Is she on point?

Cappie I graduated high school with talks about credit and how to boost your score and understanding the basics of credit cards etc.

I've always been scared of credit cards, so I never had any, however I think it's time. As of now I dont have any credit, which isnt good. Her advice seems easy to follow, im just hoping she's on point with it.

Better to open a secured credit card with your bank. Use up to 75% each month and pay it all off before the next months cycle.

Op do you have any student loans or outstanding debt?

No student loans or debt.

What are you two talking about? Y'all got me confused lol. Why is school being mentioned loll?

Posted by Seraphlight
Finance stuff is a highly personal thing. And I am not good at it.

Just because you have no debt doesn't mean you are good at money stuff. Or are wealthier than someone with debt.

Who said that lol?

*sigh* I just wanted y'all to watch the video smh.

I used to feel the same way you do about credit cards. But I got a college credit card as a way to build a credit history. Some of my philosophy is this, don't spend money you don't have. So if I don't have the money in my savings account for my debit card to immediately pay off my credit card when it's due, I do not spend it. Ever.

Another thing is, the higher your credit score the more they raise your actual credit so technically, that's an opportunity to accrue more fees so I'm very careful about that. I don't open up all these extra unnecessary accounts, I guess that is something that can happen later. For now I only have two cards that I have to manage. I pay them off on time and I avoid paying the minimum amount required. I pay all of it. That way, I don't accumulate interest on the unpaid amount.

As for student loans, I go for the subsidized loans so that I don't accumulate interest so long as I'm in school. I also work two jobs. Just be very disciplined and very smart with your finances and you should be fine. Get yourself into the habit of paying off your credit card bill on time.

When you open an account, be sure to tell them you don't want any kind of "overdraft protection." That protection is, when you don't have enough money to pay for something the bank covers that amount and they charge you a fee for doing so. If you don't have it, your car just bounces and tells you that there is insufficient funds. In my opinion, that is much better than thinking you have money when you don't.

My credit score is excellent, and I hope to continue on this path.

Thanks LillyPetal.

That's what I'm finally trying to do...build credit. Thing is, since I don't have much of a credit history, its been hard to find a card.

I'm pretty good with paying bills, so I know I'd pay it off on time. I guess the extras like the fees, and the 24% Apr that I often see etc, is kind of what scares me..

Posted by lnana04
Thanks LillyPetal.

That's what I'm finally trying to do...build credit. Thing is, since I don't have much of a credit history, its been hard to find a card.

I'm pretty good with paying bills, so I know I'd pay it off on time. I guess the extras like the fees, and the 24% Apr that I often see etc, is kind of what scares me..

I didnt have my first credit card until I was 25. You learn pretty quickly how tough it is to apply for certain things with no credit history. The ironic part is it doesn't matter if you make good money because it's your credit that validates your worthiness. Accruing debt and being able to pay it off is their only way to gauge how responsible you are with finances.

The only card you'd be able to apply for is a secured credit card. Essentially, you are only given a small amout of credit-roughly $ 500, and it carries no rewards. The best way to obtain one is through your bank. Worry about establishing credit first then once your credit grows, companies will begin to entice you with their rewards programs and by then you'll have a better selection to choose from.

Interest rates kick in only if you have a balance. If you don't have a balance to pay off then there is nothing to worry about.

Per the woman's video, it's pretty on point. Credit factors in debt, overall, not just pertaining to your credit card. Keep that in mind when you accumulate loans such as student or car loans.

Posted by Capz

Posted by LillyPetal
I used to feel the same way you do about credit cards. But I got a college credit card as a way to build a credit history. Some of my philosophy is this, don't spend money you don't have. So if I don't have the money in my savings account for my debit card to immediately pay off my credit card when it's due, I do not spend it. Ever.

Another thing is, the higher your credit score the more they raise your actual credit so technically, that's an opportunity to accrue more fees so I'm very careful about that. I don't open up all these extra unnecessary accounts, I guess that is something that can happen later. For now I only have two cards that I have to manage. I pay them off on time and I avoid paying the minimum amount required. I pay all of it. That way, I don't accumulate interest on the unpaid amount.

As for student loans, I go for the subsidized loans so that I don't accumulate interest so long as I'm in school. I also work two jobs. Just be very disciplined and very smart with your finances and you should be fine. Get yourself into the habit of paying off your credit card bill on time.

When you open an account, be sure to tell them you don't want any kind of "overdraft protection." That protection is, when you don't have enough money to pay for something the bank covers that amount and they charge you a fee for doing so. If you don't have it, your car just bounces and tells you that there is insufficient funds. In my opinion, that is much better than thinking you have money when you don't.

My credit score is excellent, and I hope to continue on this path.

LILYPETAL IS HOT

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Settle down.