24 Looking to build Credit... What are some good tips on your first Credit Card

[rbk93]

What you spend money on doesn't matter. In my situation, since I charged Med bills to my CC and allow it to show up on statement, it increased my overall utilization. Which has a negative effect on ur score. I paid it all off and didn't owe any interest, but my utilization still took a hit last month. I think it's recommended that u keep your utilization below 30%.

But what's the point of giving a higher credit limit of than what you're expected to "utilized"? 

 

 

[turbospartan]

I used Citi TY points at 1.6 cents per point towards flights on AA for having the Citi prestige card. Flights were only $404. It was only a little over 25K per person. Nonstop to London and returning from Paris nonstop also.

I transferred a ton of Chase points to Hyatt to book my hotels in London and Paris. I transferred Marriott to SPG to book my two nights in Amsterdam. You can check Hyatt award availability on their site. You can do the same with SPG, if the option isnt available you can call them.

If you're planning a vacation, book your hotels in advance. You can always cancel later on. The one problem with that is your points cant be transferred back. I waited too long and couldn't get the hotels I wanted and now im checking like a crackhead to see if it becomes available.

Thanks.  So how did you go about the research?  Knew the places you wanted to hit first, then found flights that would allow you to book with points, then found hotels in those areas that would allow you to book with points?

I have the CSR and already have my 100k points, and so does my wife.  So we have 200K+ points, but now I'm not sure what the actual next step is.   Find flights for the time period we want to travel, and then search to see if those specific flights are book-able by points?

 

[isco]

But what's the point of giving a higher credit limit of than what you're expected to "utilized"? 


 

Carrying a high balance is a negative factor to creditors

 

[dam itz lou]

Thanks.  So how did you go about the research?  Knew the places you wanted to hit first, then found flights that would allow you to book with points, then found hotels in those areas that would allow you to book with points?

I have the CSR and already have my 100k points, and so does my wife.  So we have 200K+ points, but now I'm not sure what the actual next step is.   Find flights for the time period we want to travel, and then search to see if those specific flights are book-able by points?

I have a ton of points with a few programs so I'm pretty flexible with where I can stay. If you only have Chase UR points I would look if there are Hyatt hotels where you want to go. Hyatt is a great transfer partner of Chase. For example, I'm looking to go to the Bahamas at the end of August. Hyatt just opened up a hotel there called the Baha Mar. Four nights would cost me $2100, but only 20K points a night. You would be getting a little over 2.6 cents per point in value, which is great.

If you're planning on using your Chase UR points, you can book whatever airline at 1.5 cents per point towards airfare. It's not the greatest redemption but at the end of the day there your points.

Follow the flight deal and secret flying on social media for great airfare deals.

Breakdown of my current trip

Flights on AA - 25K per person JFK-LHR - CDG-JFK

3 nights in London - $1238 (25K a night) - 1.6 cents per point
2 night in Amsterdam - $875 (25K a night) - 1.7 cents per point
3 nights in Paris - $1353 (20K a night) - 2.2 centers per point

 

[xcellz]

How many points will my score drop for a hard pull for a credit card?

 

[thadangerousmind]

2-5 if that.

 

[Tony $now]

How long after paying off my credit cards will I see a boost in my score? Paid all three down to a zero balance in April.

Also regarding collections: I have two on my report for $160 and $174. They've been there since 2015 apparently. When I pay them will they have a positive effect on my score or is the damage already done?

 

[noskey]

Got approved for credit limit increases last month for a couple of my cards (effectively doubled the limits) and my score jumped 41 points :x Just had to brag for a second, I was expecting like a 10 point jump.

 

[doxen5703]

Got approved for credit limit increases last month for a couple of my cards (effectively doubled the limits) and my score jumped 41 points :x Just had to brag for a second, I was expecting like a 10 point jump.

Repped.

 

[23kidd]

How long after paying off my credit cards will I see a boost in my score? Paid all three down to a zero balance in April.

Also regarding collections: I have two on my report for $160 and $174. They've been there since 2015 apparently. When I pay them will they have a positive effect on my score or is the damage already done?

Someone correct me if im wrong...


Damage will be shown, and will be done to ur score. However if they see that you paid it and took care of it then youll be good...but if its '15 then def its not a good look since its been 2 years already.

 

[Tony $now]

Someone correct me if im wrong...


Damage will be shown, and will be done to ur score. However if they see that you paid it and took care of it then youll be good...but if its '15 then def its not a good look since its been 2 years already.

Cool I figured that would be the case just buy reading through various forums, as great as the credit utilization goes off I paid all the balances off in April, I won't see a jump in my score until May or June?

 

[dam itz lou]

How long after paying off my credit cards will I see a boost in my score? Paid all three down to a zero balance in April.

Also regarding collections: I have two on my report for $160 and $174. They've been there since 2015 apparently. When I pay them will they have a positive effect on my score or is the damage already done?

The damage is already done. You will get a small bump when they show up as paid. You'll see a huge jump when it comes off. If I were you, I'd make up a story why you didn't pay it depending on what it is. Then pretend you're tired of going back and forth and agree to pay if they delete it. Collection companies only care about the $$$.

 

[Tony $now]

The damage is already done. You will get a small bump when they show up as paid. You'll see a huge jump when it comes off. If I were you, I'd make up a story why you didn't pay it depending on what it is. Then pretend you're tired of going back and forth and agree to pay if they delete it. Collection companies only care about the $$$.

By me lowering my utilization, what type of bump should I expect to see. I went from 50% utilization, down to 10%

 

[jon4rd]

How long after paying off my credit cards will I see a boost in my score? Paid all three down to a zero balance in April.

Also regarding collections: I have two on my report for $160 and $174. They've been there since 2015 apparently. When I pay them will they have a positive effect on my score or is the damage already done?

If you are able to get pay for deletes on both of those collections you will see a huge jump. If you can't get pay for deletes and they stay on your report after you pay them you won't see a bump in score. Try to get pay for deletes

 

[Los Angeles]

what about collection agencies not willing to settle to close out accounts?

I have a medical bill thats 4 years old at $5000 and they wont budge

 

[Tony $now]

If you are able to get pay for deletes on both of those collections you will see a huge jump. If you can't get pay for deletes and they stay on your report after you pay them you won't see a bump in score. Try to get pay for deletes

OK cool. Thanks for the info

 

[xcellz]

credit went up 18 points

 

didn't get nicked for that credit card app either

 

[guccjermaine2]

I need a credit card fast for a major repair. I usually pay cash for everything and I never had a credit card. What are some good cc for me?

 

[jon4rd]

I need a credit card fast for a major repair. I usually pay cash for everything and I never had a credit card. What are some good cc for me?

Discover it card is a good first credit card. I can send you a referral link too if you want

 

[turbospartan]

I need a credit card fast for a major repair. I usually pay cash for everything and I never had a credit card. What are some good cc for me?

What are you looking for the credit card to do?

Buy you some time to pay it off or to get rewards from spending a large amount of money?

If you want time to pay it off, look for a 0% for 15+ months type card. 

If you want rewards points, look for something with a sign up bonus for spending X-amount. 

 

[Bert.]

I need a credit card fast for a major repair. I usually pay cash for everything and I never had a credit card. What are some good cc for me?

I got one for ya

discover it

 

[23kidd]

Got my second cc from m&t bank after have my first one for a year (capitol one)

1k limit...i aint even mad

Gona use it as back up though

 

[doxen5703]

Just got approved for a capital one secured joint. $99 down for a $200 limit. Probably gonna do it since I can't get approved for anything else.

 

[had pants]

For starters and/or supplementary alternatives to build your CS:

Best No Fee Credit Cards (2017)
By Robert Harrow Updated on April 20, 2017

Credit cards with no annual fee, sometimes referred to simply as 'no fee cards', are great choices for consumers that may not make a lot of purchases. They are also a great option as a supplemental card, for consumers looking to squeeze extra value out of a specific segment of spending. We take a look at the best fee free card options out there and help you figure out what to look for in a no annual fee credit card. Also take a look at our advice on whether a fee free option is best in the first place, as well as other best practices if you're looking for a supplemental credit card.

https://www.valuepenguin.com/best-credit-cards-no-annual-fee-free

 

[nrg1604]

What you spend money on doesn't matter. In my situation, since I charged Med bills to my CC and allow it to show up on statement, it increased my overall utilization. Which has a negative effect on ur score. I paid it all off and didn't owe any interest, but my utilization still took a hit last month. I think it's recommended that u keep your utilization below 30%.

But what's the point of giving a higher credit limit of than what you're expected to "utilized"? 

You gotta look at it from two separate perspectives. Your current CC won't mind too much if u spend more money than u can afford to pay back each month, since your interest owed is income for them. On the other hand, your prospective loaner will look at how much credit you use and see that you tend to "borrow" more than you can afford, thus making you riskier to miss payments or default etc. and so your rate is increased to offset the risk they're taking. Credit score is a tool prospective creditor uses, your current CC couldn't care less about it or how much you actually utilized of your credit limit.