Help with credit cards

k_jo
Thu, 16 Aug 2007 21:30:53 +0000

I’m not a big fan of Amex because its not accepted at a lot of places. Any card with a Visa or Mastercard backing (Cap1, Bank of America, and many many others) will be accepted nearly anywhere. Discover is good and has good rewards, but not accepted everywhere.

Expect a low credit limit: usually around $500: but after you have had the card for 6 months to a year, call up and ask them if they can raise your credit limit. The ratio of balance to credit is used in calculating your credit report so having a card with a 500 dollar limit that you might put $300 on and pay off each month, won’t help your credit as much as a card with a $1500 limit, for example.

I have a couple. I have a Discover that I use for pretty much gas only since I get 5% back on gas purchases right now, I have a Visa from Bank of America that I put small other purchases on, and I have a mastercard from Cap1. I use each every month and never carry a balance on any of them. I’ve been doing this for 4 years and have a spotless credit history. Once you get one card, its easy to get another and as long as you pay off the balances, you can really establish a fantastic credit history this way.