Reply to Anyone else not have any credit cards & why does it hurt my FICO score?

Forum Index » Money and Finances

Reply to "Anyone else not have any credit cards & why does it hurt my FICO score?"

Subject:

Emoticons





More smilies

Text Color: Font: Close Marks

[quote=Anonymous][quote=Anonymous][quote=Anonymous]Oh boy. I am concerned about how little you know about credit and credit cards.

- You only pay interest if you don't pay in full (always pay in full).

- There are dozens and maybe hundreds of cards with no annual fee (for the record, I once swore I'd never pay an annual fee and I laugh at that now bc I have several that I'm happy to pay an annual fee for)

- You're missing out on tons of rewards but, hey, whatever works for you.

And finally, you should know that once you go above a certain amount - around 760 I think - it doesn't matter in the slightest what the score is. For example, if you need a certain score to qualify for the best interest rate, the person with a 780 is getting the same rate as the person with 840. In other words, there is no benefit - none - to getting it above 800 or 820 or whatever.

Credit doesn't quite work the way a lot of people assume. It's worth learning more about.[/quote]

+1.  Also, as long as you know you are not going to get a loan anytime soon, it doesn't really matter.  Also, credit card companies charge merchants a small fee every time you use a credit card.  Since most people use credit cards, merchants set their prices with that fee in mind.  So you are essentially already paying a fee for credit card usage in the form of higher prices, but you're getting none of the rewards credit cards offer to users with good credit scores.[/quote]

OP, it doesn't sound like you need a card for the credit score, but you really should consider getting a rewards card, setting it on autopay, and using it for recurring payments that are cc eligible and anything you use a debit card for now. The rewards programs really are about as close as you can get in life to free money. You can do this without every paying a cent of interest or an annual fee. Although as other posters mentioned, some fees are worth it. The AmEx extension of warranty on electronics alone is probably worth the cost, for example.[/quote]

Options

	Disable HTML in this message
	Disable BB Code in this message
	Disable smilies in this message

Review message

Search Recent Topics Hottest Topics