Posted on: 19th Nov, 2007 04:16 am
Is there any credit card which doesn't need an annual fee? And which is the best credit card that I can get?I'm 20 and I just wish to have good credit? By the way, is a secured credit card helpful in building credit?
Well, i have been using the ine from American express, you too can try it out.
Hi Addison,
Welcome in this forum.
Credit cards like American Express and Capital one does not charge you annual fee. And yes secured credit cards help you to build or reestablished credit. But a missed payment may affect your credit badly.
Best of luck,
Larry
Welcome in this forum.
Credit cards like American Express and Capital one does not charge you annual fee. And yes secured credit cards help you to build or reestablished credit. But a missed payment may affect your credit badly.
Best of luck,
Larry
If you are a student and looking to build credit apply for a wellsfargo student credit card. Easy to get and a good card. If not capital one is a good choice. Also any secured credit cards help you build credit.
Most financial institutions credit cards are good for you if you use them properly.
Try to avoid online credit store cards and department store cards. Also anything with a word financial in it.
As far as using your credit cards: The best way is to charge what ever you need each month on your credit card but try to stay under 1/2 of your card limit. Then pay it off at the end of the month to avoid interest charges. This will help you buildup your credit fast and save you tons on interest. You dont need to keep a balance on your card to show credit activity. Paying a card off each month shows good credit management wich will mean credit line increse and great credit history. Also installment loans paid on time such as student loans and car loans help greatly with your credit.
Good luck.
Most financial institutions credit cards are good for you if you use them properly.
Try to avoid online credit store cards and department store cards. Also anything with a word financial in it.
As far as using your credit cards: The best way is to charge what ever you need each month on your credit card but try to stay under 1/2 of your card limit. Then pay it off at the end of the month to avoid interest charges. This will help you buildup your credit fast and save you tons on interest. You dont need to keep a balance on your card to show credit activity. Paying a card off each month shows good credit management wich will mean credit line increse and great credit history. Also installment loans paid on time such as student loans and car loans help greatly with your credit.
Good luck.
what they look at is how long the account has been open...have you made timely payments....have you maxed the card out...have you went over the limit etc.
you can charge 10 bucks on a 10,000 credit limit...and the fact that you pay it back when it's due will help you out.
i disagree with charging up to 50% and paying at the end of the month. your credit score will drop when you carry a balance of more than 35% of your credit limit.
most ppl think that 'paying it off' at the end of the month will help BUT...a lot of ppl dont realize this.
most credit card companies dont report at the end of the month.
you have a limit of 1000...and December 1st you charge 500...and you pay the 500 on the bill due date December 31st...
most credit card companies report you on the 15th.
this is why on every credit card item you will see a line for 'high balance'
so your score will drop even though you paid it off on the 31st because you charge 50% of the limit.
AMEX blue card doesnt charge the annual fees but the Black, Platinum, Gold, and Green cards charge an annual fee.
if you're a student..make sure to take advantage of student loans. Credit scoring also looks at diversity. Student loans are considered an installment loan..and you will also need a couple of revolving accounts.
Stay away from credit cards that dont report your credit limit.....Capital One and AMEX don't report a credit limit.
p.s. if you can get a UNSECURED card then dont bother with the secured cards.
BofA has a good student card...no annual fees.
you can charge 10 bucks on a 10,000 credit limit...and the fact that you pay it back when it's due will help you out.
i disagree with charging up to 50% and paying at the end of the month. your credit score will drop when you carry a balance of more than 35% of your credit limit.
most ppl think that 'paying it off' at the end of the month will help BUT...a lot of ppl dont realize this.
most credit card companies dont report at the end of the month.
you have a limit of 1000...and December 1st you charge 500...and you pay the 500 on the bill due date December 31st...
most credit card companies report you on the 15th.
this is why on every credit card item you will see a line for 'high balance'
so your score will drop even though you paid it off on the 31st because you charge 50% of the limit.
AMEX blue card doesnt charge the annual fees but the Black, Platinum, Gold, and Green cards charge an annual fee.
if you're a student..make sure to take advantage of student loans. Credit scoring also looks at diversity. Student loans are considered an installment loan..and you will also need a couple of revolving accounts.
Stay away from credit cards that dont report your credit limit.....Capital One and AMEX don't report a credit limit.
p.s. if you can get a UNSECURED card then dont bother with the secured cards.
BofA has a good student card...no annual fees.
"Try to avoid online credit store cards and department store cards"
What's the rpoblem here, aren't they good enough?
What's the rpoblem here, aren't they good enough?
I took out a credit card from Capital One when I was 19. They'll offer you a starter card with a small limit and there'll be no annual fees. I thought their services were good.
Regarding store cards, well i suppose they are charging too high a reate though these stores intially don't say that, they'll speak about great offers to attract you and then you land up being in debt as you will be unable to make up for payments.
Regarding store cards, well i suppose they are charging too high a reate though these stores intially don't say that, they'll speak about great offers to attract you and then you land up being in debt as you will be unable to make up for payments.
Hello Addison,
The department store credit cards usually have a high interest rate. In fact, applying for such a card will affect your credit score because these are considered to make a hard pull credit inquiry. Such hard pull will show on your credit for 1-2 years and will drop your score by 5 points for about six months.
The department store credit cards usually have a high interest rate. In fact, applying for such a card will affect your credit score because these are considered to make a hard pull credit inquiry. Such hard pull will show on your credit for 1-2 years and will drop your score by 5 points for about six months.
Hello Addison,
As you have said you are a student, I think you have not used a credit card yet. I think capital one is a good choice for you. They have a couple of credit cards designed for those with limited or no credit. Most of them have no annual fees. Just look for the "limited credit OK" ones
As you have said you are a student, I think you have not used a credit card yet. I think capital one is a good choice for you. They have a couple of credit cards designed for those with limited or no credit. Most of them have no annual fees. Just look for the "limited credit OK" ones
any credit card will do a 'hard pull' whether it's a gas card, store card, AMEX, student card, visa/mastercard, etc.
Nothing wrong with store cards....they count on your credit report as a regular revolving account. The problem maybe that they have a higher interest rate AND low credit limits. This means you're bound to max it out sooner or later.
Store cards or gas cards maybe easier to qualify for than a regular credit card.
Nothing wrong with store cards....they count on your credit report as a regular revolving account. The problem maybe that they have a higher interest rate AND low credit limits. This means you're bound to max it out sooner or later.
Store cards or gas cards maybe easier to qualify for than a regular credit card.