<p>Hi parents, I’m trying to decide if it’s worth getting another credit card. </p>
<p>I currently have Mastercard and VISA credit cards. I got an offer in the mail. It is a No-Annual-Fee Accelerated Rewards American Express Card with WorldPoints rewards. It’s 0% APR on balance transfers and direct deposits until June 2010. </p>
<p>I have no experience with American Express. Is this a good deal?</p>
<p>Do you carry balances on your Mastercard and Visa cards? If so, is it your intention to transfer the balances to the 0% American Express card (and stop using the other cards)? If not, what do you see as the advantage of having a third credit card? I am wary of credit cards…the more you have, the more of a pickle you could find yourself in one day if you’re not disciplined. (As for the American Express card itself, keep in mind that it’s not accepted as universally as the Visa. I have an AmEx card, and sometimes that’s an inconvenience. Other than that, I have been pleased with the company and the rewards program.)</p>
<p>Do you pay an annual fee on your Visa or Mastercards? If so, it might make sense to drop one of them for the AE. Ditto if those cards don’t have rewards.</p>
<p>I have a Platinum Mastercard that is currently 0% APR (until ~April 2010) with a $1500 balance. My VISA has a zero balance and has rewards only from selected stores. I don’t use the VISA because the interest rate is high (21%). I was thinking about making a small purchase (~$100) on the VISA and transfer the balance to the American Express card. I’m considering a third credit card if I ever run into an emergency situation. I’m making payments on my Mastercard.</p>
<p>“It’s 0% APR on balance transfers and direct deposits until June 2010.”</p>
<p>If you carry balance of $1,500 and the card has no fees it will be a good deal. Don’t forget balance transfer fees. They can range from 3-5%.</p>
<p>Update: There is no annual fee on my Mastercard and VISA cards.</p>
<p>Getting extra credit card is not going to hurt you.</p>
<p>I have three credit cards, two of which carry a balance (neither of which has an annual fee, both of which have rewards). The third is empty but also has my highest credit limit; makes it a great thing to have “in case of emergency.”</p>
<p>My DH and I used to have Amex cards. Hard to use anywhere except in high end places. The fees they charge the companies are MUCH higher than for Visa or MC. Frankly, I wouldn’t bother.</p>
<p>^^^ Totally disagree with the above post 9. I was just traveling for two weeks in four countries in Asia. Amex accepted each time I used it. Fees are roughly the same. Costco isn’t very high end and that is their card of choice…</p>
<p>Take a look at the Costco AmEx card. It pays cash back. They paid me aroud $500 last year to use the card. We use it everywhere we can which includes all gas stations, the gorcery stores, most restaurants, all department stores, airlines, online shopping, etc. There are some places that don’t take it but those are typically smaller mom and pop stores/restaurants.</p>
<p>If you ever own a Discover Card you’ll have that acceptance everywhere issue. I chucked mine. What’s NOT in your wallet…</p>
<p>As long as you’re good about controlling your spending, get the AMEX card while you can and use it now and then, just to keep it active. You might become a costco member down the road.
Also, unless things have changed recently, one factor in your credit score is your total outstanding balance on all credit cards vs. total available credit. The lower your balance and the greater your available credit, the higher your credit score. Just get in the habit of paying off your balance each month.</p>
<p>I agree that if you’re a Costco member, the AmEx Costco card is good and even better if you qualify for the Business card. I was getting 5% (now down to 4%) back on gas. I also get 3% back on restaurants, 2% on travel & 1% on everything else. I carry no balance & pay it all off but like the significant rebates I rack up on charging.</p>
<p>I also have another card that gives me a lot of free points for flying and purchases. I have gotten a lot of free airplane tickets on it, but it isn’t as good as it used to be.</p>
<p>I would strongly recommend NOT carrying a balance. If you can, try your best to pay off your credit card(s) entirely. If you can pay off your balance in full, you’ll have a lot more money in the long run and you’ll learn to live within or better yet, under your means so you will not have fiscal emergencies and can build up an emergency fund.</p>