually more like a debit card. Having Credit Cards are a bad habit to get into.

And dangerous. Especially when you are young. You could screw your credit up for YEARS by making a few bad choices.

i guessi should elaborate on it more.

This credit card is a gift from telus, as being a telus dealer when i complete telus training they fill my credit card. so every quiz i do i get like 5 bucsk. i have 100 so far :)its an American Express

but soon my mom is going ot co sign for me to get my Visa. For the simple matter of being able to start establishing credit. I am responsible enough to not spend money i don't have. I will only use it when i know i have enough in my bank then transfer over the next day or so.

kenskid

Nikon D700

03/21/2007 02:59:48 PM · #8

Forget all of those previous posts about screwing up your credit. You are starting our right. If you can only spend what your prepaid balance is, you'll be ok.

This is a good way to get you in the habit of paying off your card each month and not falling into the long term credit traps.

NstiG8tr

Canon EOS-5D Mark IV

Canon EF 85mm f/1.2L II USM

03/21/2007 03:02:00 PM · #9

Originally posted by RayEthier:

Originally posted by NstiG8tr:
... Having Credit Cards are a bad habit to get into.

...Actually No!!! Having credit cards is not a "Bad Habit", but over extending one's credit, and not paying the balance due, most assuredly are.

Ray

In "your opinion" you meant to say. Also you would mean paying the "entire balance due" not just the "minimum due"

Dseale

Sony Alpha a7 III

Sony Sonnar T* FE 55mm f1.8 ZA

03/21/2007 03:02:02 PM · #10

I tried to co-sign for a friend to get a loan for a car and they said I needed 3 forms of credit, for at least 3 years, Geez!
So I've got 3 credit cards now trying to get my credit score up for the future. My grandpa says, "If you don't have the money, don't use your credit card." Guess he's right bc it's worked out alright so far. I'm sure things will change in the future though.

Canon EF 16-35mm f/2.8L USM

03/21/2007 03:05:02 PM · #11

Originally posted by Dseale:

tahts what im doing and trying to get it while im young so i dont need to pay huge deposits on stuff!

drewbixcube

Canon EOS-7D

03/21/2007 03:05:35 PM · #12

Just wait until you are ready to buy a house. They start looking at "debt to income ratios". It's fun...like a trip to the proctologist.

amirt

Nikon D50

Tamron AF 18-200mm f/3.5-6.3 XR Di II for Nikon

03/21/2007 03:05:46 PM · #13

Originally posted by NstiG8tr:

Having Credit Cards are a bad habit to get into.

Only if you use it incorrectly. Credit is a good thing to have. Using credit cards are a good way to improve lackluster credit. (some say bad credit is better than no credit at all). Just be sure to use it wisely. Have a small balance carry over each month, and pay it on time, every time. If you pay the balance off each month when it's due, it's not that beneficial to increasing your credit score.

Credit affects many things, your ability to get housing (home or apartment), cell phone, vehicles, utilities (bad credit could have caused us to pay a deposit on our electricity and water account).

Most people use credit incorrectly, especially when they are young and not used to being responsible for paying bills. You don't want to put anything on a credit card so that your balance couldn't be paid off at the end of the month (even though I said earlier not to pay it off each month). Most people who get into credit card trouble don't realize how much they spend until they are in trouble.

Tamron AF 18-200mm f/3.5-6.3 XR Di II for Nikon

03/21/2007 03:10:50 PM · #14

Originally posted by amirt:

Originally posted by NstiG8tr:
Having Credit Cards are a bad habit to get into.

Only if you use it incorrectly. Credit is a good thing to have. Using credit cards are a good way to improve lackluster credit. (some say bad credit is better than no credit at all). Just be sure to use it wisely. Have a small balance carry over each month, and pay it on time, every time. If you pay the balance off each month when it's due, it's not that beneficial to increasing your credit score.

Credit affects many things, your ability to get housing (home or apartment), cell phone, vehicles, utilities (bad credit could have caused us to pay a deposit on our electricity and water account).

Most people use credit incorrectly, especially when they are young and not used to being responsible for paying bills. You don't want to put anything on a credit card so that your balance couldn't be paid off at the end of the month (even though I said earlier not to pay it off each month). Most people who get into credit card trouble don't realize how much they spend until they are in trouble.

Why is it bad to pay it off every month? i am definitly responsible enough to not abuse it!

amirt

Nikon D50

03/21/2007 03:11:24 PM · #15

Originally posted by Dseale:

I tried to co-sign for a friend to get a loan for a car

I'm sorry to say, but this is one of the worst things someone can do. This, out of all things, is the riskiest thing you could do for your credit. You are in a sense, putting your credit rating in someone else's hands. If they are late on 1 payment, it will affect you. God forbid they get into a situation where they cannot pay on the car at all, then it falls to you as well.

You also have to be careful with vehicle insurance in this situation. Since you are part owner of the vehicle, if your friend were to get into an accident, you could be sued for damages (which in worst case scenario could cause you to lose all your possessions including a house).

amirt

Nikon D50

Tamron AF 18-200mm f/3.5-6.3 XR Di II for Nikon

03/21/2007 03:12:39 PM · #16

Originally posted by noisemaker:

Why is it bad to pay it off every month? i am definitly responsible enough to not abuse it!

It's not bad to pay the balance off each month, however you'll not be able to increase your credit rating as quickly. This is just a small balance that I am talking about.

ETA: I'll find a source for this when I can get a chance to look it up.

Message edited by author 2007-03-21 15:15:35.

Strikeslip

Canon EOS-5D

Canon EF 100-400mm f/4.5-5.6L IS

03/21/2007 03:12:57 PM · #17

Credit can be good.

I've had tons of loans and credit card debt. You just have to be able to pay them off, the faster the better to avoid as much of the interest as possible. As a result, my credit rating is so high that my banker phones me on a regular basis to ask if I want a credit line, or loan for anything. It's not like they're offering free money, but it's not a bad indication of where my credit stands with them. Of course, maybe they're just feeling sorry for me about how little there is in my account.

I did a credit check on myself yesterday at Equifax.

Rebecca

Nikon D80

Nikon AF Zoom-Nikkor 18-135mm f/3.5- 5.6G ED DX

03/21/2007 03:16:29 PM · #18

Originally posted by larryslights:

What Ray said. Having them isn't a bad habit. USING them is.

This is overstating as well. It's difficult to build good credit without a credit history, which you don't have unless you use credit.

A responsible way to use credit cards when you're young is to make one small purchase every month and pay off the entire balance. Do this every time and the creditors won't be wondering why you have no credit history when you go to buy a house or a car. Trust me, a 25 year old with no credit history is a big red flag to a lender.

RayEthier

Canon EF-S 18-55mm f/3.5-5.6 USM

03/21/2007 03:17:00 PM · #19

Originally posted by NstiG8tr:

Originally posted by RayEthier:

Originally posted by NstiG8tr:
... Having Credit Cards are a bad habit to get into.

...Actually No!!! Having credit cards is not a "Bad Habit", but over extending one's credit, and not paying the balance due, most assuredly are.

Ray

In "your opinion" you meant to say. Also you would mean paying the "entire balance due" not just the "minimum due"

Actually this is not a matter of opinion as much as a statement of fact. Merely owning credit cards does in itself create a bad habit, but rather is is one's actions subsequent to obtaining the said card that could lead to the onset of a bad habit.

Similarly, if all one pays is the "minimum due", I can positively assure you that you are embarking on a very slippery slope which will give rise to nothing but grief. Stated succinctly, there is nothing wrong with owning credit cards, as long as you "Pay as you GO"

Always remember that it becomes rather difficult to "PAY as you GO" if you are still "Paying for where you were"

Ray

drewbixcube

Canon EOS-7D

Canon EF 16-35mm f/2.8L USM

03/21/2007 03:19:53 PM · #20

Originally posted by Dseale:

...they said I needed 3 forms of credit, for at least 3 years, Geez! So I've got 3 credit cards now trying to get my credit score up for the future.

Paying bills also counts as credit lines. In college, I always made sure the bills for the apartment were in my name. I divided them up and my roommates paid me. Every time I moved, I made sure to transfer my utilities and keep them in my name. That was 3 years of credit right there, and from different sources.