Getting a Credit Card? - Empty Closets - A safe online community for gay, lesbian, bisexual, transgendered people coming out

Swamp56 · 29th Oct 2008, 12:32 PM

:0

Ok, I'm 18 now, and I've been wanting to start early building my credit so I am more able to apply for student loans in college. I have a job (minimum wage, but better than nothing), and I'm currently looking for a job that pays more.

Basically, what I wanted to do was use the credit card instead of my debit card (I don't spend much at all), and at the end of the month, pay off the entire bill.

I am not one of those compulsive shoppers, and I have a steady stream of money coming in weekly from my job (albeit not much, but enough to keep money in the bank).

The issue is that I don't think my dad would approve of this, since he's had so many issues with credit cards and loans (my ex-stepmother ruined his credit by not paying bills, and other things), although I want to do this for my own wellbeing since the credit crunch has made it much harder to obtain student loans in college.

I'm not sure what to do

.

Heh, my boss will probalby try to have me apply for out store credit card (she's done that before, and almost forced people to apply), but there's no damn way that's ever going to happen....18.99% interest variable going up to 24.9% is horrible lol, as well as the fact that I know I'd be denied lol.

Apocalypte · 29th Oct 2008, 12:36 PM

I've had a credit card since I was 18. I've never gotten into any trouble with it so far - but I've always had a very low limit which I try to clear every month.

xequar · 29th Oct 2008, 01:30 PM

Credit cards are an easy way to build credit.

They're also an easier way to destroy yourself financially.

At first, you'll start with the greatest of intentions, like using it to buy your books for college then paying the bill right away, or only using it to buy gas then paying at the end of the month.

What really happens is that when you have a credit card, you feel as though you have a buffer against emergency situations. What that translates into is you saving much less cash than you should be because you'll have the credit card "in case of emergencies." But, even if you only use the card for legitimate emergencies, the first time you actually have an emergency, you'll be saddled with a bunch of debt and difficulty paying it because you have no cash banked up.

That's what happened to me. I got a credit card pretty much as soon as I started college, and I was doing ok with it for awhile. I had put my books and a few other things on it, then my car died and I had to pay for my last semester of internship on my own. I had no money, so it all went on the credit cards. Within a few weeks, I went to virtually no credit card debt to being over $5,000 in the red.

Even if you get a card with a low limit, every time you get close to the limit, they'll just raise it for you. My first card, from which I still technically have the account, was a $600 credit line in 2000. In 2004, which was the last time I used it, it had a $6,000 credit line. I know they've cut the interest rate a couple of times and they still send me 0% offers all the time in order to try getting me to use it again.

Personally, I would advise either not getting a card at all, or using an EXTREME amount of caution with it. It's much much easier than you'd ever believe to get yourself into trouble in real short order.

29th Oct 2008, 02:25 PM

I have a credit card. I really try not to use it if I don't have to. It is a good way to build credit but It can be bad if you abuse it.

I use my debit for everything, that way I don't have to remember to pay it off every month. I have the money for everything I buy so there really isn't a need to use my credit card. I've only used my credit card for big purchases like when I got my laptop mainly because I have a limit on my debit per day.

**Lexington** · 29th Oct 2008, 03:48 PM

It IS very tempting to use for things other than to "build up credit". If you think your dad might have an issue with it, you might suggest that you get a card with a very low limit, and that it remain in HIS possession except when you're going to make your one or two purchases for the month. You'll also have to forgo writing the number down to use it online. But then he'll know you're not abusing it.

Lex

UnderARock · 29th Oct 2008, 04:04 PM

I had a credit card for over a year now (made a thread on here when I 1st got it). I use it everywhere for everything. Almost every transaction i make i put on the card. I have never paid interest (I couldn't tell what the interest rate on my card is.) I have 3 reason for using my credit card I'm building up my rating, I get points for using my card and I can keep my money is a saving account rather than spending it now & I earn interest on the extra time i can hold on to it. Personally I find credit pretty easy to manage, I don't know how ppl get so bad in debt. I do come for a family thought that is very good at managing money.

If you're smart and responsible then sure get a card, I'd recommend a card that rewards you for using it. Otherswise maybe not.

PS. I dont mean to offend any1 who can't manage credit. That’s just how i feel about it.

Swamp56 · 29th Oct 2008, 04:53 PM

Also, I usually spend about $10 per week lol

That's why I thought it would be good for building credit....I hate spending money on anything and everything, so it's not like I would go crazy spending money.

MusicIsLife · 29th Oct 2008, 04:58 PM

bahaha good luck. I hit my 1000$ limit 2 months after getting the damn thing. And im still paying it off a year later xD

George · 29th Oct 2008, 05:15 PM

I'm only going to be getting a debit card when I turn 16. Not touching credit until I'm a financially stable adult.

GuitarGirl1350 · 29th Oct 2008, 05:33 PM

Hmmm. I'm a firm believer in "don't spend it if you don't have it". I don't spend money unless I have it in my possession. I have a debit card...

I guess a credit card isn't a bad idea as long as you don't mind paying the interest. Remember spending 100 dollars can turn into 126 dollars for someone with no credit. With such limited, fixed income you need to be careful.

Mickey · 29th Oct 2008, 05:45 PM

You're 18,you work and you sound responsible.I'd say...go for it! Just stay on your budget
and be really careful. It takes so little to screw up your credit. I had excellent credit,til I got sick. Now it's in the cellar!

MLCarr · 29th Oct 2008, 06:05 PM

My suggestion? This is what I do.

I have one credit card. It's cheap, and interest rate didn't matter. Every month I go buy a pack of gum, then pay it off at the end of the month. This shows you can consistantly pay off bills on time and don't abuse the card. It will also give you a near perfect credit score if you do this all through college.

The thing credit card companies don't tell you is the hidden fees. Make sure you look into it.

Also, credit scores are NOT based on how much you spend, only the fact that you pay it off on time. Take that to heart, don't spend too much...EVER!

Just my two cents...

Kenko · 29th Oct 2008, 06:27 PM

The thing with credit is some people can handle it, and some people can't. And it's really hard to tell where anyone else would fall in that regard.

I got a credit card when I was 18. It was a university branded one that they were handing out like candy. I used it for a few months, making my regular purchases on it and paying it off in full. Then when I had a few months credit history, I applied for a better credit card. Now I have a no-fee card that pays me back 1% of my purchases as free groceries.

I, like yourself, am not really spend crazy, but I funnel most of my purchases through the card for the points. It really does add up... especially when you pay tuition using a credit card. I also find it very convenient to have a credit card the few times I've bought things online. I also have it automatically topping up my prepaid phone account every month.

Some people think it's easier to lose track of your spending with a credit card. For me it's the opposite. I could spend a bunch of cash, but not know where it went. With a credit card I sit down with the bill at the end of the month, and I can see where all my money's going.

-It's a lot easier to get a credit card when you're a student than later on in life. Even if you get it and don't use it, it's worth getting to start building your credit history.

-Make sure you fully understand how and when they will try to charge you fees, and avoid at all costs.

-If you don't get something useful out of the card (money back, or points for something useful), you're getting ripped off. With the exception of course if you need to get a basic card to start.

-If you pay an annual fee for a credit card you're getting ripped off. I've never seen any "benefits" of a fee card make it worth the cost, including higher point paybacks. Even with no credit history you should be able to get a no-fee card.

Quote:

Originally Posted by GuitarGirl1350

Hmmm. I'm a firm believer in "don't spend it if you don't have it". I don't spend money unless I have it in my possession. I have a debit card...

I guess a credit card isn't a bad idea as long as you don't mind paying the interest. Remember spending 100 dollars can turn into 126 dollars for someone with no credit. With such limited, fixed income you need to be careful.

If you pay off the balance in full each month, you do not pay interest. And myself I don't spend money I don't have. For every dollar I spend on my credit card, I have a dollar in the bank to be able to cover the purchase.

jbb1236 · 29th Oct 2008, 07:16 PM

My suggestions as a business man and a person who has had a credit card, don't do it. Interest rates on credit cards are outrageous, not to mention that if you, for what ever reason miss a payment or one is late they tack on huge fees and so forth. My suggestion, buy a car, find a local credit union, they have the best interest rates because most often they are not-for-profit, and they are fairly easy to work with, also get your parents to cosign the car. Not only will you build credit but you'll get a car in the process.

beckyg · 29th Oct 2008, 07:23 PM

I don't think my kids asked me if they could get a credit card. They just did it. My middle daughter has an American Express. I remember applying for that several times when I was young and was denied everytime. lol She is very good about paying it off every month and she puts everything on her credit card because she gets cash back on it. She is highly disciplined when it comes to money. I do not know where she got that from. My other two kids are more like me. They live and learn.

29th Oct 2008, 07:52 PM

Quote:

Originally Posted by beckyg

I don't think my kids asked me if they could get a credit card. They just did it. My middle daughter has an American Express. I remember applying for that several times when I was young and was denied everytime. lol She is very good about paying it off every month and she puts everything on her credit card because she gets cash back on it. She is highly disciplined when it comes to money. I do not know where she got that from. My other two kids are more like me. They live and learn.

My mother's like you're middle daughter. She's so financially responsible it's amazing. Her wallet is made up of more plastic than Pamela Anderson, but every time she uses a card she pays it off right away and on time. It's out of control. I don't even ask for one though cause I'm a financial disaster. I'm a bit of a reckless spender I'll admit so it's safer that I don't get one just yet.

epiphanies · 29th Oct 2008, 08:01 PM

I have a debit card, and this summer I got a Kohl's card. That way I can build up my credit, and there's no interest as long as I pay 1/2 or $50 (whichever's greater) every month. So I mentally put that money aside and pay it off gradually.

Swamp56 · 29th Oct 2008, 08:10 PM

The only good ones I can find are from Bank of America and Capital One :P .

I'm not worried about the interest rate since I'm going to pay off everything monthly; I'm just going to put like $10 on it per month.

EDIT:

"You have been approved for a Capital One® credit card. You should receive your card, welcome materials and an email within 7–10 business days. The email will provide information on how to personalize your credit card using Capital One Image Card."

I have a $500 credit limit xD

Matty · 29th Oct 2008, 10:34 PM

I just got a credit card in September, and I knew that saying it was only for emergencies would be a bad thing. The mind set I've set for myself is this: Purchase things when the cash is not available/can't be used...and cash is often available.

This means:
-I often leave my credit card home unless I travel or stay somewhere overnight.
-I use it for online orders, and online orders only.

There is no reason for me to use it to purchase things in my everyday life. I have my savings accounts, one with an ATM card. I also have a checking account. I have access to my funds at all times. If there ever is a month where I have purchased nothing online (which may be soon), I'll probably buy a pair of socks and pay it off.

I've had it for almost 2 months...it's been used once for a transfer application.

RENThead · 30th Oct 2008, 06:48 AM

ive always been the type of person who wouldnt buy something unless i had the money for it,
i now have a credit card, just for buying things online...
i have 55days interest free, so as soon as i buy something, i transfer the money straight across...

and i have a low credit limit....

if you know you arent going to abuse it, then i say go for it... but just remember everything that you swipe for...

29th Oct 2008, 12:32 PM	#1
Swamp56 EC Addict Full Member Gender: Male Orientation: Gay Out Status: Out to everyone Location: Boston, MA Age: 21 Posts: 2,166 Join Date: Aug 2008	Getting a Credit Card? :0 Ok, I'm 18 now, and I've been wanting to start early building my credit so I am more able to apply for student loans in college. I have a job (minimum wage, but better than nothing), and I'm currently looking for a job that pays more. Basically, what I wanted to do was use the credit card instead of my debit card (I don't spend much at all), and at the end of the month, pay off the entire bill. I am not one of those compulsive shoppers, and I have a steady stream of money coming in weekly from my job (albeit not much, but enough to keep money in the bank). The issue is that I don't think my dad would approve of this, since he's had so many issues with credit cards and loans (my ex-stepmother ruined his credit by not paying bills, and other things), although I want to do this for my own wellbeing since the credit crunch has made it much harder to obtain student loans in college. I'm not sure what to do . Heh, my boss will probalby try to have me apply for out store credit card (she's done that before, and almost forced people to apply), but there's no damn way that's ever going to happen....18.99% interest variable going up to 24.9% is horrible lol, as well as the fact that I know I'd be denied lol. __________________ Last edited by Swamp56; 29th Oct 2008 at 12:36 PM..

29th Oct 2008, 12:36 PM	#2
Apocalypte Ytse Jamming. Full Member Gender: Female Orientation: Lesbian Out Status: Out to everyone Location: Dublin, Ireland Age: 27 Posts: 2,217 Join Date: Oct 2008	Re: Getting a Credit Card? I've had a credit card since I was 18. I've never gotten into any trouble with it so far - but I've always had a very low limit which I try to clear every month. __________________ "I like my beer cold...my TV loud...and my homosexuals flaming." - Homer Simpson

29th Oct 2008, 01:30 PM	#3
xequar Diapered and collared! Full Member Gender: Male Orientation: I have "The Gay." :) Out Status: Loud and proud! Location: Detroit area, Michigan Age: 30 Posts: 1,746 Join Date: Mar 2007	Re: Getting a Credit Card? Credit cards are an easy way to build credit. They're also an easier way to destroy yourself financially. At first, you'll start with the greatest of intentions, like using it to buy your books for college then paying the bill right away, or only using it to buy gas then paying at the end of the month. What really happens is that when you have a credit card, you feel as though you have a buffer against emergency situations. What that translates into is you saving much less cash than you should be because you'll have the credit card "in case of emergencies." But, even if you only use the card for legitimate emergencies, the first time you actually have an emergency, you'll be saddled with a bunch of debt and difficulty paying it because you have no cash banked up. That's what happened to me. I got a credit card pretty much as soon as I started college, and I was doing ok with it for awhile. I had put my books and a few other things on it, then my car died and I had to pay for my last semester of internship on my own. I had no money, so it all went on the credit cards. Within a few weeks, I went to virtually no credit card debt to being over $5,000 in the red. Even if you get a card with a low limit, every time you get close to the limit, they'll just raise it for you. My first card, from which I still technically have the account, was a $600 credit line in 2000. In 2004, which was the last time I used it, it had a $6,000 credit line. I know they've cut the interest rate a couple of times and they still send me 0% offers all the time in order to try getting me to use it again. Personally, I would advise either not getting a card at all, or using an EXTREME amount of caution with it. It's much much easier than you'd ever believe to get yourself into trouble in real short order. __________________

29th Oct 2008, 02:25 PM	#4
Myke Guest Posts: n/a	Re: Getting a Credit Card? I have a credit card. I really try not to use it if I don't have to. It is a good way to build credit but It can be bad if you abuse it. I use my debit for everything, that way I don't have to remember to pay it off every month. I have the money for everything I buy so there really isn't a need to use my credit card. I've only used my credit card for big purchases like when I got my laptop mainly because I have a limit on my debit per day.

29th Oct 2008, 03:48 PM	#5
Lexington The gay gargoyle EC Advisor Gender: Male Orientation: Gay Out Status: Out to everyone Location: Colorado Age: 42 Posts: 12,371 Join Date: Dec 2007	Re: Getting a Credit Card? It IS very tempting to use for things other than to "build up credit". If you think your dad might have an issue with it, you might suggest that you get a card with a very low limit, and that it remain in HIS possession except when you're going to make your one or two purchases for the month. You'll also have to forgo writing the number down to use it online. But then he'll know you're not abusing it. Lex

29th Oct 2008, 04:04 PM	#6
UnderARock EC Addict Regular Member Gender: Male Orientation: Gay (I think) Out Status: Some people Location: Gold Coast, Australia Age: 23 Posts: 299 Join Date: Jun 2007	Re: Getting a Credit Card? I had a credit card for over a year now (made a thread on here when I 1st got it). I use it everywhere for everything. Almost every transaction i make i put on the card. I have never paid interest (I couldn't tell what the interest rate on my card is.) I have 3 reason for using my credit card I'm building up my rating, I get points for using my card and I can keep my money is a saving account rather than spending it now & I earn interest on the extra time i can hold on to it. Personally I find credit pretty easy to manage, I don't know how ppl get so bad in debt. I do come for a family thought that is very good at managing money. If you're smart and responsible then sure get a card, I'd recommend a card that rewards you for using it. Otherswise maybe not. PS. I dont mean to offend any1 who can't manage credit. That’s just how i feel about it.

29th Oct 2008, 04:53 PM	#7
Swamp56 EC Addict Full Member Gender: Male Orientation: Gay Out Status: Out to everyone Location: Boston, MA Age: 21 Posts: 2,166 Join Date: Aug 2008	Re: Getting a Credit Card? Also, I usually spend about $10 per week lol That's why I thought it would be good for building credit....I hate spending money on anything and everything, so it's not like I would go crazy spending money. __________________

29th Oct 2008, 04:58 PM	#8
MusicIsLife EC Addict Full Member Gender: Not even sure anymore. Something in between. Orientation: I like girls :) Out Status: Everyone on orientation 7 people on trans issue. Location: Montréal, QC Age: 23 Posts: 1,595 Join Date: Dec 2007	Re: Getting a Credit Card? bahaha good luck. I hit my 1000$ limit 2 months after getting the damn thing. And im still paying it off a year later xD

29th Oct 2008, 05:15 PM	#9
George Banned Gender: Male Orientation: Gay Out Status: Out to everyone Location: Melbourne, Australia Age: 19 Posts: 2,387 Join Date: Jul 2007	Re: Getting a Credit Card? I'm only going to be getting a debit card when I turn 16. Not touching credit until I'm a financially stable adult.

29th Oct 2008, 05:33 PM	#10
GuitarGirl1350 EC's Resident Grammar Nazi Full Member Gender: Female Orientation: Boobyloverr! Out Status: I'm out like shoulder pads. Location: New Caprica Age: 21 Posts: 884 Join Date: Apr 2006	Re: Getting a Credit Card? Hmmm. I'm a firm believer in "don't spend it if you don't have it". I don't spend money unless I have it in my possession. I have a debit card... I guess a credit card isn't a bad idea as long as you don't mind paying the interest. Remember spending 100 dollars can turn into 126 dollars for someone with no credit. With such limited, fixed income you need to be careful. __________________ " ...it is beautiful, it is fine, it is the noblest form of affection. There is nothing unnatural about it. ... That it should be so, the world does not understand. The world mocks at it, and sometimes puts one in the pillory for it." --Oscar Wilde, 1895.

29th Oct 2008, 05:45 PM	#11
Mickey Older and bolder! Full Member Gender: Female Orientation: Lesbian Out Status: Out to everyone Location: Massachusetts Age: 50 Posts: 1,775 Join Date: Aug 2008	Re: Getting a Credit Card? You're 18,you work and you sound responsible.I'd say...go for it! Just stay on your budget and be really careful. It takes so little to screw up your credit. I had excellent credit,til I got sick. Now it's in the cellar! __________________ We don't choose to be gay...we're CHOSEN!

29th Oct 2008, 06:05 PM	#12
MLCarr n00b Full Member Gender: Female Orientation: Lesbian Out Status: If you ask, I'm not gonna lie... Location: Waco, Texas Age: 23 Posts: 164 Join Date: Oct 2008	Re: Getting a Credit Card? My suggestion? This is what I do. I have one credit card. It's cheap, and interest rate didn't matter. Every month I go buy a pack of gum, then pay it off at the end of the month. This shows you can consistantly pay off bills on time and don't abuse the card. It will also give you a near perfect credit score if you do this all through college. The thing credit card companies don't tell you is the hidden fees. Make sure you look into it. Also, credit scores are NOT based on how much you spend, only the fact that you pay it off on time. Take that to heart, don't spend too much...EVER! Just my two cents... __________________ "Trust in the Lord with all your heart and lean not on your own understanding; in all ways acknowledge Him and He will direct your paths." Proverbs 3:5-6 (Here's for hope...)

29th Oct 2008, 07:16 PM	#14
jbb1236 Well Known Full Member Gender: Male Orientation: Gay Out Status: Everyone but Parents Location: Boodocks, Iowa Posts: 150 Join Date: Sep 2008	Re: Getting a Credit Card? My suggestions as a business man and a person who has had a credit card, don't do it. Interest rates on credit cards are outrageous, not to mention that if you, for what ever reason miss a payment or one is late they tack on huge fees and so forth. My suggestion, buy a car, find a local credit union, they have the best interest rates because most often they are not-for-profit, and they are fairly easy to work with, also get your parents to cosign the car. Not only will you build credit but you'll get a car in the process. Last edited by jbb1236; 29th Oct 2008 at 07:20 PM.. Reason: Minor grammar stuff.

29th Oct 2008, 07:23 PM	#15
beckyg PFLAG Mom Community Liaison Gender: Female Orientation: Straight Out Status: Out to everyone/Yes, parents come out too! Location: Middle of Oregon Age: 50 Posts: 7,572 Join Date: Mar 2007	Re: Getting a Credit Card? I don't think my kids asked me if they could get a credit card. They just did it. My middle daughter has an American Express. I remember applying for that several times when I was young and was denied everytime. lol She is very good about paying it off every month and she puts everything on her credit card because she gets cash back on it. She is highly disciplined when it comes to money. I do not know where she got that from. My other two kids are more like me. They live and learn. __________________ "When we're free to love anyone we choose, When this worlds big enough for all different views, When we're all free to worship from our own kind of pew, Then we shall be free" ~ Garth Brooks

29th Oct 2008, 08:01 PM	#17
epiphanies Well Known Full Member Gender: Female Orientation: More gay than bi Out Status: All important people. Do ask, Do tell. Location: VA Age: 24 Posts: 199 Join Date: Jul 2008	Re: Getting a Credit Card? I have a debit card, and this summer I got a Kohl's card. That way I can build up my credit, and there's no interest as long as I pay 1/2 or $50 (whichever's greater) every month. So I mentally put that money aside and pay it off gradually.

Similar Threads
Thread	Thread Starter	Forum	Replies	Last Post
So im getting a credit check...[cell phone related]	MusicIsLife	Entertainment and Media	0	4th Sep 2008 07:50 AM
Action Alert: Send a thank you card to Hallmark!	beckyg	LGBT News, Rights, Issues and Equality	4	25th Aug 2008 03:22 PM
EC Merchandise - Shop Open For Business! - See post #129	Grof142007	Empty Closets Help and Feedback	232	1st Jul 2008 01:45 PM
Got a Credit Card	UnderARock	Chit Chat	7	21st Sep 2007 03:45 AM
Greeting Card and Postcard emails	Paul_UK	Entertainment and Media	2	5th Jul 2007 09:44 AM

29th Oct 2008, 08:10 PM	#18
Swamp56 EC Addict Full Member Gender: Male Orientation: Gay Out Status: Out to everyone Location: Boston, MA Age: 21 Posts: 2,166 Join Date: Aug 2008	Re: Getting a Credit Card? The only good ones I can find are from Bank of America and Capital One :P . I'm not worried about the interest rate since I'm going to pay off everything monthly; I'm just going to put like $10 on it per month. EDIT: "You have been approved for a Capital One® credit card. You should receive your card, welcome materials and an email within 7–10 business days. The email will provide information on how to personalize your credit card using Capital One Image Card." I have a $500 credit limit xD __________________ Last edited by Swamp56; 29th Oct 2008 at 08:21 PM..

29th Oct 2008, 10:34 PM	#19
Matty Well Known Full Member Gender: Male Orientation: Gay Out Status: I don't deny it. Location: New England, USA Age: 22 Posts: 117 Join Date: Sep 2008	Re: Getting a Credit Card? I just got a credit card in September, and I knew that saying it was only for emergencies would be a bad thing. The mind set I've set for myself is this: Purchase things when the cash is not available/can't be used...and cash is often available. This means: -I often leave my credit card home unless I travel or stay somewhere overnight. -I use it for online orders, and online orders only. There is no reason for me to use it to purchase things in my everyday life. I have my savings accounts, one with an ATM card. I also have a checking account. I have access to my funds at all times. If there ever is a month where I have purchased nothing online (which may be soon), I'll probably buy a pair of socks and pay it off. I've had it for almost 2 months...it's been used once for a transfer application. __________________ Paul Francis is the man in my avatar.

30th Oct 2008, 06:48 AM	#20
RENThead EC Addict Full Member Gender: Female Orientation: Gay / Asexual Out Status: everyone who asks Location: Cork, Ireland Age: 22 Posts: 447 Join Date: Feb 2008	Re: Getting a Credit Card? ive always been the type of person who wouldnt buy something unless i had the money for it, i now have a credit card, just for buying things online... i have 55days interest free, so as soon as i buy something, i transfer the money straight across... and i have a low credit limit.... if you know you arent going to abuse it, then i say go for it... but just remember everything that you swipe for...