topic Re: Which CC should I go for? in Credit Cards

Which CC should I go for?

tparvaiz — Sat, 13 May 2023 08:26:34 GMT

I have a good credit score (close to 800) and planning to buy a car soon on either a lease or finance...

Currently, I have 3 credit cards, one with my primary bank, and I mostly use this CC. and 2 additional ones with a $200 limit each; I opened these 2 to establish my credit rating.

1) I am not looking for a loan other than the car in the next year or so; my question is, if I open a new CC, will that significantly impact my credit score and, eventually, my power to land on a lower interest rate

2) which cc would you recommend going for? And why?

Re: Which CC should I go for?

FireMedic1 — Sat, 13 May 2023 08:57:59 GMT

Would you happen to be new to credit or rebuilding with 2 cards with a $200 CL?

Re: Which CC should I go for?

Blender — Sat, 13 May 2023 11:29:51 GMT

@tparvaiz wrote:
I have a good credit score (close to 800) and planning to buy a car soon on either a lease or finance...

Currently, I have 3 credit cards, one with my primary bank, and I mostly use this CC. and 2 additional ones with a $200 limit each; I opened these 2 to establish my credit rating.

1) I am not looking for a loan other than the car in the next year or so; my question is, if I open a new CC, will that significantly impact my credit score and, eventually, my power to land on a lower interest rate

2) which cc would you recommend going for? And why?

How close to 800 we talkin 🤔

We'd expect someone with a close to 800 score to have much larger credit limits. Opening a new card should have no imapct on what rate you get on an auto loan, that will be dependent on score and payment history.

2. This is such a broad question that no one can answer with out help from you. No one credit card is best, it has to be tailored to what you will get out of it most ie dining, travel, cash back, etc.

Re: Which CC should I go for?

tparvaiz — Sun, 14 May 2023 04:58:52 GMT

I already have 5 to 6 years of credit history, a mortgage, and 3 ccs with only one in use.

I am trying to explore if this is a good time to get a new CC that can benefit me. My current 3 CCs were opened to build Credit history and have minimal benefits.

Re: Which CC should I go for?

tparvaiz — Sun, 14 May 2023 05:01:43 GMT

I have about a 795 credit score... by opening a new CC, I assume my score will be hit.

Therefore, the question is, should I get a car loan first and then apply for a new CC, or should I apply for a new CC and then look for the car?

Thanks

Re: Which CC should I go for?

ptatohed — Sun, 14 May 2023 07:14:36 GMT

Yes, feel free to apply for another card(s).

You need to tell us what you are looking for in a card so we can help. Low APR? Big welcome bonus? Travel rewards? Cash back? What kinds of categories/retailers do you spend most in? Willing to juggle cards to maximize rewards or do you want one (or few) card(s)? Etc.

Re: Which CC should I go for?

Bmom — Sun, 14 May 2023 07:47:09 GMT

Who are the credit cards with? I'd look to see about limit increases too, or product changes maybe?

Re: Which CC should I go for?

SouthJamaica — Sun, 14 May 2023 16:56:49 GMT

@tparvaiz wrote:
I have a good credit score (close to 800) and planning to buy a car soon on either a lease or finance...

Currently, I have 3 credit cards, one with my primary bank, and I mostly use this CC. and 2 additional ones with a $200 limit each; I opened these 2 to establish my credit rating.

1) I am not looking for a loan other than the car in the next year or so; my question is, if I open a new CC, will that significantly impact my credit score and, eventually, my power to land on a lower interest rate

2) which cc would you recommend going for? And why?

You should not open any new account in the runup to a major loan application. It would cause one or more hard inquiries, and, if you get an account, would reset your age of youngest account, and lower your average age of accounts. All of these lower scores.

Get the car loan first. Then apply for any card you like.

Re: Which CC should I go for?

Lou-natic — Sun, 14 May 2023 13:25:44 GMT

If you are thinking about getting a new loan don't go out and open a new charge card now. Wait until after getting the car loan. Use this time to research what you want from your next credit card. Myself I'm all about cashback but some people like to travel and can really use travel points to their advantage. Whatever you do just keep an eye out and make sure to get a card that actually benefits you.

Re: Which CC should I go for?

OmarGB9 — Sun, 14 May 2023 14:38:26 GMT

@tparvaiz wrote:
I have about a 795 credit score... by opening a new CC, I assume my score will be hit.
Therefore, the question is, should I get a car loan first and then apply for a new CC, or should I apply for a new CC and then look for the car?

Thanks

Yes your score would likely take a hit, but not by much I'm sure. It's doubtful you'd lose more than, say, 20 points, which would still have you at Tier A+ status for the car loan.

That said, it's always better to apply for the major credit product FIRST (i.e. car loan), and THEN go for a credit card.

Re: Which CC should I go for?

Bill77 — Sun, 14 May 2023 21:21:47 GMT

I would recommend a 2% cash back card because everyone should have one in their arsenal. The PayPal MC card also gets 3% on PP purchases but there are many other 2% options from other issuers.

Re: Which CC should I go for?

NYC_Fella — Sun, 14 May 2023 21:44:22 GMT

@SouthJamaica wrote:

You should not open any new account in the runup to a major loan application. It would cause one or more hard inquiries, and, if you get an account, would reset your age of youngest account, and lower your average age of accounts. All of these lower scores. Get the car loan first. Then apply for any card you like

This exactly. After that, I would try to build up cards with substantially higher limits, unless you have very low income.

Re: Which CC should I go for?

Anonymous — Sun, 14 May 2023 23:56:50 GMT

There is one case where going for the card shortly before the loan makes sense:

IF a) you can get a card you want with a large sign-up bonus AND b) the car seller allows you to use a credit card for part/all of the down payment AND c) you can immediately pay off the credit card charge.

Re: Which CC should I go for?

ptatohed — Mon, 15 May 2023 05:32:03 GMT

@Anonymous wrote:
There is one case where going for the card shortly before the loan makes sense:

IF a) you can get a card you want with a large sign-up bonus AND b) the car seller allows you to use a credit card for part/all of the down payment AND c) you can immediately pay off the credit card charge.

Yup. When I bought my wife a '22 Telluride in fall of '21, I used my citi DC for the first $5000 I think it was. Paid in full. Free $100. The bummer part? I got my AOD like 3 weeks later. Just missed out on an extra $50, lol

Re: Which CC should I go for?

tparvaiz — Mon, 15 May 2023 13:45:47 GMT

which CC gives the best cash return? I do a lot of Amazon & Costco.

Which CC covers the best for car rental?

Which CC gives you extra when using hotels? It is my understanding that you get hotel upgrades when using points through certain CCs.

Thanks

Re: Which CC should I go for?

Anonymalous — Mon, 15 May 2023 16:04:50 GMT

@tparvaiz wrote:
which CC gives the best cash return? I do a lot of Amazon & Costco.
Which CC covers the best for car rental?
Which CC gives you extra when using hotels? It is my understanding that you get hotel upgrades when using points through certain CCs.

Thanks

I'll answer the first one: The Amazon Prime VISA is an easy choice for Amazon purchases (5% back), and they recently added to the 3% categories. The Affinity Credit Union Cash Rewards also gives 5% at Amazon, though the 5% rotating categories that made it even more attractive went away at the start of the year. The Costco branded credit card is better for gas than for purchases at Costco, so one of the generic 2% VISAs might be a better choice. Though if you're in the right part of the country, the AAA Daily Advantage VISA gives 3% at wholesale clubs (as well as 5% at groceries). You don't have to be a member of AAA to get the card, but some of the clubs offer U.S. Bank cards instead of the Bread/Comenity cards, so it's a YMMV thing.

Re: Which CC should I go for?

ptatohed — Tue, 16 May 2023 05:36:28 GMT

Redstone has 3% wholesale clubs.

https://www.redfcu.org/personal/credits-cards/visa-signature/

Re: Which CC should I go for?

SouthJamaica — Tue, 16 May 2023 14:14:01 GMT

@Anonymalous wrote:
@tparvaiz wrote:
which CC gives the best cash return? I do a lot of Amazon & Costco.
Which CC covers the best for car rental?
Which CC gives you extra when using hotels? It is my understanding that you get hotel upgrades when using points through certain CCs.

Thanks
I'll answer the first one: The Amazon Prime VISA is an easy choice for Amazon purchases (5% back), and they recently added to the 3% categories. The Affinity Credit Union Cash Rewards also gives 5% at Amazon, though the 5% rotating categories that made it even more attractive went away at the start of the year. The Costco branded credit card is better for gas than for purchases at Costco, so one of the generic 2% VISAs might be a better choice. Though if you're in the right part of the country, the AAA Daily Advantage VISA gives 3% at wholesale clubs (as well as 5% at groceries). You don't have to be a member of AAA to get the card, but some of the clubs offer U.S. Bank cards instead of the Bread/Comenity cards, so it's a YMMV thing.

Car rental. The best car rental cards are probably Chase Sapphire Preferred and Chase Sapphire Reserve, which give you primary rental car insurance, and a generous return on car rental spend.

The hotel question is a very complex subject. You need to provide a lot more information as to what you are looking for. But the CSP and CSR mentioned above are definitely great cards for travel generally. And as far as hotels go, in addition to their general value for hotels, they have Marriott, Hyatt, and IHG as travel partners.

So if you wanted one card that gave you a lot of bang for the buck in both car rental and in hotels, that would be the CSP or CSR.

Re: Which CC should I go for?

unsungivy — Tue, 16 May 2023 14:28:10 GMT

Can you supply more details about the 3 CCs you do currently have? You said they provide minimal benefits, but it would help for us to know what cards they are exactly and who with, because it's possible that you could increase their limits AND do a product change to cards that would actually be useful to you without even having to do a pull.