Credit Card

[Cow of Shame]

[quote name='toledo_jesus' date='Nov 5 2005, 06:44 PM']yeah, what I have done is put something like 400 dollars on it so that I can be paying off a decent amount.  my monthly payment comes in around 10 bucks, so I usually put 25 or so in it.
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I hope you're kidding...without a smiley, I can't be positive....

[philothea]

Things that raise your credit score:

- Paying all your bills on time, every time.
- Having just a few credit cards (two is optimal) on which you never carry a balance
- Having a lot of open credit (meaning the limit on the credit cards is high)
- Low debt load
- Living in the same location for a long time
- Owning your residence
- Having a regular, documentable income
- Infrequent queries to the credit database
- History of taking out loans, and paying them off

Generally the easiest way to begin with credit is a store or gas credit card.

If you pay off whatever you charge within the "grace period" (usually 21-30 days -- look at your papers) you will not be charged any interest.

[Lounge Daddy]

my wife and i had NO credit card... we only rented an apartment and payed our utilities on time for 3 years and easily got a loan for to buy a house
and no - we were not making car paymants, we payed cash for a used car

we were told upon aproval that little or no credit is WAY better than bad credit

[Lounge Daddy]

get a VISA or Mastercard *debit card* instead
this way you build up a purchasing history with this "credit god" without borrowing and paying back money with them for every purchase… you’ll only be spending money you have on hand

[Aloysius]

The way I figured it, whenever I use the wretched thing I'll set aside the specific amount of cash simultaneously to be used only for paying the credit card bill. so long as I do that, all bills are paid on time and a "good credit" is established. so basically, I was going to use it as if it were just paying cash, just doing it through the credit card company so that everything's recorded as me havin good credit.

[Philippe]

[quote name='Aloysius' date='Nov 5 2005, 10:04 PM']The way I figured it, whenever I use the wretched thing I'll set aside the specific amount of cash simultaneously to be used only for paying the credit card bill.  so long as I do that, all bills are paid on time and a "good credit" is established.  so basically, I was going to use it as if it were just paying cash, just doing it through the credit card company so that everything's recorded as me havin good credit.
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thats basically what i plan on doing

[blovedwolfofgod]

its a decent theory, but goes REALLY slow... get a small loan when you get a car, make sure you have the cash already, or will have no problem getting it, then get a year long loan and pay it off.

works wonders for your credit score...

[ofpheritup]

[quote name='philothea' date='Nov 5 2005, 11:05 PM']Things that raise your credit score:

- Paying all your bills on time, every time.
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I saw this on PBS it was suggested that to establish
a good credit rating one simple thing you can start with is
for the first 6 months "buy what you can afford" meaning
buy something that you know for a fact you can pay off at the end
of the month. Do this for 6 months and you will get your credit card company's attention.

Philothea is right though you have to keep it up.

[homeschoolmom]

[quote name='ofpheritup' date='Nov 6 2005, 11:35 AM']I saw this on PBS  it was suggested that to establish
a good credit rating one simple thing you can start with is
for the first 6 months "buy what you can afford" meaning
buy something that you know for a fact you can pay off at the end
of the month.  Do this for 6 months and you will  get your credit card company's attention. 

Philothea is right though you have to keep it up.
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Why would you stop doing this after six months? Why would you, at the end of six months, start buying stuff you couldn't afford? Shouldn't you only always buy things you know you can afford?

[Aloysius]

[quote name='homeschoolmom' date='Nov 6 2005, 02:28 PM']Why would you stop doing this after six months? Why would you, at the end of six months, start buying stuff you couldn't afford? Shouldn't you only always buy things you know you can afford?
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precisely what I was thinking!

[ofpheritup]

[quote name='homeschoolmom' date='Nov 6 2005, 01:28 PM']Why would you stop doing this after six months? Why would you, at the end of six months, start buying stuff you couldn't afford? Shouldn't you only always buy things you know you can afford?
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WELL THAT WAS TOTALLY MISUNDERSTOOD.

Over time you develop a "history" with your CC company. You do this by using the card and then paying it off. The point ot the 6 month "rule, idea" whatever is that the CC company after seeing you faithfully paying it all off is more willing to UP your spending limit.

If there are any other questions regarding this please PM me.

[Proud2BCatholic139]

Hmmmm.