topic Re: FINALLY - got first CC in mail and I splurged!! in Rebuilding Your Credit

FINALLY - got first CC in mail and I splurged!!

Duncanrr — Sat, 16 Jun 2012 21:15:54 GMT

I had to splurge when I got my brand new shiny CC in mail today. I mean I had to get my billing started anyways. Should I buy a $1500 dollar computer like I did the last time I dove into the realm of cc spending? ..... Nope, I charged a $15.00 haircut a super cuts. Guess I'm finally maturing financially.

Re: FINALLY - got first CC in mail and I splurged!!

RobertEG — Sat, 16 Jun 2012 21:25:53 GMT

Great!

1% util is kinda neat, isnt it?

Re: FINALLY - got first CC in mail and I splurged!!

injustifiiable — Sat, 16 Jun 2012 21:27:27 GMT

I bought a $5 footlong at Subway when I got my card....

Re: FINALLY - got first CC in mail and I splurged!!

Duncanrr — Sat, 16 Jun 2012 21:36:52 GMT

;) see we are evolved. We learn that doing something stupid twice isn't the way to go.

Re: FINALLY - got first CC in mail and I splurged!!

JPersat — Sat, 16 Jun 2012 22:42:59 GMT

Congrats..I love them when they're all shiny and new :) I used my newest (monday) to charge a $20 monthly payment for Sea World annual passes..and that's the ONLY thing it'll ever be used for, so it'll always report a super low balance :)

Re: FINALLY - got first CC in mail and I splurged!!

RobertEG — Sun, 17 Jun 2012 00:28:50 GMT

Indiv cards, used properly, can give a double-beneifit.

FICO scores both overall util and indiv util, so one card can help in the individ acct scoring sub-category.

Also, by getting the balance to $0 at reporting time, it improves your % cards reporting a balance.

Re: FINALLY - got first CC in mail and I splurged!!

jetsfan2012 — Sun, 17 Jun 2012 01:31:28 GMT

Glad to read. A friend of mine just told me his credit card he opened 2 months ago is now reporting over the limit, and the company is closing his card. smh

Re: FINALLY - got first CC in mail and I splurged!!

rckstrscott — Sun, 17 Jun 2012 02:40:23 GMT

My current fiance, prior to use dating, got a $500 dollar Chase Freedom card and it was promptly over the limit in 30 days.. haha

-scott

Re: FINALLY - got first CC in mail and I splurged!!

Rhaeny — Sun, 17 Jun 2012 14:49:19 GMT

I charged $1.75 per day for my morning cup of caffeine at Tim Hortons for one week. I felt like I had been on a shopping spree :smileyvery-happy:.

What maturity and living life in the 500's for a while can do for ya.

Re: FINALLY - got first CC in mail and I splurged!!

User592954 — Sun, 17 Jun 2012 15:33:14 GMT

I always just max out a new card, go 90% to 95% of CL, but then a few days later it's paid off.

I prefer the new cards to show zero balances with a MAX used almost the full line, the ability to borrow and pay back is IMO way more important than not using CL's.

You max and pay it off for something you were going to buy, you get bonus points if its a good card and in a short time you can double and or quadruple the CL by having maxed it and paid it off.

I know the pack says don't use or use very little, I say, max it and up the CL in a short time and when you apply 6 or 8 months down the road for a new card they see your low CL card is now a high CL card and you have had high balances that were PAID OFF, use if the key to credit, how to build it fast and how to get huge lines at low rates.

Re: FINALLY - got first CC in mail and I splurged!!

Duncanrr — Sun, 17 Jun 2012 15:48:12 GMT

User592954 wrote:
I always just max out a new card, go 90% to 95% of CL, but then a few days later it's paid off.
I prefer the new cards to show zero balances with a MAX used almost the full line, the ability to borrow and pay back is IMO way more important than not using CL's.
You max and pay it off for something you were going to buy, you get bonus points if its a good card and in a short time you can double and or quadruple the CL by having maxed it and paid it off.
I know the pack says don't use or use very little, I say, max it and up the CL in a short time and when you apply 6 or 8 months down the road for a new card they see your low CL card is now a high CL card and you have had high balances that were PAID OFF, use if the key to credit, how to build it fast and how to get huge lines at low rates.

I don't know about doing that. My cards right now are secure and only way to get CL increase right now is deposit more. So I'm thinking of using a little and deposit funds to raise limits to 2k on each. Once I app for unsecured cards I'll have two with good limits and when I close them I'll deposit the 4k into rainy day savings account.

Re: FINALLY - got first CC in mail and I splurged!!

rckstrscott — Sun, 17 Jun 2012 15:57:41 GMT

User592954 wrote:
I always just max out a new card, go 90% to 95% of CL, but then a few days later it's paid off.
I prefer the new cards to show zero balances with a MAX used almost the full line, the ability to borrow and pay back is IMO way more important than not using CL's.
You max and pay it off for something you were going to buy, you get bonus points if its a good card and in a short time you can double and or quadruple the CL by having maxed it and paid it off.
I know the pack says don't use or use very little, I say, max it and up the CL in a short time and when you apply 6 or 8 months down the road for a new card they see your low CL card is now a high CL card and you have had high balances that were PAID OFF, use if the key to credit, how to build it fast and how to get huge lines at low rates.

This is good advice, or bad advice depending on how you look at it.

I am not going with the pack; but I will say you are on a rebuilding forum. If you were talking about straight building credit, I would give your idea some leverage.

But for credit rebuilders, sometimes you have to think of it kind of like how alchoholics would handle it. I am not comparing them in severity, but maxing out credit cards to a rebuilder who just struggled for years with credit card debt can be the equivlent of giving an alcholic a bottle of booze.

I hear you on the limit increases and what not, but the bottom line is, baby steps for most of us on this forum.

-scott

Re: FINALLY - got first CC in mail and I splurged!!

jordanmedical — Sun, 17 Jun 2012 19:14:27 GMT

I agree with rckstrscott.

Re: FINALLY - got first CC in mail and I splurged!!

kingrone1 — Sun, 17 Jun 2012 19:34:07 GMT

I totally agree with this method. I use my credit card for almost anything I would normally buy anyway, (gained lots of cash back this way) I just pay it off once the transaction post to my account. I also make sure NOT to have a balance higher than 1 to 5% when my statement closed date is approaching.