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Forums - General - What's your credit card and why is it best for you?

Metallicube on 20 December 2013
the2real4mafol said:
The credit free life.

But seriously, i won't get a credit card because i don't think they are worth it. It's so easy to get into debt with that bit of plastic. I would rather use my own money thanks.

Not like it matters now, but i'm from London, England.


Same here. I figure I'm gonna be enough in debt with the $50,000 of loans I will have to pay back. No sense in compounding that with the invetable debt I'd aquire from using a credit card.



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Kasz216 on 20 December 2013
Pemalite said:
Kasz216 said:
Pemalite said:

You don't need a credit card to build up a credit rating.
Go to a place that "rents" something like Laptops and Televisions, pay a few bucks a week and you start to build on that credit rating.

I have no credit card, I use debit, I also have a very good credit rating to the point where I can buy a brand new car or home tomorrow if I wanted.
But that leaves me with less disposable income.
Also banks usually take how much you earn into account when giving you a loan too, the more you earn the less risky the endeavor.

Yeah... but then your getting ripped off by renting shit you could be buying.

Just using a credit card like a debit card is the easiest way to build credit, and the one that won't screw you over.

I mean you can get credit cards with limits as low as 500-1,000 dollars.

Use it just like you would a debit card... and it's easy.

Depends on the situation.
I save allot of money, so I always have cash in the bank, I don't need the debt.
Credit cards have interest rates and fee's attached over here thus it's an added cost that being a little bit thrifty can avoid.

However renting stuff isn't always a bad thing, if you rent a computer you can then swap it for a new one in 12 months time whilst continuing to pay the same rental price. (The company makes it's money by selling the old machine refurbished.)
I used to do it when I was a teenager back when PC's were developing stupidly rapidly. (I.E. Unheard of running a game at max settings for 2 years.)

At the end of the term you are usually given an option to buy it out.

I still don't like either option, but when I was a teenager, I was only making 30 grand a year, so it helped to rent to get myself set-up.
These days if I don't have the cash I just don't buy it, but that's a very rare occurance.

There are only itnerest rates and fees if you don't pay it off at the end of the month.

Which is pretty easy to do if you get a low limit card and pretend it's a debit card.

As for the rental scenario you are talking about.

The Rental company makes money off you.  Far more then it would cost if you had just bought a PC outright.  Hence why they are a buisness.



Madword on 20 December 2013

I don't have one any more, and won't... because they are evil :)

I can understand what you mean about credit history, and though I've never had a problem (didn't have a credit card when i purchased my first house).. I'm guessing if you have loans as well that would be good enough credit history.

But yeah, they are so easy to spiral out of control...



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the2real4mafol on 20 December 2013
Metallicube said:
the2real4mafol said:
The credit free life.

But seriously, i won't get a credit card because i don't think they are worth it. It's so easy to get into debt with that bit of plastic. I would rather use my own money thanks.

Not like it matters now, but i'm from London, England.


Same here. I figure I'm gonna be enough in debt with the $50,000 of loans I will have to pay back. No sense in compounding that with the invetable debt I'd aquire from using a credit card.

Yeah debt from university tutition fees is bad enough on its own. £27,000 from 3 years of study! 



Xbox Series, PS5 and Switch (+ Many Retro Consoles)

'When the people are being beaten with a stick, they are not much happier if it is called the people's stick'- Mikhail Bakunin

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Gilgamesh on 21 December 2013
Kasz216 said:
Shinobi-san said:
Kasz216 said:
the2real4mafol said:
Kasz216 said:
 

I don't understand that at all. Why can't they just use my bank account/ debit card history to determine if i can a mortgage/ loan?

Not like it matters, there is no way i could afford to own a house in London anyway. Most people can't, anymore. Damn housing bubbles!  


Because a debit card is just a plastic check.  Checking accounts aren't reported to credit score companies.

Largely because well... they aren't credit.

The money disapears right away so you never build up debt.

 

Banks don't want to see if your responsible enough to not spend yourself into more debt.

They want to see if you are responsible enough to not spend now, when you have to pay off debt later.

 

Think of it this way.  If you have $5 in your pocket.  It's easy to spend 3-4 dollars on food and not go over or in debt.

If you owe someone $5 it's a lot harder to hold on to that money.  A lot more tempting to spend it.

 

I guess living in England you can go without a car... but quite honestly, it's worth building up a credit rating, you never know when you'll find yourself wanting to buy a house, a car, start up a buisness, etc.

I think its worth pointing out to the2real4mafol that you dont need a credit card to build up a good credit rating...there are multiple other ways to go about it.


I mean, while that's true.  They all cost money and require you to do things that rip you off.  Like rent furniture instead of buying it for example.

 

Getting a credit card with say... a $500 dollar limit and using it exactly like you would a debit card is just the best way to do it.


^This

My girlfriend wanted to buy a house and this is what the banks told her to do since she had no credit. She got a credit card and used it on gas and only gas for 2 years and after that her credit was good enough that she was able to get a loan for a house.

I was in the same situation, I had zero credit and was worried that I may need a big loan for a house or car or anything, so she recommended what to do and I got a credit card off my bank, it had a $15 anual fee and a $500 max, for 3 years I been using it to buy gas and paying it off in full at the end of every month. We both went to the bank to get a line of credit recently and the woman working their was glad to give us a big line of credit, she said she was amazed to see a young couple with as good a credit as we had.



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MoHasanie on 22 December 2013
the2real4mafol said:

Yeah debt from university tutition fees is bad enough on its own. £27,000 from 3 years of study! 


WOW, that's so expensive! :O That's more than $40,000! Are you paying domestic student fees? 

If you are then tuition in the UK is so much more expensive than Canada. 



    

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the2real4mafol on 23 December 2013
MoHasanie said:
the2real4mafol said:

Yeah debt from university tutition fees is bad enough on its own. £27,000 from 3 years of study! 


WOW, that's so expensive! :O That's more than $40,000! Are you paying domestic student fees? 

If you are then tuition in the UK is so much more expensive than Canada. 

In the last 3 years, the arsehole government decided to increase tuition fees to £9000 per year (it was £3000 per year before that). We have 30 years after i graduate to pay it before it goes void but like 99% of people i think it should be free. Nevermind!

So i guess it costs more than Canada 



Xbox Series, PS5 and Switch (+ Many Retro Consoles)

'When the people are being beaten with a stick, they are not much happier if it is called the people's stick'- Mikhail Bakunin

Prediction: Switch 2 will outsell the PS5 by 2030

the2real4mafol on 23 December 2013
MoHasanie said:
the2real4mafol said:

Yeah debt from university tutition fees is bad enough on its own. £27,000 from 3 years of study! 


WOW, that's so expensive! :O That's more than $40,000! Are you paying domestic student fees? 

If you are then tuition in the UK is so much more expensive than Canada. 

Crazy because university study was free in the UK until 1997





Xbox Series, PS5 and Switch (+ Many Retro Consoles)

'When the people are being beaten with a stick, they are not much happier if it is called the people's stick'- Mikhail Bakunin

Prediction: Switch 2 will outsell the PS5 by 2030

MoHasanie on 23 December 2013
the2real4mafol said:
MoHasanie said:
the2real4mafol said:

Yeah debt from university tutition fees is bad enough on its own. £27,000 from 3 years of study! 


WOW, that's so expensive! :O That's more than $40,000! Are you paying domestic student fees? 

If you are then tuition in the UK is so much more expensive than Canada. 

In the last 3 years, the arsehole government decided to increase tuition fees to £9000 per year (it was £3000 per year before that). We have 30 years after i graduate to pay it before it goes void but like 99% of people i think it should be free. Nevermind!

So i guess it costs more than Canada 

That's a huge increase. I think I remember the protests that occured when the govt. decided to increse fees. On the bright side, UK universities are all world class institutions, and for them to keep ranking so highly, they need more money so they can do more reasearch and stay competitive with the North American and other Asian universities that also rank highly. 

In Canada tuition varies for different programs, but the average tuition is $8000-$9000 a year (£5500)  at a big universitiy. Of course medicine and some other programs are much more high. So you guys had much cheaper tuition compared to here before they increased tuition fees. 

Wow, that's crazy! Your parents must have been so lucky to go to university for free! 



    

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xytherion on 23 December 2013

i'm from the philippines, so metrobank for me