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Established Contributor
Posts: 577
Registered: ‎05-11-2015

Re: Millennials and credit card use


Credit_hawk wrote:


I would stay away from any political commentary. They don't allow it and for good reason. Four pages of other people managed to talk about it without slipping political talking points in there.


 

 Yes, you are correct.  I didn't mean to say anything to start a discussion about politics, and I have edited my reply accordingly.

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Established Contributor
Posts: 644
Registered: ‎07-29-2010

Re: Millennials and credit card use

I'm a millenial. Age 27.

 

See my card profile below, I love my cards Heart

 

Among the people in my circle of friends, its a mixed bag. A few are like me and understand how credit works, the benefits, and potential pitfalls, and they use credit like I do to earn rewards and they do so responsibly.

 

A few are terrified of credit. They have 1 or no credits cards and only use them for emergencies and like to have cards with very low limits so as not to get into trouble. 

 

I think most of the "fear" of credit cards among people my age come from a lack of understanding and lack of trust with the banks. 

 

I also have a theory that some millenials refuse to acknowledge that they are adults and see credit cards as an "adult" thing, and therefore they aren't worthy of a credit card. 

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Valued Contributor
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Re: Millennials and credit card use

And then, there is this......

 

 http://www.ajc.com/news/national/what-about-the-chase-sapphire-reserve-card-that-has-millennials-lin...

EQ Fico 8 - 846
TU Fico 8 - 848
EX Fico 8 - 836
Established Contributor
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Registered: ‎11-15-2014
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Re: Millennials and credit card use


android01 wrote:

And then, there is this......

 

 http://www.ajc.com/news/national/what-about-the-chase-sapphire-reserve-card-that-has-millennials-lin...


I feel like a lot of demand for the CSR is from the churning/travel hacking community and not millennials in general. That also means that the CSR might not be sustainable for Chase without changes but that's for a different thread.

Valued Contributor
Posts: 1,604
Registered: ‎06-13-2016

Re: Millennials and credit card use

As a 47 year old, it has been very interesting for me to read through this thread with many of the posts being made by millennials. As someone who saw the frugality of my grandparents who raised me and lived my high school years during the "I'm a material girl" 80's, and finally crashed and burned into BK in my 40's, I can value most of what has been said by everyone. There is a generational component, there is an experential component, there is a personality component, and there is also a lifestage component to the embracing vs. aversion to credit.  There is a true beauty to paying cash for everything, and I think there is a great lesson there, so I would be hard pressed to knock anyone for that. But there is also beauty in maximizing the perks that CC's offer. For about 6 months after BK I was averse to anything credit, and it felt great to pay cash for everything. But now that I am rebuilding, understanding that credit is necessary to lower interest rates for an auto loan or mortgage, I am taking full advantage of the rewards that credit cards offer. I see them as a means to offset purchase and vacation costs, all while building a strong credit profile to get me where I want to go. I think it's easy to think there is a right and a wrong, but I think it is much more complex than that. It is my hope that everyone, millennial or not, has enough information to make an educated decision whether to credit or not to credit...and whatever that decision may be will be celebrated as the best for that person.

Current Scores------ EQ 679; TU 645; EX 679 FICO 08---------------- Gardening until 07/29/18
Beginning Scores-- EQ 632; TU 576; EX 619 FICO 08 (06/13/16) - BK7 discharged 11/2015

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Valued Contributor
Posts: 1,364
Registered: ‎09-22-2009
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Re: Millennials and credit card use


tmiw wrote:

android01 wrote:

And then, there is this......

 

 http://www.ajc.com/news/national/what-about-the-chase-sapphire-reserve-card-that-has-millennials-lin...


I feel like a lot of demand for the CSR is from the churning/travel hacking community and not millennials in general. That also means that the CSR might not be sustainable for Chase without changes but that's for a different thread.


Could be.  I just don't know many millenials who are interested in, or even know or understand the churning/travel hacking process.  Other than the ones who post here and likeminded credit forums. 

EQ Fico 8 - 846
TU Fico 8 - 848
EX Fico 8 - 836
Valued Contributor
Posts: 1,388
Registered: ‎07-13-2016

Re: Millennials and credit card use


Bella007 wrote:

As a 47 year old, it has been very interesting for me to read through this thread with many of the posts being made by millennials. As someone who saw the frugality of my grandparents who raised me and lived my high school years during the "I'm a material girl" 80's, and finally crashed and burned into BK in my 40's, I can value most of what has been said by everyone. There is a generational component, there is an experential component, there is a personality component, and there is also a lifestage component to the embracing vs. aversion to credit.  There is a true beauty to paying cash for everything, and I think there is a great lesson there, so I would be hard pressed to knock anyone for that. But there is also beauty in maximizing the perks that CC's offer. For about 6 months after BK I was averse to anything credit, and it felt great to pay cash for everything. But now that I am rebuilding, understanding that credit is necessary to lower interest rates for an auto loan or mortgage, I am taking full advantage of the rewards that credit cards offer. I see them as a means to offset purchase and vacation costs, all while building a strong credit profile to get me where I want to go. I think it's easy to think there is a right and a wrong, but I think it is much more complex than that. It is my hope that everyone, millennial or not, has enough information to make an educated decision whether to credit or not to credit...and whatever that decision may be will be celebrated as the best for that person.


You are a young 47 Bella! Your spirit comes out in every post and I never would have guessed you were in your 40's. You are an asset to this forum. Glad you are here! 

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Valued Contributor
Posts: 1,604
Registered: ‎06-13-2016

Re: Millennials and credit card use

[ Edited ]

Justagirl73 wrote:

Bella007 wrote:

As a 47 year old, it has been very interesting for me to read through this thread with many of the posts being made by millennials. As someone who saw the frugality of my grandparents who raised me and lived my high school years during the "I'm a material girl" 80's, and finally crashed and burned into BK in my 40's, I can value most of what has been said by everyone. There is a generational component, there is an experential component, there is a personality component, and there is also a lifestage component to the embracing vs. aversion to credit.  There is a true beauty to paying cash for everything, and I think there is a great lesson there, so I would be hard pressed to knock anyone for that. But there is also beauty in maximizing the perks that CC's offer. For about 6 months after BK I was averse to anything credit, and it felt great to pay cash for everything. But now that I am rebuilding, understanding that credit is necessary to lower interest rates for an auto loan or mortgage, I am taking full advantage of the rewards that credit cards offer. I see them as a means to offset purchase and vacation costs, all while building a strong credit profile to get me where I want to go. I think it's easy to think there is a right and a wrong, but I think it is much more complex than that. It is my hope that everyone, millennial or not, has enough information to make an educated decision whether to credit or not to credit...and whatever that decision may be will be celebrated as the best for that person.


You are a young 47 Bella! Your spirit comes out in every post and I never would have guessed you were in your 40's. You are an asset to this forum. Glad you are here! 


Thanks, Justagirl, I really appreciate that! The feeling is mutual. Smiley Happy

 

P.S. I just wish my body would get the never would have guessed I was in my 40's memo, lol!

Current Scores------ EQ 679; TU 645; EX 679 FICO 08---------------- Gardening until 07/29/18
Beginning Scores-- EQ 632; TU 576; EX 619 FICO 08 (06/13/16) - BK7 discharged 11/2015

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Frequent Contributor
Posts: 408
Registered: ‎02-29-2016

Re: Millennials and credit card use

I just turned 30 this year. Didn't get my first cc until about 1.5/two years ago. I think the biggest problem with our generation is just not having been educated on credit.I remember growing up seeingy mother struggle with being in debt and thinking that cc were evil. And should only be used in an extreme emergency.

I used debit for everything. Even now having credit cards I have to stop myself from reaching for my debit. It's all about knowing how to manage your debt and being educated on how to do it.
Established Contributor
Posts: 574
Registered: ‎02-08-2010

Re: Millennials and credit card use

I just turned 37, so I am at the tail end of Gen X, but I have Millenial friends and family.  I notice that my millenial older children fear credit cards, while those who are the babies of their families tend to be more comfortable with credit cards.  I guess it may come from wisdom passed down from siblings.

 

I personally prefer credit cards because I feel they are more secure.  I lost one of mine in the store a couple of months ago and didn't bat an eyelash (I did post post about it here though Smiley Happy).  I never had to fear someone was taking my savings or anything.  Whereas I have a married cousin who just bought a home, uses only debit, and FINALLY decided to pull the trigger on buying a car.  I figured he was waiting to close on the house before getting the car.  He's only 24, so he is pretty new to credit and didn't have the chance to accumulate baddies.  I would guess his way would be ideal if someone was going from the dorm to marriage.

 

I see the logic on both sides though.  Different strokes for different folks.

04/27/10: EQ 517, TU 492, EXP 547 (mtg app) BK7 2/06, d/c 7/06
11/08/15: EQ 668, TU 707, EXP 675

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