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(Time)   Most Americans still have no idea how much interest their credit cards actually charge them   (time.com) divider line
    More: Facepalm, financial crisis, Late-2000s recession, new study, basic financial literacy, National Capability Study, Americans, FINRA Foundation, unpaid medical debt  
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3646 clicks; posted to Main » and Business » on 14 Jul 2016 at 12:16 AM (4 years ago)   |   Favorite    |   share:  Share on Twitter share via Email Share on Facebook



215 Comments     (+0 »)
 
View Voting Results: Smartest and Funniest
 
2016-07-13 8:59:16 PM  
And I like to keep it that way -  by never getting to the point where they charge me interest.
 
2016-07-13 9:23:19 PM  

RexTalionis: And I like to keep it that way -  by never getting to the point where they charge me interest.


I have no idea either for that exact reason. I pay off my credit card every month on the due date.
 
2016-07-13 10:10:58 PM  
THIS JUST IN: Americans suck at personal finance.
 
2016-07-13 10:12:03 PM  
More than Vinnie  on the corner.
 
2016-07-13 10:16:56 PM  
Uh... did they try reading their bills?
 
2016-07-13 10:21:01 PM  
zero interest - I pay off the balance every month
 
2016-07-13 10:31:39 PM  
I dont know and no, i dont pay mine off every month.    *shrugs*
 
2016-07-13 10:32:49 PM  
Or you could, you know, pay of your Dog Damned credit cards.

/ sometimes, I think that some people need minders
 
2016-07-13 11:08:20 PM  
Sure I do, it's 7.50%, the lowest rate of any card around.
 
2016-07-13 11:14:47 PM  
Face it, such details most Americans do not find...interesting
 
2016-07-13 11:24:42 PM  
I used to have Capital One. They had a pretty low rate, then for no reason they jacked up my rate ridiculously high to somewhere around 17-18%.  I have fantastic credit and never did I miss a payment.  I don't carry much of a balance at all which I'd like to imagine is part of the problem, but in reality it's not. They're just farking greedy.  So instead of making the 3% interest on all my charges and a nominal monthly amount, now they get zero.  Fark them.  I moved my credit cards and now I'm paying down around 8% on the times when I do carry a balance.

Go fark yourselves, Capital One.  Fark yourselves with a big stick of salt-encrusted razors.
 
2016-07-13 11:57:18 PM  

bdub77: RexTalionis: And I like to keep it that way -  by never getting to the point where they charge me interest.

I have no idea either for that exact reason. I pay off my credit card every month on the due date.


You wait til the due date? Are you poor? I pay mine off weekly.

/kidding about the poor thing
 
2016-07-14 12:19:39 AM  

bdub77: RexTalionis: And I like to keep it that way -  by never getting to the point where they charge me interest.

I have no idea either for that exact reason. I pay off my credit card every month on the due date.


Third.

I can't remember the last time I carried a balance.

I'm not wealthy by any stretch of the imagination. Not even close. I just know my fiscal limitations and live within my means.
 
2016-07-14 12:19:49 AM  
Interest?  who pays interest?  (okay I don't always pay off at the end of the month but I usually do).
 
2016-07-14 12:19:53 AM  
It's not that we don't know by accidental ignorance.
We DON'T WANT to know.
It's intentional ignorance.
 
2016-07-14 12:20:29 AM  
Just pay it off every month.
 
2016-07-14 12:24:51 AM  
I think the last time I carried a balance was when I was in college and I just HAD to have a Playstation 2, so I put it on the card and paid it off as I could.  With little exception, I think that's the last time, so no, I don't know my card's interest rates, nor do I really care.

My main card pays rewards right into my IRA's, and I have one of the Amazon cards because I spend a good deal there and 3% back is pretty nice.  If I got stuck into having to carry a balance I'd find a good one and roll it over to that.
 
2016-07-14 12:25:04 AM  

Satanic_Hamster: Just pay it off every month.


Wait. You're telling me that the card I got in the mail isn't free money? That's crazy talk.
 
2016-07-14 12:25:15 AM  

chicken nugger: Sure I do, it's 7.50%, the lowest rate of any card around.


Mine is 7.49%...you're such an interest loser. Big L.
 
2016-07-14 12:25:51 AM  
Another comment here from someone who has never paid a dime in interest on a credit card. Although I recently opened a new Costco credit card and I think I saw it's around 15% after the promo period, so I'll just assume most cards are the same, if not higher.
 
2016-07-14 12:30:28 AM  
I was told there would be no math.
 
2016-07-14 12:31:10 AM  
Oh I know. I just live in denial.
 
2016-07-14 12:35:32 AM  
0%

It is the interest I pay.  Of course I pay my balance off in full every month.
 
2016-07-14 12:35:34 AM  
img.fark.netView Full Size

I said it. I meant it. I stole your mother's credit.
 
2016-07-14 12:36:17 AM  
The comments in this thread make it look like the average Farker is fiscally responsible. There are a couple explanations that come to mind, but I'm going with "the average Farker is fiscally responsible". It's good to see you have ignored the lessons and examples your family, friends, and government have been providing all these years.
 
2016-07-14 12:37:02 AM  
Online banking is the sh*t. I pay off my card pretty much every other day rather than a check to pay the bill at the end of the month like we all did prior to the internet age. It also means I can keep track of my balance at a moment's notice instead of suffering the occasional sticker shock of a snail-mailed monthly bill.

Not to mention, seeing my balance on demand keeps me honest about staying within my means and tempering any purchases so I don't accumulate a sizeable debt. The result is I haven't carried a monthly balance for years now.

/CSB
 
2016-07-14 12:38:58 AM  

Demetrius: I used to have Capital One. They had a pretty low rate, then for no reason they jacked up my rate ridiculously high to somewhere around 17-18%.  I have fantastic credit and never did I miss a payment.  I don't carry much of a balance at all which I'd like to imagine is part of the problem, but in reality it's not. They're just farking greedy.  So instead of making the 3% interest on all my charges and a nominal monthly amount, now they get zero.  Fark them.  I moved my credit cards and now I'm paying down around 8% on the times when I do carry a balance.

Go fark yourselves, Capital One.  Fark yourselves with a big stick of salt-encrusted razors.


I don't know if this is still the case, but Capital One used to be a credit-repair card. If you had no or poor credit history, C1 would give you a card anyway (aka "enough rope to hang yourself.") They made up for all the resulting defaults by charging more vig than Antonio down on the corner, though without the threat of damage to your patellae.

So they probably think that once they have you as a customer victim, they can jack up your rates because you can't get worthwhile credit limits anywhere else. Sometimes, they're wrong about that.
 
2016-07-14 12:43:07 AM  

bdub77: RexTalionis: And I like to keep it that way -  by never getting to the point where they charge me interest.

I have no idea either for that exact reason. I pay off my credit card every month on the due date.


This confuses me. Doesn't everyone do this?
 
2016-07-14 12:44:31 AM  
Done in one.

/ two, six and seven
 
2016-07-14 12:44:55 AM  
for years I never paid interest as I always paid off my card at the end of the month... but several months ago I had to put a whole slew of moving expenses on my credit card. paying that off has been fun, farking 15% interest! It should finally be paid off at the end of this month though, which is nice.

/probably didn't help that all my bills are also tied to said card so there were always continues charges being made to said card.
 
2016-07-14 12:44:57 AM  
 
2016-07-14 12:46:57 AM  

JonZoidberg: I think the last time I carried a balance was when I was in college and I just HAD to have a Playstation 2, so I put it on the card and paid it off as I could.  With little exception, I think that's the last time, so no, I don't know my card's interest rates, nor do I really care.

My main card pays rewards right into my IRA's, and I have one of the Amazon cards because I spend a good deal there and 3% back is pretty nice.  If I got stuck into having to carry a balance I'd find a good one and roll it over to that.


Last time I carried a balance on a credit card was for a nice watch as a gift to mrs mcmnky. I planned ahead and got one of those 'no interest for 12 months'  cards. Paid off the watch over 11 months. Never used that card for any other purchase. No interest paid.

Interest rate on my current cards? No idea. Balance paid in full each month. No interest paid. Also no annual fees.
 
2016-07-14 12:49:49 AM  

snowjack: 7.15% biatcheeees
https://www.becu.org/everyday-banking/credit-cards

:-)


Variable rate.....lol
 
2016-07-14 12:50:02 AM  
I lived an extravagant lifestyle funded by credit cards for years. Then I lucked into buying house t just the right time. House prices skyrocketted in SoCal, so I started to use the equity as a piggy bank. Then, my income tripled over the next few years, so I was able to spend more money on credit cards. At one point, I bought a $10k motorcycle on a credit card. I saw the house bubble burst coming, so I sold my house in 2006 for a $250k profit, and paid off my student loans and credit cards, and still walked away with over $100k, so I moved to Portland. I decided to not work for a couple of years, and blew the $100k and ran up another $20k in credit card debt., so I had to get a job.
 
2016-07-14 12:50:44 AM  

themindiswatching: Satanic_Hamster: Just pay it off every month.

Wait. You're telling me that the card I got in the mail isn't free money? That's crazy talk.


Well, it is if you do the points/cash back right.

Back in the 90's, my dad put all of me and my sisters tuition on his Chevrolet Visa.  Ended up getting an insane amount off his next car.
 
2016-07-14 12:54:08 AM  
About 10 years ago, I got a letter from Citibank informing me that my interest rate was going from 8.9% to 12.9%, despite me never having carried a balance or missed a payment. I informed  that No, it wouldn't be and cancelled my card.

/ Discover has better reward points anyway
// as does BAC
 
2016-07-14 1:06:42 AM  

RexTalionis: And I like to keep it that way -  by never getting to the point where they charge me interest.


This.
 
2016-07-14 1:08:00 AM  
ProTip:  Regard your "credit card" as a time-delayed debit card (payoff every month), and your interest rate is always zero (unless you're a chump and take a cash advance, of course).
 
2016-07-14 1:08:58 AM  
"What good is math to me?", they say...

TwowheelinTim: The comments in this thread make it look like the average Farker is fiscally responsible. There are a couple explanations that come to mind, but I'm going with "the average Farker is fiscally responsible". It's good to see you have ignored the lessons and examples your family, friends, and government have been providing all these years.


Yeah. Paid off my mortgage, paid off & canceled my credit cards, and my reward? A lowered credit score, because, hey, I clearly won't make a bank any money if they give me a line of credit. Never mind that I have an 80+ spread between credit scores depending on which agency I ask, or that one agency still thinks I work at CIGNA, a company at which I haven't worked in 18 goddamned years.

No, I'm supposed to curate my credit score because it's increasingly used to measure my value as a person, instead of merely indicate how much of a profit margin I'd give a creditor. Fark that.
 
2016-07-14 1:11:29 AM  

FormlessOne: "What good is math to me?", they say...

TwowheelinTim: The comments in this thread make it look like the average Farker is fiscally responsible. There are a couple explanations that come to mind, but I'm going with "the average Farker is fiscally responsible". It's good to see you have ignored the lessons and examples your family, friends, and government have been providing all these years.

Yeah. Paid off my mortgage, paid off & canceled my credit cards, and my reward? A lowered credit score, because, hey, I clearly won't make a bank any money if they give me a line of credit. Never mind that I have an 80+ spread between credit scores depending on which agency I ask, or that one agency still thinks I work at CIGNA, a company at which I haven't worked in 18 goddamned years.

No, I'm supposed to curate my credit score because it's increasingly used to measure my value as a person, instead of merely indicate how much of a profit margin I'd give a creditor. Fark that.


welltheresyourproblem.jpg
 
2016-07-14 1:11:43 AM  

FormlessOne: No, I'm supposed to curate my credit score because it's increasingly used to measure my value as a person, instead of merely indicate how much of a profit margin I'd give a creditor. Fark that.


You sound like a Redditor curating your karma.
 
2016-07-14 1:15:20 AM  

FormlessOne: "What good is math to me?", they say...

TwowheelinTim: The comments in this thread make it look like the average Farker is fiscally responsible. There are a couple explanations that come to mind, but I'm going with "the average Farker is fiscally responsible". It's good to see you have ignored the lessons and examples your family, friends, and government have been providing all these years.

Yeah. Paid off my mortgage, paid off & canceled my credit cards, and my reward? A lowered credit score, because, hey, I clearly won't make a bank any money if they give me a line of credit. Never mind that I have an 80+ spread between credit scores depending on which agency I ask, or that one agency still thinks I work at CIGNA, a company at which I haven't worked in 18 goddamned years.

No, I'm supposed to curate my credit score because it's increasingly used to measure my value as a person, instead of merely indicate how much of a profit margin I'd give a creditor. Fark that.


If you don't have any debt and aren't planning on getting any, why would you know/care what your credit score was?
 
2016-07-14 1:15:50 AM  
Hey, aren't European banks now paying negative interest rates? Could I get a credit card from one of them and get paid to carry a big balance?
 
2016-07-14 1:18:04 AM  
I don't carry a balance, but I also don't live a lifestyle that is prone to huge surprise bills, i.e., no house, car, kids, etc. No medical issues. I'm also liquid AF because I keep way more money in my checking account than is necessary.
 
2016-07-14 1:20:50 AM  

jjorsett: Hey, aren't European banks now paying negative interest rates? Could I get a credit card from one of them and get paid to carry a big balance?


Sure. If you're a bank. Or a government.
 
2016-07-14 1:25:25 AM  

FDR Jones: I don't carry a balance, but I also don't live a lifestyle that is prone to huge surprise bills, i.e., no house, car, kids, etc. No medical issues. I'm also liquid AF because I keep way more money in my checking account than is necessary.


Liquidity is nice, but checking pays less interest than stuffing it under your mattress. Grab a few CDs (which don't pay much more) or bonds if you have a surplus.
 
2016-07-14 1:28:50 AM  

algrant33: FormlessOne: "What good is math to me?", they say...

TwowheelinTim: The comments in this thread make it look like the average Farker is fiscally responsible. There are a couple explanations that come to mind, but I'm going with "the average Farker is fiscally responsible". It's good to see you have ignored the lessons and examples your family, friends, and government have been providing all these years.

Yeah. Paid off my mortgage, paid off & canceled my credit cards, and my reward? A lowered credit score, because, hey, I clearly won't make a bank any money if they give me a line of credit. Never mind that I have an 80+ spread between credit scores depending on which agency I ask, or that one agency still thinks I work at CIGNA, a company at which I haven't worked in 18 goddamned years.

No, I'm supposed to curate my credit score because it's increasingly used to measure my value as a person, instead of merely indicate how much of a profit margin I'd give a creditor. Fark that.

welltheresyourproblem.jpg


That's exactly it, though. Keep in mind that I have a "good" score (between 700 and 750) - my credit's not terrible - but it's ridiculous that one of the things that's dragging it down is the fact that I only have 5 open & closed accounts, total. That's considered "very poor."

OK, fine, sure - I can see that they're not going to get a lot of money from me, so I'm not as desirable a customer. They want to see 21+ credit accounts for an "excellent" rating. Who in the hell is maintaining twenty or more credit lines? That's ludicrous.
 
2016-07-14 1:31:59 AM  

Demetrius: Go fark yourselves, Capital One.  Fark yourselves with a big stick of salt-encrusted razors.


Sam's not complaining.

Big Questions With Even Bigger Stars: Samuel L. Jackson
Youtube jMhZb-dbjsE
 
2016-07-14 1:33:40 AM  

JonZoidberg: I think the last time I carried a balance was when I was in college and I just HAD to have a Playstation 2, so I put it on the card and paid it off as I could.  With little exception, I think that's the last time, so no, I don't know my card's interest rates, nor do I really care.

My main card pays rewards right into my IRA's, and I have one of the Amazon cards because I spend a good deal there and 3% back is pretty nice.  If I got stuck into having to carry a balance I'd find a good one and roll it over to that.


Dude, get the prime store card (NOT the Amazon credit card), it's 5% back.
 
2016-07-14 1:34:21 AM  

gunsmack: FDR Jones: I don't carry a balance, but I also don't live a lifestyle that is prone to huge surprise bills, i.e., no house, car, kids, etc. No medical issues. I'm also liquid AF because I keep way more money in my checking account than is necessary.

Liquidity is nice, but checking pays less interest than stuffing it under your mattress. Grab a few CDs (which don't pay much more) or bonds if you have a surplus.


I used to do CD ladders: get a 3-month, a 6-month, a 9-month if you can get it, a 1-year, and so on. Every time one of them matures, buy the longest-term one you can get with the proceeds. You're never more than 3 months away from a maturity if you have an emergency (loss of job, hospital bills, that sort of thing), and you're generally getting more interest than with a savings account.

I quit doing that when CD rates dropped to "are you farking kidding me" levels. Bonds might be the way to go with that sort of thing now, but I don't know much about the bond market.

It's not easy to find safe places to stash bucks and still beat inflation, anymore. The powers that be are, intentionally or not, encouraging debt and spending rather than saving. And most of the people are more than happy to oblige.
 
2016-07-14 1:36:00 AM  
Wow, based on this thread, every Farker out there is a slice of the most responsible life.  (I sound like I have crippling debt... no, but I do have sharp knees).

/one 15 year old credit card
//balance is higher than I'd like but 8.9%, thanks USAA
///don't get engaged... but certainly don't get married (whew)
////slashies like slashing that debt... 7 months to go
 
2016-07-14 1:36:33 AM  

Wadded Beef: Online banking is the sh*t. I pay off my card pretty much every other day rather than a check to pay the bill at the end of the month like we all did prior to the internet age. It also means I can keep track of my balance at a moment's notice instead of suffering the occasional sticker shock of a snail-mailed monthly bill.

Not to mention, seeing my balance on demand keeps me honest about staying within my means and tempering any purchases so I don't accumulate a sizeable debt. The result is I haven't carried a monthly balance for years now.

/CSB


I used to have late fees almost every month back in the days of mailing it in, since I mailed out all bills on the same day. Autopay and being able to check your balance from your phone are awesome.
 
2016-07-14 1:41:10 AM  
How is any of this a surprise? Apparently most Americans signed into mortgages without having any idea of what the terms and payment schedules were. There is no limit to most people's fiscal stupidity.

That said, I'm no wizzard, but I manage the bills, mortgage, IRAs and minor investments just fine, so...
 
2016-07-14 1:44:09 AM  
Y'know, it's amazing how so many Farkers always pay off their credit cards in full every month, and none of us ever is foolish enough to carry a balance.

Seriously, though - in my case, my good financial situation is a combination of being educated by parents who understood about credit and debt and made sure I knew why not to incur any I couldn't handle, and the good fortune to be very good at something that pays very well and also not quite lazy enough to get fired from it. But I do wonder what's going on with the people who carry large credit card balances.

(Realistically, it's probably a spectrum, from entitled brats who buy the latest iPhone every six months even after being cut off by their parents to hard-working and frugal but not especially skilled folks who were barely making it paycheck-to-paycheck and then got hit by a huge bill and have had to juggle credit cards ever since. I guess I'm wondering what the proportions are on that spectrum. Or actually, I'm wondering how many people could actually climb out of the hole if given a chance, and how we as a society could make it possible.)
 
2016-07-14 1:54:23 AM  

mcmnky: FormlessOne: "What good is math to me?", they say...

TwowheelinTim: The comments in this thread make it look like the average Farker is fiscally responsible. There are a couple explanations that come to mind, but I'm going with "the average Farker is fiscally responsible". It's good to see you have ignored the lessons and examples your family, friends, and government have been providing all these years.

Yeah. Paid off my mortgage, paid off & canceled my credit cards, and my reward? A lowered credit score, because, hey, I clearly won't make a bank any money if they give me a line of credit. Never mind that I have an 80+ spread between credit scores depending on which agency I ask, or that one agency still thinks I work at CIGNA, a company at which I haven't worked in 18 goddamned years.

No, I'm supposed to curate my credit score because it's increasingly used to measure my value as a person, instead of merely indicate how much of a profit margin I'd give a creditor. Fark that.

If you don't have any debt and aren't planning on getting any, why would you know/care what your credit score was?


Car insurance to name one thing.
 
2016-07-14 1:54:57 AM  

Mithiwithi: Y'know, it's amazing how so many Farkers always pay off their credit cards in full every month, and none of us ever is foolish enough to carry a balance.


Pretty sure there are plenty of balance-carriers around, but most of them are shamed into not admitting it.

I didn't get to be good with finances overnight. I've been in debt to my ears. It was the work I did getting out of debt that made me good with finances.

It's like if you're a smoker, and you want to quit. Ask a lifelong non-smoker and they're like "Why don't you just quit?" Ask a former smoker and they'll go something like "Well, first, let's identify your triggers..."
 
2016-07-14 2:01:37 AM  

Madman drummers bummers: It's not easy to find safe places to stash bucks and still beat inflation, anymore. The powers that be are, intentionally or not, encouraging debt and spending rather than saving. And most of the people are more than happy to oblige.


If you have $10K disposable (and a little patience) Martin Guitars usually appreciate well. Look for the signature series.
 
2016-07-14 2:04:29 AM  
img.fark.netView Full Size
 
2016-07-14 2:16:20 AM  

gunsmack: FDR Jones: I don't carry a balance, but I also don't live a lifestyle that is prone to huge surprise bills, i.e., no house, car, kids, etc. No medical issues. I'm also liquid AF because I keep way more money in my checking account than is necessary.

Liquidity is nice, but checking pays less interest than stuffing it under your mattress. Grab a few CDs (which don't pay much more) or bonds if you have a surplus.


Meh, if I threw 15K in a CD for a year, it would get me about $37. I'd rather have the feeling of checking my balance every once in a while and feeling like a boss, even though it's really not that much money.
 
2016-07-14 2:20:13 AM  

FormlessOne: "What good is math to me?", they say...

TwowheelinTim: The comments in this thread make it look like the average Farker is fiscally responsible. There are a couple explanations that come to mind, but I'm going with "the average Farker is fiscally responsible". It's good to see you have ignored the lessons and examples your family, friends, and government have been providing all these years.

Yeah. Paid off my mortgage, paid off & canceled my credit cards, and my reward? A lowered credit score, because, hey, I clearly won't make a bank any money if they give me a line of credit. Never mind that I have an 80+ spread between credit scores depending on which agency I ask, or that one agency still thinks I work at CIGNA, a company at which I haven't worked in 18 goddamned years.

No, I'm supposed to curate my credit score because it's increasingly used to measure my value as a person, instead of merely indicate how much of a profit margin I'd give a creditor. Fark that.


I'm pretty sure they don't care about your value as a person one single bit.
 
2016-07-14 2:31:34 AM  
I dont have good credit, but i get a lot of credit cards in the mail offering me a low low rate of 20% APR taht goes up 30%

should be laws against high interest rates.. and force banks to actually GIVE credit beyond a "I love debt" credit score
 
2016-07-14 2:33:02 AM  
Moreover, most Americans don't know that TimeTM is the only corporate entity left that actually knows how to be a proper American. Once Trump is president we'll do away with all the whiners who think the police are abusive. We'll stop Mexicans and Mooslums from...umm...keeping this once great land from taking it back from someone. Yea that's it, TAKE BACK OUR COUNTRY dosh garnit.
 
2016-07-14 2:44:39 AM  

kkinnison: I dont have good credit, but i get a lot of credit cards in the mail offering me a low low rate of 20% APR taht goes up 30%

should be laws against high interest rates.. and force banks to actually GIVE credit beyond a "I love debt" credit score


Blame Joe Biden.
 
2016-07-14 2:47:32 AM  
13% and it goes up to 24% if I screw up. I usually don't carry a balance but I had a cash squeeze and some expenses at the same time so I've carried a balance for a few months. Paying it down by about 1/4 of the high balance each time but I was happy to have a bit of credit for a while even if I had to pay 40 or 50 bucks for it.
 
2016-07-14 2:58:12 AM  

wax_on: 13% and it goes up to 24% if I screw up. I usually don't carry a balance but I had a cash squeeze and some expenses at the same time so I've carried a balance for a few months. Paying it down by about 1/4 of the high balance each time but I was happy to have a bit of credit for a while even if I had to pay 40 or 50 bucks for it.


When I was young, I really had no conception how much living in debt cost me, and I had a ton of debt. Then, I got out of debt, and started to build wealth. You start to see what 7-10% year over year looks like, and you realize what that debt actually cost.
 
2016-07-14 3:00:07 AM  

chicken nugger: Sure I do, it's 7.50%, the lowest rate of any card around.


[snert]  5.65% here.

Which is actually a little annoying.  I checked to be sure before bragging and it changed on the first statement of the year.  It was 5.40% for a long time.  So I guess the headline was right.  I mean I knew it was a variable rate in the mid 5% range but I haven't bothered to check in ages because I haven't carried a balance in years.  So I guess the article was right.  I didn't know.
 
2016-07-14 3:00:19 AM  

chicken nugger: snowjack: 7.15% biatcheeees
https://www.becu.org/everyday-banking/credit-cards

:-)

Variable rate.....lol


Even if they say it's not variable rate, your contract may very well have some weasel words in the fine print of saying "we can still change the rate if we want under certain unspecified conditions ... because reasons." It is a credit card, after all. I hope you're not using yours to finance long term obligations. I am carrying a small balance right now, but if the rate goes up I'll pay it off.
 
2016-07-14 3:03:20 AM  

jtown: chicken nugger: Sure I do, it's 7.50%, the lowest rate of any card around.

[snert]  5.65% here.

Which is actually a little annoying.  I checked to be sure before bragging and it changed on the first statement of the year.  It was 5.40% for a long time.  So I guess the headline was right.  I mean I knew it was a variable rate in the mid 5% range but I haven't bothered to check in ages because I haven't carried a balance in years.  So I guess the article was right.  I didn't know.


That's amazing... hard to believe, even. It's tough to get even a secured vehicle loan much below 4.5% without a subsidy from the vehicle manufacturer.
 
2016-07-14 3:09:01 AM  

snowjack: jtown: chicken nugger: Sure I do, it's 7.50%, the lowest rate of any card around.

[snert]  5.65% here.

Which is actually a little annoying.  I checked to be sure before bragging and it changed on the first statement of the year.  It was 5.40% for a long time.  So I guess the headline was right.  I mean I knew it was a variable rate in the mid 5% range but I haven't bothered to check in ages because I haven't carried a balance in years.  So I guess the article was right.  I didn't know.

That's amazing... hard to believe, even. It's tough to get even a secured vehicle loan much below 4.5% without a subsidy from the vehicle manufacturer.


Yep, I am paying 4.5% on a HELOC, but that is variable, and tied to prime.
 
2016-07-14 3:11:10 AM  
Whe the fark don't americans just use debit cards?!

You only spend what you have.
What's not to get?
 
2016-07-14 3:13:13 AM  

snowjack: jtown: chicken nugger: Sure I do, it's 7.50%, the lowest rate of any card around.

[snert]  5.65% here.

Which is actually a little annoying.  I checked to be sure before bragging and it changed on the first statement of the year.  It was 5.40% for a long time.  So I guess the headline was right.  I mean I knew it was a variable rate in the mid 5% range but I haven't bothered to check in ages because I haven't carried a balance in years.  So I guess the article was right.  I didn't know.

That's amazing... hard to believe, even. It's tough to get even a secured vehicle loan much below 4.5% without a subsidy from the vehicle manufacturer.


Sure, I could fake it but I didn't.  Started out as 9.90 fixed back in the late 90s then they changed it to a variable rate tied to some complicated formula which caused it to plummet.  This is cropped from a recent statement.

img.fark.netView Full Size
 
2016-07-14 3:22:16 AM  
So the article says only 37% of Americans can pass a basic financial literacy test.

At least that's still more than half.
 
2016-07-14 3:24:27 AM  
TFA: Just 28% knew what happens to bond prices when interest rates fall. (They rise.)

Ok, sorry.  I consider myself an intelligent person, and I could handle some of those crazy EVE Online spreadsheets if I wanted, but what do bond prices have to do with "Financial Literacy"?  I might have gotten that question wrong if I'd be asked cold-turkey.

Bond prices are a vagary of the stock market responding to less profitable lending.  It has no relevancy to most people except that they're considered to be "safer" ways of storing money.  You can't fail 75% of people on "Financial Knowledge" for not consciously knowing that fact.
 
2016-07-14 3:33:42 AM  

FormlessOne: "What good is math to me?", they say...

TwowheelinTim: The comments in this thread make it look like the average Farker is fiscally responsible. There are a couple explanations that come to mind, but I'm going with "the average Farker is fiscally responsible". It's good to see you have ignored the lessons and examples your family, friends, and government have been providing all these years.

Yeah. Paid off my mortgage, paid off & canceled my credit cards, and my reward? A lowered credit score, because, hey, I clearly won't make a bank any money if they give me a line of credit. Never mind that I have an 80+ spread between credit scores depending on which agency I ask, or that one agency still thinks I work at CIGNA, a company at which I haven't worked in 18 goddamned years.

No, I'm supposed to curate my credit score because it's increasingly used to measure my value as a person, instead of merely indicate how much of a profit margin I'd give a creditor. Fark that.


How do you make plane/hotel/rental car reservations without a credit card? And shopping online can be a really good way to save money (and time, and gas), unless you're a doofus about shipping. But you need a CC, unless you can do everything through Paypal.

Also, I don't live in the US. Will credit card companies over there negotiate rates?
 
2016-07-14 3:38:25 AM  

Madman drummers bummers: gunsmack: FDR Jones: I don't carry a balance, but I also don't live a lifestyle that is prone to huge surprise bills, i.e., no house, car, kids, etc. No medical issues. I'm also liquid AF because I keep way more money in my checking account than is necessary.

Liquidity is nice, but checking pays less interest than stuffing it under your mattress. Grab a few CDs (which don't pay much more) or bonds if you have a surplus.

I used to do CD ladders: get a 3-month, a 6-month, a 9-month if you can get it, a 1-year, and so on. Every time one of them matures, buy the longest-term one you can get with the proceeds. You're never more than 3 months away from a maturity if you have an emergency (loss of job, hospital bills, that sort of thing), and you're generally getting more interest than with a savings account.

I quit doing that when CD rates dropped to "are you farking kidding me" levels. Bonds might be the way to go with that sort of thing now, but I don't know much about the bond market.

It's not easy to find safe places to stash bucks and still beat inflation, anymore. The powers that be are, intentionally or not, encouraging debt and spending rather than saving. And most of the people are more than happy to oblige.


Oh, isn't that the truth... it's a global problem. I just changed banks after 19 years because a smaller bank here is offering terms for new customers that include 3% interest on what you have in your current account up to the amount of your monthly salary. It's about the best deal going right now, a hell of a lot better deal than accruing pennies in a CD.
 
2016-07-14 3:42:23 AM  
I don't know or care either, because I pay off the balance every month.
 
2016-07-14 3:44:20 AM  

Public Savant: Whe the fark don't americans just use debit cards?!

You only spend what you have.
What's not to get?


Some do, but debit cards in the US aren't always chipped. Credit cards usually offer better protection. My parents have been the victims of identity theft a few times and the CC company was right on top of things.

Since I use their address for US recordkeeping purposes, even though I've been a dual citizen living abroad since 1994, CC offers continue to come to me at their house. 30% interest or more. I'm always tempted to fill out an application using the dog's information and her paw print signature and see if they'll send her a card. She's not a minor in dog years. Would that be fraud?
 
2016-07-14 3:54:53 AM  
I cut all mine up and paid them off. Never again.
 
2016-07-14 3:57:04 AM  

mcmnky: FormlessOne: "What good is math to me?", they say...

TwowheelinTim: The comments in this thread make it look like the average Farker is fiscally responsible. There are a couple explanations that come to mind, but I'm going with "the average Farker is fiscally responsible". It's good to see you have ignored the lessons and examples your family, friends, and government have been providing all these years.

Yeah. Paid off my mortgage, paid off & canceled my credit cards, and my reward? A lowered credit score, because, hey, I clearly won't make a bank any money if they give me a line of credit. Never mind that I have an 80+ spread between credit scores depending on which agency I ask, or that one agency still thinks I work at CIGNA, a company at which I haven't worked in 18 goddamned years.

No, I'm supposed to curate my credit score because it's increasingly used to measure my value as a person, instead of merely indicate how much of a profit margin I'd give a creditor. Fark that.

If you don't have any debt and aren't planning on getting any, why would you know/care what your credit score was?


This.

Debt is stupid.  Debt creates slaves. Nobody needs a new Mustang bad enough to go into debt.
 
2016-07-14 3:57:19 AM  

Nogale: I'm always tempted to fill out an application using the dog's information and her paw print signature and see if they'll send her a card. She's not a minor in dog years. Would that be fraud?


Is your dog capable of making informed consent?
 
2016-07-14 3:58:15 AM  

FormlessOne: "What good is math to me?", they say...

TwowheelinTim: The comments in this thread make it look like the average Farker is fiscally responsible. There are a couple explanations that come to mind, but I'm going with "the average Farker is fiscally responsible". It's good to see you have ignored the lessons and examples your family, friends, and government have been providing all these years.

Yeah. Paid off my mortgage, paid off & canceled my credit cards, and my reward? A lowered credit score, because, hey, I clearly won't make a bank any money if they give me a line of credit. Never mind that I have an 80+ spread between credit scores depending on which agency I ask, or that one agency still thinks I work at CIGNA, a company at which I haven't worked in 18 goddamned years.

No, I'm supposed to curate my credit score because it's increasingly used to measure my value as a person, instead of merely indicate how much of a profit margin I'd give a creditor. Fark that.


So, you are smart! Good for you!

Credit is for slaves.
 
2016-07-14 3:58:39 AM  

jtown: snert]  5.65% here.


Proof bro or I'm calling bullshiat.
 
2016-07-14 4:00:58 AM  

Harry_Seldon: I lived an extravagant lifestyle funded by credit cards for years. Then I lucked into buying house t just the right time. House prices skyrocketted in SoCal, so I started to use the equity as a piggy bank. Then, my income tripled over the next few years, so I was able to spend more money on credit cards. At one point, I bought a $10k motorcycle on a credit card. I saw the house bubble burst coming, so I sold my house in 2006 for a $250k profit, and paid off my student loans and credit cards, and still walked away with over $100k, so I moved to Portland. I decided to not work for a couple of years, and blew the $100k and ran up another $20k in credit card debt., so I had to get a job.


And what did we learn?
 
2016-07-14 4:05:57 AM  

chicken nugger: jtown: snert]  5.65% here.

Proof bro or I'm calling bullshiat.


Maybe read the rest of the new posts before calling bullshiat, bro.  I have a feeling you wouldn't believe me no matter what I post.  Because, for some reason, I'm compelled to lie about something so meaningless on an anonymous message board.  :rolleyes:
 
2016-07-14 4:07:15 AM  

Harry_Seldon: Nogale: I'm always tempted to fill out an application using the dog's information and her paw print signature and see if they'll send her a card. She's not a minor in dog years. Would that be fraud?

Is your dog capable of making informed consent?


That's what he claimed in court.
 
2016-07-14 4:28:25 AM  

jtown: Maybe read the rest of the new posts before calling bullshiat, bro.


Link to the card, bro
 
2016-07-14 4:29:36 AM  

TwowheelinTim: The comments in this thread make it look like the average Farker is fiscally responsible. There are a couple explanations that come to mind, but I'm going with "the average Farker is fiscally responsible". It's good to see you have ignored the lessons and examples your family, friends, and government have been providing all these years.


Who asked you?
 
2016-07-14 4:35:01 AM  

Harry_Seldon: Nogale: I'm always tempted to fill out an application using the dog's information and her paw print signature and see if they'll send her a card. She's not a minor in dog years. Would that be fraud?

Is your dog capable of making informed consent?


She's certainly capable of deciding what she does and does not want to do. Admittedly not great with finances, but probably not very much worse than most two-legged Americans.
 
2016-07-14 4:36:02 AM  

chicken nugger: jtown: Maybe read the rest of the new posts before calling bullshiat, bro.

Link to the card, bro


You'll need a time machine, bro.  As I said in my second post (which I don't think you've read), it's an account I opened in the late 90s.  The fact that you can't get it now doesn't mean I don't have it.  You're being foolish, bro.  I've got a lower rate than you.  Accept it and move on.  Maybe when you've had the same account for a decade, you'll get a better rate.  Hang in there!
 
2016-07-14 4:43:39 AM  

jtown: The fact that you can't get it now doesn't mean I don't have it.


So, no proof then?  Got it!  Cards don't just up and stop offering a certain rate, please go somewhere else with that BS.
 
2016-07-14 4:46:16 AM  
Has anyone pointed out that they have zero interest because they pay off their balance every month?  Because that's what happens.
/the more you know
 
2016-07-14 4:46:18 AM  

Nogale: Harry_Seldon: Nogale: I'm always tempted to fill out an application using the dog's information and her paw print signature and see if they'll send her a card. She's not a minor in dog years. Would that be fraud?

Is your dog capable of making informed consent?

She's certainly capable of deciding what she does and does not want to do. Admittedly not great with finances, but probably not very much worse than most two-legged Americans.


That's just because there hasn't yet been made an ad targeting her demographic:

"Who wants to be a good girl?! Who wants to be a good girl!? YOU can be a good girl if you shop at K-mart! You're a good girl and you are always welcome!"
 
2016-07-14 4:49:22 AM  

paulleah: Yeah. Paid off my mortgage, paid off & canceled my credit cards, and my reward? A lowered credit score, because, hey, I clearly won't make a bank any money if they give me a line of credit.


It's a pretty well-known assumed fact that canceling credit cards lowers your scores (because the major criteria is precent of available credit used).

Also the credit bureaus and the banks are different companies, at least in theory.
 
2016-07-14 4:51:07 AM  
In the last 30 years
I've fluctuated between borrowing money and lending money.
In the last year I am finally figuring out that there's a happy medium between.
/ something similar to being 2 inches under water vs snorkelin and actually swimming
//The more known..et
///Just drained and refilled the pool water
 
2016-07-14 4:55:48 AM  
Really would like to find a way to raise my credit score quickly so I could borrow at a lower rate so I can live at currently.
 
2016-07-14 5:05:58 AM  

chicken nugger: jtown: The fact that you can't get it now doesn't mean I don't have it.

So, no proof then?  Got it!  Cards don't just up and stop offering a certain rate, please go somewhere else with that BS.


Christ, you're a farking idiot.  I posted a picture of my APR from a recent statement.  WTF do you mean "cards don't just up and stop offering a certain rate"?  Offers come and go all the time on cards.  You're an idiot.
 
2016-07-14 5:08:43 AM  
According to the article it's not that they don't know what their card's interest rate is, it's that they don't know how to calculate how much money it costs them.  So basically, they suck at math.
 
2016-07-14 5:11:17 AM  

jtown: Christ, you're a farking idiot.  I posted a picture of my APR from a recent statement.  WTF do you mean "cards don't just up and stop offering a certain rate"?  Offers come and go all the time on cards.  You're an idiot.


Yeah, offers such as a certain APR for a certain period and such.  No card gives a certain rate for those people who signed up in a certain year and another for those that didn't.  You're claiming to be grandfathered into a lower rate and that's flat out bullshiat.  You posted something from a new card, that's what you did.

Also, keep name calling, bro.  It's how we know who the cool kids are.
 
2016-07-14 5:17:16 AM  

chicken nugger: jtown: The fact that you can't get it now doesn't mean I don't have it.

So, no proof then?  Got it!  Cards don't just up and stop offering a certain rate, please go somewhere else with that BS.


Ooooooooh. You nailed him, brah!  Fist bump!

*eyeroll*
 
2016-07-14 5:28:40 AM  

chicken nugger: jtown: Christ, you're a farking idiot.  I posted a picture of my APR from a recent statement.  WTF do you mean "cards don't just up and stop offering a certain rate"?  Offers come and go all the time on cards.  You're an idiot.

Yeah, offers such as a certain APR for a certain period and such.  No card gives a certain rate for those people who signed up in a certain year and another for those that didn't.  You're claiming to be grandfathered into a lower rate and that's flat out bullshiat.  You posted something from a new card, that's what you did.

Also, keep name calling, bro.  It's how we know who the cool kids are.


He never claimed to be grandfathered in. He just said his variable rate had been 5.4% for a long time before going up to 5.65%.
 
2016-07-14 5:28:58 AM  

chicken nugger: jtown: Christ, you're a farking idiot.  I posted a picture of my APR from a recent statement.  WTF do you mean "cards don't just up and stop offering a certain rate"?  Offers come and go all the time on cards.  You're an idiot.

Yeah, offers such as a certain APR for a certain period and such.  No card gives a certain rate for those people who signed up in a certain year and another for those that didn't.  You're claiming to be grandfathered into a lower rate and that's flat out bullshiat.  You posted something from a new card, that's what you did.

Also, keep name calling, bro.  It's how we know who the cool kids are.


Do you have a diagnosis for the type of retarded you are?

Welcome to the "ignore" list.  You're number 1 on my list.  As in the only person on it.  It's an exclusive club.  And, no, I'm not going to show you proof.
 
2016-07-14 5:31:23 AM  
I careied a balance that was rather large for awhile...while I was married. Now I'm not and now it's not.  What a weird coincidence.

/I'll get it paid off at some point. Very rarely do new charges go on it.  My other CC carries no balance. I should probably look to xfer balance.  Use my debit card for 75% of purchases.
 
2016-07-14 5:33:00 AM  

jaylectricity: He just said his variable rate had been 5.4% for a long time before going up to 5.65%.


No variable rate card is that low right now  Prove me wrong and I'll admit it.
 
2016-07-14 5:36:33 AM  

paulleah: Harry_Seldon: I lived an extravagant lifestyle funded by credit cards for years. Then I lucked into buying house t just the right time. House prices skyrocketted in SoCal, so I started to use the equity as a piggy bank. Then, my income tripled over the next few years, so I was able to spend more money on credit cards. At one point, I bought a $10k motorcycle on a credit card. I saw the house bubble burst coming, so I sold my house in 2006 for a $250k profit, and paid off my student loans and credit cards, and still walked away with over $100k, so I moved to Portland. I decided to not work for a couple of years, and blew the $100k and ran up another $20k in credit card debt., so I had to get a job.

And what did we learn?


I kind of screwed myself, and would have been retired early. Now, I am white knuckling to retirement, but I knocked my net worth from -$70k to +$425k in the last six years thanks to a god send of a job, and living in a less expensive boring city...maybe a little more maturity. I got really lucky. The Ph.d. in a science didn't hurt either.
 
2016-07-14 5:40:26 AM  
I should also say:

Most Americans can't read or write in their native language

Most Americans can't find Iraq on a map

Most Americans believe in creation myths

Most Americans can't name 10 elements on the periodic table

Most Americans have never travelled outside of the United States

That they can't or won't read a CC statement shocks me!
 
2016-07-14 5:45:37 AM  

jtown: chicken nugger: jtown: The fact that you can't get it now doesn't mean I don't have it.

So, no proof then?  Got it!  Cards don't just up and stop offering a certain rate, please go somewhere else with that BS.

Christ, you're a farking idiot.  I posted a picture of my APR from a recent statement.  WTF do you mean "cards don't just up and stop offering a certain rate"?  Offers come and go all the time on cards.  You're an idiot.


chicken nugger: jtown: Christ, you're a farking idiot.  I posted a picture of my APR from a recent statement.  WTF do you mean "cards don't just up and stop offering a certain rate"?  Offers come and go all the time on cards.  You're an idiot.

Yeah, offers such as a certain APR for a certain period and such.  No card gives a certain rate for those people who signed up in a certain year and another for those that didn't.  You're claiming to be grandfathered into a lower rate and that's flat out bullshiat.  You posted something from a new card, that's what you did.

Also, keep name calling, bro.  It's how we know who the cool kids are.


Now kiss.
 
2016-07-14 5:51:01 AM  

Harry_Seldon: paulleah: Harry_Seldon: I lived an extravagant lifestyle funded by credit cards for years. Then I lucked into buying house t just the right time. House prices skyrocketted in SoCal, so I started to use the equity as a piggy bank. Then, my income tripled over the next few years, so I was able to spend more money on credit cards. At one point, I bought a $10k motorcycle on a credit card. I saw the house bubble burst coming, so I sold my house in 2006 for a $250k profit, and paid off my student loans and credit cards, and still walked away with over $100k, so I moved to Portland. I decided to not work for a couple of years, and blew the $100k and ran up another $20k in credit card debt., so I had to get a job.

And what did we learn?

I kind of screwed myself, and would have been retired early. Now, I am white knuckling to retirement, but I knocked my net worth from -$70k to +$425k in the last six years thanks to a god send of a job, and living in a less expensive boring city...maybe a little more maturity. I got really lucky. The Ph.d. in a science didn't hurt either.


OK. I read your post as facetious.
 
2016-07-14 5:53:42 AM  

cygnusx13: I should also say:

Most Americans can't read or write in their native language

Most Americans can't find Iraq on a map

Most Americans believe in creation myths

Most Americans can't name 10 elements on the periodic table

Most Americans have never travelled outside of the United States

That they can't or won't read a CC statement shocks me!


??? I don't think most Americans are functionally illiterate. Metaphorically illiterate, maybe.
 
2016-07-14 6:13:14 AM  
It doesn't matter, because I fully pay off my bill every month.
 
2016-07-14 6:19:09 AM  
I'd have to look it up.

/Never paid CC interest.
 
2016-07-14 6:25:40 AM  

MetalMen: bdub77: RexTalionis: And I like to keep it that way -  by never getting to the point where they charge me interest.

I have no idea either for that exact reason. I pay off my credit card every month on the due date.

This confuses me. Doesn't everyone do this?


People who have the means to do so generally do. Given the rampant poverty (and the potentially enormous expense for emergency medical care and inherently unpredictable nature of most medical emergencies) in the US, that's not an option for everyone. And other people are just stupid middle-class twats who are unwilling to act like adults and not borrow money they can't pay back.
 
2016-07-14 7:14:03 AM  

bdub77: RexTalionis: And I like to keep it that way -  by never getting to the point where they charge me interest.

I have no idea either for that exact reason. I pay off my credit card every month on the due date.


I have one card that has a rewards program that I pay off every month. No clue what the rate is other than 'High'.

I also have one that is around 6.25% that I have as an emergency card in the event of a sudden, expensive cost. I've used it for car repairs, oral surgery, etc. Also one vacation. That one I'm ok with having some carry over and thus interest for a few months to avoid dipping into savings and ensuring I have enough cash in checking to cover all my monthly costs.
 
2016-07-14 7:48:22 AM  

cygnusx13: I should also say:

Most Americans can't read or write in their native language

Most Americans can't find Iraq on a map

Most Americans believe in creation myths

Most Americans can't name 10 elements on the periodic table

Most Americans have never travelled outside of the United States

That they can't or won't read a CC statement shocks me!


Most Americans can, however, name off things that most Americans can't do.
 
2016-07-14 7:54:49 AM  

Demetrius: Go fark yourselves, Capital One. Fark yourselves with a big stick of salt-encrusted razors.


Capital one was my first CC.

$300 limit.

I would mail my check to them the DAY I got the bill, but they wouldn't apply payment until due day. Sometimes that meant they listed my payment as late, and applied a $25 late fee. That $25 would sometimes put me over my limit, so they'd charge me a $25 over-the-limit fee.

I had to start paying for Return Receipt (I think? The green slips...) to prove they were the ones messing up, but they wanted me to send them my original receipt, not a copy. So I did, with a return receipt. They "lost" it.

I asked them to raise my limit, but they refused.

Eventually I got a new card from MBNA (at a Trek convention, of all places) for 5 times the limit and cancelled them, never to look back.

/they were all to happy to try to raise my limit when I called to cancel
//couldn't match MBNA
///Cancelled that card when Bank of America bought them out
 
2016-07-14 7:58:42 AM  

chicken nugger: jaylectricity: He just said his variable rate had been 5.4% for a long time before going up to 5.65%.

No variable rate card is that low right now  Prove me wrong and I'll admit it.


Pretty safe place you like to argue from.
Spout off and be obnoxious.  Call out those BS'ers but offer to admit you were wrong IF someone can prove you wrong.  But I'm betting it's ONLY if they prove you wrong in a way that you can't find a way to justify as BS.

Ego, brah, ego.
 
2016-07-14 7:58:57 AM  
And people say Trump can't get elected.  Look who's voting.
 
2016-07-14 8:00:20 AM  
pay my card every month and had one late payment when my check was lost or stolen. had the same card for about 10 years and when i asked to have the late fee waved they said haha. i told them i'm thinking about cancelling the card and got a yawn reaction from them. i put about $500 a month on the card but i guess i'm more of a liability to them not a asset.
 
2016-07-14 8:01:17 AM  

bdub77: RexTalionis: And I like to keep it that way -  by never getting to the point where they charge me interest.

I have no idea either for that exact reason. I pay off my credit card every month on the due date.


I'm with the others on here, never give them the opportunity to even take interest. If you are, you're doing it wrong..
 
2016-07-14 8:08:10 AM  
I do, 0% because I have no credit cards, and plan on keeping it that way.  I recall a Farker saying he never seen a credit cardless person with a score above 700.  Um, my score is in the high 600s right now, and even if I don't cross over the 700 line, it's still the highest my score has ever been, even back when I had cards.
 
2016-07-14 8:14:33 AM  

Public Savant: Whe the fark don't americans just use debit cards?!

You only spend what you have.
What's not to get?


Credit cards have rewards, and also give you a month to review and dispute charges before paying. With debit card fraud, the money is gone right away and you have to fight to get it back.

Again, all of that is still within usage where you pay it off on time and don't pay any interest. So debit has no advantage whatsoever, unless your self-control is so nonexistent that you need to bump against an overdrawn warning to know when you're past your means.
 
2016-07-14 8:23:34 AM  

lack of warmth: I do, 0% because I have no credit cards, and plan on keeping it that way.  I recall a Farker saying he never seen a credit cardless person with a score above 700.  Um, my score is in the high 600s right now, and even if I don't cross over the 700 line, it's still the highest my score has ever been, even back when I had cards.


High 600s is a B which is good, I don't think the banks are ready to drop on their knees until you are above 830.  But credit rating is all about getting loans and being able to owe them interest for money you will have to pay on.  
"OOOooooOOOOH...  But what if you NEED to take out a loan????"

High 600s will still get you a good interest rate.  So you are sitting in a really good spot.
 
2016-07-14 8:26:02 AM  

Public Savant: Whe the fark don't americans just use debit cards?!

You only spend what you have.
What's not to get?


1. As someone else pointed out, debit cards lack the fraud and purchase protection of credit cards. You get bad charges on a debit card, you're screwed. You get bad charges on a credit card, you're out maybe $50. Maybe nothing.

2. Every time I use my credit card, I get 1.5% of the amount back in cash. Since I pay the balance in full, and there's no annual fee, they're paying me to use the credit card. Actual free (to me) money, no strings attached.

3. Last I heard, it costs merchants more to run a debit card than a credit card, so it sucks for merchants, and for everyone else when they have to raise prices to compensate.

4. It sucks, but emergencies do happen. And of course, being fiscally responsible, you have three months' worth of expenses socked away in an interest-bearing account to cover them, right? Great. But this emergency will cost you six months' worth of expenses. Now what do you do? Yeah, sometimes it's nice to be able to carry a balance if circumstances warrant.

5. It's dead easy to keep track of your spending, what with being able to download statement and recent activity into an xls or quicken file. You also need to track your expenses if you only want to "spend what you have" using a debit card. With the same amount of effort, and less self-control than it takes to drag your ass into work each day, you still only spend what you have.

So that's why this American doesn't use a debit card. Unless something changes several of the above points, I would never use a debit card.
 
2016-07-14 8:29:35 AM  
Zero. The answer is zero. Because I pay the bill every month.
 
2016-07-14 8:30:14 AM  

The Beatings Will Continue Until Morale Improves: zero interest - I pay off the balance every month


Zero interest because I don't have a credit card, don't want one, and don't need one.

/Not poor
//Not financially ignorant
///Smug slashies
 
2016-07-14 8:35:00 AM  
It's not too important to know the interest rate when you pay off the entire balance every month.
 
2016-07-14 8:37:39 AM  
Quick: If you take out a $1000 loan that has a 20% rate, how much will you owe a year in interest?
Answer: $200. But if you got that wrong, you're not alone.


Apparently not alone, as TFA got it wrong too.

The answer to the question is that there is not enough information to provide an answer. We are not given the amortization schedule for the loan, and it even goes as far to say "rate" instead of "APR".

Since the subject is credit cards, we assume compounding occurs monthly. This means at the end of one year, if we make no payments until then, we would owe $1,219.39.

If we make monthly payments of equal value that will lead to the loan being paid off in one year, we'd pay $92.63 per month, leading to a total interest payment of $111.61 on the $1,000 loan.
 
2016-07-14 8:39:50 AM  

usafdave: Wow, based on this thread, every Farker out there is a slice of the most responsible life.  (I sound like I have crippling debt... no, but I do have sharp knees).

/one 15 year old credit card
//balance is higher than I'd like but 8.9%, thanks USAA
///don't get engaged... but certainly don't get married (whew)
////slashies like slashing that debt... 7 months to go


People who have a job where they can spend all day on Fark probably meet certain demographic criteria.
 
2016-07-14 8:41:50 AM  
Hmmm... 14.9 percent of nothing is, let me do the math here, nothing into nothing, carry the nothin'...

Newsflash: Carrying a balance on credit cards if you don't have to is a bad idea. Easier said than done for a lot of people, obviously (whether due to circumstances, such as medical bills or a broken-down car when you need to get to work, or due to stupidity, such as a college student saying "Hey, free money!").
 
2016-07-14 8:41:51 AM  
I pay mine off every month, so they could charge me 100% interest and I still wouldn't care.
 
2016-07-14 9:00:20 AM  

Madman drummers bummers: Public Savant: Whe the fark don't americans just use debit cards?!

You only spend what you have.
What's not to get?

1. As someone else pointed out, debit cards lack the fraud and purchase protection of credit cards. You get bad charges on a debit card, you're screwed. You get bad charges on a credit card, you're out maybe $50. Maybe nothing.

2. Every time I use my credit card, I get 1.5% of the amount back in cash. Since I pay the balance in full, and there's no annual fee, they're paying me to use the credit card. Actual free (to me) money, no strings attached.

3. Last I heard, it costs merchants more to run a debit card than a credit card, so it sucks for merchants, and for everyone else when they have to raise prices to compensate.

4. It sucks, but emergencies do happen. And of course, being fiscally responsible, you have three months' worth of expenses socked away in an interest-bearing account to cover them, right? Great. But this emergency will cost you six months' worth of expenses. Now what do you do? Yeah, sometimes it's nice to be able to carry a balance if circumstances warrant.

5. It's dead easy to keep track of your spending, what with being able to download statement and recent activity into an xls or quicken file. You also need to track your expenses if you only want to "spend what you have" using a debit card. With the same amount of effort, and less self-control than it takes to drag your ass into work each day, you still only spend what you have.

So that's why this American doesn't use a debit card. Unless something changes several of the above points, I would never use a debit card.


That's the bit that bothers me, actually. It's really not actually free, as the money comes from somewhere - cash back from the credit card comes from the vendors that allow you to use the credit card, and those vendors have to build the fees into their prices.  In effect, you have to pay more, and a portion of that purchase price comes back to you.

Of course, I can see why you call it free - it's not like you get a discount in most places for using cash, so it is money that you wouldn't get back otherwise. But as I said, it bothers me - the credit cards have successfully inserted themselves as integral middle men, where it makes more sense to use them on an individual level, but less sense for the collective of consumers.  We might be better off if everyone stopped using credit cards, but unless everyone else does it would be dumb for me to quit.
 
2016-07-14 9:12:04 AM  

eKonk: It's really not actually free, as the money comes from somewhere - cash back from the credit card comes from the vendors that allow you to use the credit card, and those vendors have to build the fees into their prices. In effect, you have to pay more, and a portion of that purchase price comes back to you.


Or maybe they take it from the extra fees charged to the merchants for using debit cards.

Yes, I know there's no such thing as a free lunch, but I used shorthand for "I would have paid the same amount with cash or a debit card or a check (whatever that is), and this way I get cash back." It's still better for me than giving the banks "free" money in the form of fees or interest rates that work out to prime +20%.

eKonk: We might be better off if everyone stopped using credit cards, but unless everyone else does it would be dumb for me to quit.


Exactly. As long as the system exists, I'll take advantage of it. Switch to a different system, and I'll take advantage of that, too. I wouldn't *not* take advantage of it any more than I'd fail to itemize my deductions on the principle that "the US needs the extra tax revenue."
 
2016-07-14 9:17:25 AM  

Harry_Seldon: chicken nugger: Sure I do, it's 7.50%, the lowest rate of any card around.

Mine is 7.49%...you're such an interest loser. Big L.


Daily, weekly, monthly or yearly?
 
2016-07-14 9:23:00 AM  

Bullseyed: Quick: If you take out a $1000 loan that has a 20% rate, how much will you owe a year in interest? Answer: $200. But if you got that wrong, you're not alone.

Apparently not alone, as TFA got it wrong too.


I thought that was funny too. In general I love the idea of writing "quick!" in front of a question like that. What is this, a child's frisbee that just flew out in front of your car? No, it's a farking loan. Calm the fark down and open a spreadsheet.
 
2016-07-14 9:25:02 AM  
FTA:
"If you take out a $1000 loan that has a 20% rate, how much will you owe a year in interest?"

This is a stupid question with no one correct answer.
 
2016-07-14 9:26:05 AM  
The balance on my card is $2200, only reason it is even there is because of some emergency plumbing work I had to have done. If it all goes to plan (knock on wood) I should be done paying it by next Julyish. I have always been good about paying stuff off but I have gotten a few nut kicks the last few years so its not like weekends in wine country or lobster but just mundane life crap.
 
2016-07-14 9:31:14 AM  

bdub77: RexTalionis: And I like to keep it that way -  by never getting to the point where they charge me interest.

I have no idea either for that exact reason. I pay off my credit card every month on the due date.


I used to float a balance for one billing period, once in a while, then pay it off in full. That actually helps your credit rating.

My CR is pretty much the max now, so no need anymore.
 
2016-07-14 9:34:04 AM  

Madman drummers bummers: Public Savant: Whe the fark don't americans just use debit cards?!

You only spend what you have.
What's not to get?

1. As someone else pointed out, debit cards lack the fraud and purchase protection of credit cards. You get bad charges on a debit card, you're screwed. You get bad charges on a credit card, you're out maybe $50. Maybe nothing.

2. Every time I use my credit card, I get 1.5% of the amount back in cash. Since I pay the balance in full, and there's no annual fee, they're paying me to use the credit card. Actual free (to me) money, no strings attached.

3. Last I heard, it costs merchants more to run a debit card than a credit card, so it sucks for merchants, and for everyone else when they have to raise prices to compensate.

4. It sucks, but emergencies do happen. And of course, being fiscally responsible, you have three months' worth of expenses socked away in an interest-bearing account to cover them, right? Great. But this emergency will cost you six months' worth of expenses. Now what do you do? Yeah, sometimes it's nice to be able to carry a balance if circumstances warrant.

5. It's dead easy to keep track of your spending, what with being able to download statement and recent activity into an xls or quicken file. You also need to track your expenses if you only want to "spend what you have" using a debit card. With the same amount of effort, and less self-control than it takes to drag your ass into work each day, you still only spend what you have.

So that's why this American doesn't use a debit card. Unless something changes several of the above points, I would never use a debit card.


I recently switched banks to one (Nicolet Bank - based in northeast WI) that will pay 3.00% interest on balances up to $15000 if you use your debit card at least 10 times a month. And the grocery store I frequent (Woodman's) doesn't take credit cards, so it works out beautifully.
 
2016-07-14 9:44:55 AM  

eKonk: We might be better off if everyone stopped using credit cards, but unless everyone else does it would be dumb for me to quit.


Or if there were discounts for cash (or debit cards.)
 
2016-07-14 9:47:23 AM  

Mr_Fabulous: I used to float a balance for one billing period, once in a while, then pay it off in full. That actually helps your credit rating.


No it doesn't, and even if it did, there is almost no circumstance where the help would be worth paying interest for.
 
2016-07-14 9:49:15 AM  
I got fired, got upside down on credit cards, my life was a country song for about two years.  Paid all that off.

It wasn't just interest on the cards that kills you, certain cards (Discover) charge fees for holding a balance on top of interest.  So my minimum payment of $200, got eaten up by $160 in interest and fees.  It's total usury.

Glad to out from under that yoke.
 
2016-07-14 9:53:43 AM  
Yes my wife and I pay off our balances every month.

The occasional exception is the Kohls store card, where you can carry a balance, but there is zero interest if you pay it off within 3 months, and each payment has to be at least a third of the balance. Guess where a large, interest free amount of our Christmas shopping is done?

We also have a fair number of other store cards. Usually we had opened the account to get a discount on a large purchase, but we never carry a balance on these ever (27% interest? Go piss up a rope). Target and Lowe's cards get used at those stores because of the 5% discount, but again we never carry a balance.

I know it is just anecdotes, but I've seen two groups of people that carry balances from month to month. The first are people working jobs that pay shiatty, and while they live fairly modestly, they had to run up a credit card for car repairs/new water heater/dental work/more care repairs/medical bills. Because of the high interest rates, they're on a treadmill they can never get off, and can never get ahead.

The second group are people that use cards to live far beyond their means. Cruises, new furniture every few years, weekly visits to the spa/nail salon, eating out for most every meal, frequent hotels, etc...

I have friends and relatives in both groups. Of the "grinding away" group, the biggest portion of the balances carried are from dental and medical expenses. They have better insurance now, but the bills that piled up are from before that.

People I know that live far beyond their means refuse to see anything wrong with the debt they are racking up. Even when they are so jammed up they asked me for help making their car payment. Really? After you just got off the plane from another trip, and a cruise before that, and were out for dinner and drinks last night? Fark no.

\"you've always been my worst critic" - sister in law to my wife, after she and I refused to loan any money
\\again
 
2016-07-14 9:54:04 AM  

Madman drummers bummers: 3. Last I heard, it costs merchants more to run a debit card than a credit card, so it sucks for merchants, and for everyone else when they have to raise prices to compensate.


Pretty sure that one's backwards. I remember when gas stations (which are extremely low-margin on the actual gasoline) used to charge extra for credit cards over debit until they were barred from doing so by law - and as soon as the law was changed to let them do it again, they did.

Rest is pretty much spot-on though.
 
2016-07-14 9:54:39 AM  

FormlessOne: algrant33: FormlessOne: "What good is math to me?", they say...

TwowheelinTim: The comments in this thread make it look like the average Farker is fiscally responsible. There are a couple explanations that come to mind, but I'm going with "the average Farker is fiscally responsible". It's good to see you have ignored the lessons and examples your family, friends, and government have been providing all these years.

Yeah. Paid off my mortgage, paid off & canceled my credit cards, and my reward? A lowered credit score, because, hey, I clearly won't make a bank any money if they give me a line of credit. Never mind that I have an 80+ spread between credit scores depending on which agency I ask, or that one agency still thinks I work at CIGNA, a company at which I haven't worked in 18 goddamned years.

No, I'm supposed to curate my credit score because it's increasingly used to measure my value as a person, instead of merely indicate how much of a profit margin I'd give a creditor. Fark that.

welltheresyourproblem.jpg

That's exactly it, though. Keep in mind that I have a "good" score (between 700 and 750) - my credit's not terrible - but it's ridiculous that one of the things that's dragging it down is the fact that I only have 5 open & closed accounts, total. That's considered "very poor."

OK, fine, sure - I can see that they're not going to get a lot of money from me, so I'm not as desirable a customer. They want to see 21+ credit accounts for an "excellent" rating. Who in the hell is maintaining twenty or more credit lines? That's ludicrous.


Yes, that would be ludicrous. Which is why it isn't true. I have an 800+ credit score with, like, 2 credit cards, a mortgage and a home equity line of credit.

The important bit is how much credit you have available compared to how much you actually use. Keep a credit card or two open and don't use it, or pay off the balance every month, and your score will go up.
 
2016-07-14 10:03:44 AM  
I pay mine off each month, too.

img.fark.netView Full Size
 
2016-07-14 10:05:08 AM  
Ok how long before the IRS starts wanting us to report as income all the sweet 2% cash back?
 
2016-07-14 10:16:19 AM  
img.fark.netView Full Size
 
2016-07-14 10:22:30 AM  

Malacon: Demetrius: Go fark yourselves, Capital One. Fark yourselves with a big stick of salt-encrusted razors.

Capital one was my first CC.

$300 limit.

I would mail my check to them the DAY I got the bill, but they wouldn't apply payment until due day. Sometimes that meant they listed my payment as late, and applied a $25 late fee. That $25 would sometimes put me over my limit, so they'd charge me a $25 over-the-limit fee.

I had to start paying for Return Receipt (I think? The green slips...) to prove they were the ones messing up, but they wanted me to send them my original receipt, not a copy. So I did, with a return receipt. They "lost" it.

I asked them to raise my limit, but they refused.

Eventually I got a new card from MBNA (at a Trek convention, of all places) for 5 times the limit and cancelled them, never to look back.

/they were all to happy to try to raise my limit when I called to cancel
//couldn't match MBNA
///Cancelled that card when Bank of America bought them out


I have a capital one card and I noticed that it was auto-filling in the payment date for the credit card due date instead of the current date.

Online payments had a 3 day processing time...
 
2016-07-14 10:25:41 AM  
I have no idea, but that's because i pay them off in full every month and have never paid a dime in credit card interest.
 
2016-07-14 10:27:30 AM  

Moopy Mac: FTA:
"If you take out a $1000 loan that has a 20% rate, how much will you owe a year in interest?"

This is a stupid question with no one correct answer.


Janet Yellen?  That you?
 
2016-07-14 10:31:02 AM  

prickly pete v2: I recently switched banks to one (Nicolet Bank - based in northeast WI) that will pay 3.00% interest on balances up to $15000 if you use your debit card at least 10 times a month. And the grocery store I frequent (Woodman's) doesn't take credit cards, so it works out beautifully.


Good deal! I hadn't heard of anyone doing that.
 
2016-07-14 10:32:12 AM  

prickly pete v2: Madman drummers bummers: Public Savant: Whe the fark don't americans just use debit cards?!

You only spend what you have.
What's not to get?

1. As someone else pointed out, debit cards lack the fraud and purchase protection of credit cards. You get bad charges on a debit card, you're screwed. You get bad charges on a credit card, you're out maybe $50. Maybe nothing.

2. Every time I use my credit card, I get 1.5% of the amount back in cash. Since I pay the balance in full, and there's no annual fee, they're paying me to use the credit card. Actual free (to me) money, no strings attached.

3. Last I heard, it costs merchants more to run a debit card than a credit card, so it sucks for merchants, and for everyone else when they have to raise prices to compensate.

4. It sucks, but emergencies do happen. And of course, being fiscally responsible, you have three months' worth of expenses socked away in an interest-bearing account to cover them, right? Great. But this emergency will cost you six months' worth of expenses. Now what do you do? Yeah, sometimes it's nice to be able to carry a balance if circumstances warrant.

5. It's dead easy to keep track of your spending, what with being able to download statement and recent activity into an xls or quicken file. You also need to track your expenses if you only want to "spend what you have" using a debit card. With the same amount of effort, and less self-control than it takes to drag your ass into work each day, you still only spend what you have.

So that's why this American doesn't use a debit card. Unless something changes several of the above points, I would never use a debit card.

I recently switched banks to one (Nicolet Bank - based in northeast WI) that will pay 3.00% interest on balances up to $15000 if you use your debit card at least 10 times a month. And the grocery store I frequent (Woodman's) doesn't take credit cards, so it works out beautifully.


That sounds good, but does it pay? 3% interest on $10,000 is $300, which over a year is $3600 - fantastic. But to enjoy that benefit, you have to make 10 transactions a month using the debit card. Does it have a transaction minimum? I guess you could pay for 10 packs of gum/ bottles of water a month and come out ahead, but I could see most people spending more than the total amount of interest earned.
 
2016-07-14 10:33:04 AM  

Telos: OK, fine, sure - I can see that they're not going to get a lot of money from me, so I'm not as desirable a customer. They want to see 21+ credit accounts for an "excellent" rating. Who in the hell is maintaining twenty or more credit lines? That's ludicrous.

Yes, that would be ludicrous. Which is why it isn't true. I have an 800+ credit score with, like, 2 credit cards, a mortgage and a home equity line of credit.


It's not like I'm making it up... the fact that other factors come into play doesn't make what I said somehow incorrect.

i64.tinypic.comView Full Size
 
2016-07-14 10:35:41 AM  

FormlessOne: Telos: OK, fine, sure - I can see that they're not going to get a lot of money from me, so I'm not as desirable a customer. They want to see 21+ credit accounts for an "excellent" rating. Who in the hell is maintaining twenty or more credit lines? That's ludicrous.

Yes, that would be ludicrous. Which is why it isn't true. I have an 800+ credit score with, like, 2 credit cards, a mortgage and a home equity line of credit.

It's not like I'm making it up... the fact that other factors come into play doesn't make what I said somehow incorrect.

[i64.tinypic.com image 590x463]


Like I said, I get it - because I won't keep open accounts, I'm less desirable when it comes to credit lines. But, my credit score's getting used for more than just "will he generate money if I give him a line of credit." That's my gripe - and it's mildly irritating.
 
2016-07-14 10:45:24 AM  
I asked this question upthread - seriously, those of you who don't make any purchases with plastic, aren't you kind of shooting yourselves in the foot? There are serious bargains to be had online, and I'm not talking about drunk one-click ordering from Amazon. For example, I buy running shoes on a regular basis. At MSRP, most models are now over $100. But there are sites that offer deep discounts, meaning that I can score stuff I would have to buy anyway for 40, 50, or 60% off.

Also, how the heck are you making travel reservations?
 
2016-07-14 10:46:25 AM  
Farkers are all in their forties and live in households with six-figure incomes, so the interest rate is moot to us.  We choose cards that have good fringe benefits like cash back or frequent flyer miles, and pay in full every month.
 
2016-07-14 10:54:00 AM  

RexTalionis: And I like to keep it that way -  by never getting to the point where they charge me interest.


+1
 
2016-07-14 11:00:53 AM  
Not only do I not own a TV, I drive an environmentally sound vehicle, and I pay my balance in full (if I have one) every month.  *shrug*

/I'm just better than you.
/Sorry.  Don't hate the player, hate the game.
 
2016-07-14 11:02:19 AM  

Nogale: prickly pete v2: Madman drummers bummers: Public Savant: Whe the fark don't americans just use debit cards?!

You only spend what you have.
What's not to get?


...

I recently switched banks to one (Nicolet Bank - based in northeast WI) that will pay 3.00% interest on balances up to $15000 if you use your debit card at least 10 times a month. And the grocery store I frequent (Woodman's) doesn't take credit cards, so it works out beautifully.

That sounds good, but does it pay? 3% interest on $10,000 is $300, which over a year is $3600 - fantastic. But to enjoy that benefit, you have to make 10 transactions a month using the debit card. Does it have a transaction minimum? I guess you could pay for 10 packs of gum/ bottles of water a month and come out ahead, but I could see most people spending more than the total amount of interest earned


Well, it is 3% annual, not monthly, so your example would be $300 per year. But that is better than the $1.13 we made all of last year on checking account interest. There is no minimum purchase amount and I have to use debit cards for groceries anyway, so I just need to make sure it is 10 times per month. I'll continue to use the rewards CC (paid off monthly, of course) I have for other purchases.
 
2016-07-14 11:04:58 AM  

poot_rootbeer: Farkers are all in their forties and live in households with six-figure incomes, so the interest rate is moot to us.  We choose cards that have good fringe benefits like cash back or frequent flyer miles, and pay in full every month.


Hey, that's simply untrue! I'm only 39...
 
2016-07-14 11:06:26 AM  

Nogale: I asked this question upthread - seriously, those of you who don't make any purchases with plastic, aren't you kind of shooting yourselves in the foot? There are serious bargains to be had online, and I'm not talking about drunk one-click ordering from Amazon. For example, I buy running shoes on a regular basis. At MSRP, most models are now over $100. But there are sites that offer deep discounts, meaning that I can score stuff I would have to buy anyway for 40, 50, or 60% off.

Also, how the heck are you making travel reservations?


...you do realize that most debit cards work online, right?

I use a debit card, for an account specifically meant for online purchases. (I practically live online these days - agoraphobia will do that to you.) I used to keep a PayPal account, but it got hit by someone who thought that four thousand dollars in fraudulent purchases on my dime was a good idea, and I spent weeks dealing with it because PayPal customer service sucks.

So, I work with a bank that's happy to provide fraud protection on my account, and my debit card works just fine for reservations, online purchases, and so on. Works like a credit card, without all that pesky usury.
 
2016-07-14 11:11:57 AM  

FormlessOne: Telos: OK, fine, sure - I can see that they're not going to get a lot of money from me, so I'm not as desirable a customer. They want to see 21+ credit accounts for an "excellent" rating. Who in the hell is maintaining twenty or more credit lines? That's ludicrous.

Yes, that would be ludicrous. Which is why it isn't true. I have an 800+ credit score with, like, 2 credit cards, a mortgage and a home equity line of credit.

It's not like I'm making it up... the fact that other factors come into play doesn't make what I said somehow incorrect.

[i64.tinypic.com image 590x463]


Yes and no. If you were to go open 20 more accounts, it would lower your average account age, which would also impact your score. This impact would be worse than the impact of having few accounts.
 
2016-07-14 11:27:17 AM  

Nogale: I asked this question upthread - seriously, those of you who don't make any purchases with plastic, aren't you kind of shooting yourselves in the foot? There are serious bargains to be had online, and I'm not talking about drunk one-click ordering from Amazon. For example, I buy running shoes on a regular basis. At MSRP, most models are now over $100. But there are sites that offer deep discounts, meaning that I can score stuff I would have to buy anyway for 40, 50, or 60% off.

Also, how the heck are you making travel reservations?


Based on the math ability you have demonstrated thus far I am having a tough time believing you are saving anything on any purchase and must instead be wearing out what are clearly Chinese knockoff running shoes running away from developing any further proficiency in basic math.
 
2016-07-14 11:48:33 AM  

RexTalionis: And I like to keep it that way -  by never getting to the point where they charge me interest.


Subbie got it wrong.  The article is actually saying people don't know how to calculate the interest, not that they don't know the interest rate.

MBZ321: Another comment here from someone who has never paid a dime in interest on a credit card. Although I recently opened a new Costco credit card and I think I saw it's around 15% after the promo period, so I'll just assume most cards are the same, if not higher.


Yeah.  I don't pay attention to the interest rate because I'm not going to pay interest in the first place but that's my impression of CC rates.  Many are even higher.

Harry_Seldon: I saw the house bubble burst coming, so I sold my house in 2006 for a $250k profit,


I'm still kicking myself over not selling.  I saw the crash coming, I just didn't see the size of it.  Had we sold when I was thinking about it we would have netted around $200k after figuring living in a rental while the sky fell in.

Madman drummers bummers: Mithiwithi: Y'know, it's amazing how so many Farkers always pay off their credit cards in full every month, and none of us ever is foolish enough to carry a balance.

Pretty sure there are plenty of balance-carriers around, but most of them are shamed into not admitting it.


And they probably don't stick their noses into financial threads in the first place.

cygnusx13: I should also say:

Most Americans can't read or write in their native language

Most Americans can't find Iraq on a map

Most Americans believe in creation myths

Most Americans can't name 10 elements on the periodic table

Most Americans have never travelled outside of the United States

That they can't or won't read a CC statement shocks me!


Are you saying I'm not an American?

English--obviously I can.  Iraq--I've flown over it even.  I can name far over 10 elements.  I'm on my 5th passport, the previous four were pretty much filled--two of them extra page versions, two with pages added.  The world is changing, the ratio of trips to pages used is going up considerably so we might not need the extra pages this time around but better safe than sorry.  (Especially as you can't add pages anymore.  Fill your passport and it's another $110 for a new one.)
 
2016-07-14 12:05:10 PM  

Vaginosilicosis: Credit is a tool, nothing more or less.   If you are too stupid to use a particular tool then don't use it, pretty simple.   Acting like being free of credit cards is some sort of moral superiority is no different than a cult that lives in cold and dark because "fire bad" and feels righteous about it.

There is a level beyond using cards, paying off every month and not incurring interest.   There is a system to be followed that reaps rewards if you use it properly.

We have an AMEX that is 6% cash back on our first $6k of groceries every year so its the grocery card until that amount is reached, they are farkers and charge a fee that equates to 1.25% of that $6k but its still a $285 net win every year.

In just the last year we have taken offers to open new cards of the "spend xxx in the first 3 months and get an xxx statement credit" type and just use it in place of our normal spending until its fullfilled and the credit received.   On 5 cards between my wife and I this has brought in $1250 in free money for nothing more than a little few minutes on the phone or computer and a minor temporary ding on our credit.   No interest, no fees, just a little bit of paying attention and free money.

Last month one of my existing cards that is gathering dust sent me the balance transfer checks with the offer of 18 months of zero percent and a 2% transfer fee instead of 3%.     So I took $24k, leaving enough margin for the $480 fee to be charged and I put their $24k in a municipal bond fund that is dull as dishwater and was yielding 4.5% at the time I parked it.    Over 18 months it will return ~ $1600, over an $1100 profit, federal tax free.

Just these 3 things are going to be a $3000 bump to our bottom line over 2 years and were about as complicated as playing a few hours of Pokemon Go to set up.    We do a few more things like this, nothing we buy doesn't come with some sort of kickback, it would be foolish to ever pay cash for anything that isn't a parking meter.    Most years we get about $1200 in various kickbacks, its not hookers and blow money but it doesn't suck, its amounts to essentially a sales tax refund on everything we buy.

So continue bragging about not using credit all you want, I'm sure its satisfying in its own way...pity you can't spend smug though..


Speaking of tools, look in the mirror.

Credit cards are a stupid game keep on keeping on without worrying. game. Your post is a great example of people who play this stupid game of chasing points and freebies all in the name of the almighty FICO score. you borrow money to raise your score so you can borrow more money. Then, when the economy takes a hit, and you lose your job, the whining starts about how unfair it is bills and obligations can't be met. Meanwhile, those of us who don't play the game live in smug comfort.
 
2016-07-14 12:09:46 PM  

Gary-L: Meanwhile, those of us who don't play the game live in smug comfort.


Well, comfort, anyway. It's hard to be smug when you realize that, although the game's rigged, he's still benefitting because he's playing it.
 
2016-07-14 12:15:54 PM  

Gary-L: Speaking of tools, look in the mirror.

Credit cards are a stupid game keep on keeping on without worrying. game. Your post is a great example of people who play this stupid game of chasing points and freebies all in the name of the almighty FICO score. you borrow money to raise your score so you can borrow more money. Then, when the economy takes a hit, and you lose your job, the whining starts about how unfair it is bills and obligations can't be met. Meanwhile, those of us who don't play the game live in smug comfort.


LOL. I'm  guessing the "smug comfort" of not having a home? I'll take my debt, which amounts to a mortgage on a two-family house I rent out to (more than) cover said mortgage.

Actual comfort + profit > smug comfort
 
2016-07-14 12:17:11 PM  
spend a lot on my card but use AMEX only so have to suck it up and pay each month.
 
2016-07-14 12:24:15 PM  
 I just paid $100 towards one of my cards, so after it clears tomorrow, I will have $78, to go buy the weeks groceries with.

/not really, but there was a time ....
// self employment can be a biatch sometimes.
 
2016-07-14 12:35:26 PM  

Bullseyed: Quick: If you take out a $1000 loan that has a 20% rate, how much will you owe a year in interest?
Answer: $200. But if you got that wrong, you're not alone.

Apparently not alone, as TFA got it wrong too.

The answer to the question is that there is not enough information to provide an answer. We are not given the amortization schedule for the loan, and it even goes as far to say "rate" instead of "APR".

Since the subject is credit cards, we assume compounding occurs monthly. This means at the end of one year, if we make no payments until then, we would owe $1,219.39.

If we make monthly payments of equal value that will lead to the loan being paid off in one year, we'd pay $92.63 per month, leading to a total interest payment of $111.61 on the $1,000 loan.


So glad I'm not the only one getting an eye twitch over that. Rate per what?
 
2016-07-14 12:43:40 PM  

Gary-L: Speaking of tools, look in the mirror.

Credit cards are a stupid game keep on keeping on without worrying. game. Your post is a great example of people who play this stupid game of chasing points and freebies all in the name of the almighty FICO score. you borrow money to raise your score so you can borrow more money. Then, when the economy takes a hit, and you lose your job, the whining starts about how unfair it is bills and obligations can't be met. Meanwhile, those of us who don't play the game live in smug comfort.


I fly to Europe once a year on CC points, I never pay a red dime in interest.

How does that happen? Well, for one thing, vendors increased their prices to cover CC fees. Funny bit is, you pay those prices as well. In effect, part of that plane ticket is generously sponsored by those who live in "smug comfort". So - thanks.
 
2016-07-14 12:46:43 PM  
0% APR

My cards keep offering me 0% APR promotional periods every time I pay one off, so I keep my balance on whichever one is doing that. (only fee I end up paying is a 3% balance transfer every other year).
 
2016-07-14 12:58:12 PM  

snowjack: That's amazing... hard to believe, even. It's tough to get even a secured vehicle loan much below 4.5% without a subsidy from the vehicle manufacturer.


Shop around near the end of the fiscal quarter. Lots of short term financing coming up from local credit unions and the midsize players in auto loans get brought out because the lending agencies need to hit some expansion goal. As long as the dealer is doing soft inquiries in a short period of time, most banks will look at it like one giant inquiry and not hurt your score.

I financed my 2013 Dodge Dart at 3.05% for 72 months and I'm under 30 with around a 710 score. I pay enough every month to have it paid off in 60, but it's nice having the option to cut back and make the minimum if I need to.

/Works at a car dealership
 
2016-07-14 1:24:32 PM  

Erik_Emune: How does that happen? Well, for one thing, vendors increased their prices to cover CC fees. Funny bit is, you pay those prices as well. In effect, part of that plane ticket is generously sponsored by those who live in "smug comfort". So - thanks.


I really can't wait until Walmart etc. manage to get the federal government to allow them to surcharge whatever they want for credit card purchases. You know it's coming.

/right now they can, but only up to however much it costs them to run your card.
//and only in some states.
 
hej
2016-07-14 1:35:33 PM  
Zero.
 
2016-07-14 1:43:08 PM  

FormlessOne: It's not like I'm making it up... the fact that other factors come into play doesn't make what I said somehow incorrect.

[i64.tinypic.com image 590x463]


The difference between 5 accounts and 21 is probably like 3 points.
 
2016-07-14 1:47:05 PM  

MetalMen: bdub77: RexTalionis: And I like to keep it that way -  by never getting to the point where they charge me interest.

I have no idea either for that exact reason. I pay off my credit card every month on the due date.

This confuses me. Doesn't everyone do this?


Aside from the people who try to live beyond their means, there are people who somehow go the idea that carrying a balance builds your credit faster. Unsurprisingly, these people have very low credit scores.
 
2016-07-14 1:50:23 PM  

Demetrius: I used to have Capital One. They had a pretty low rate, then for no reason they jacked up my rate ridiculously high to somewhere around 17-18%.  I have fantastic credit and never did I miss a payment.  I don't carry much of a balance at all which I'd like to imagine is part of the problem, but in reality it's not. They're just farking greedy.  So instead of making the 3% interest on all my charges and a nominal monthly amount, now they get zero.  Fark them.  I moved my credit cards and now I'm paying down around 8% on the times when I do carry a balance.

Go fark yourselves, Capital One.  Fark yourselves with a big stick of salt-encrusted razors.


Actually, that's precisely why they raised your rate, because you were not carrying enough debt for them to make a profit off you.

Just like my personal favorite situation where I went to my bank to get a loan for a used car. They would not approve a loan for the $5k I need, yet they were willing to offer me a $25k loan....
 
2016-07-14 1:51:21 PM  

BMFPitt: FormlessOne: It's not like I'm making it up... the fact that other factors come into play doesn't make what I said somehow incorrect.

[i64.tinypic.com image 590x463]

The difference between 5 accounts and 21 is probably like 3 points.


The real irony is that they want you to have multiple accounts but only have 25% or less of your credit in use, otherwise another ding on your score (which is my personal cross to bear at the moment).
 
2016-07-14 1:58:53 PM  

Loreweaver: Demetrius: I used to have Capital One. They had a pretty low rate, then for no reason they jacked up my rate ridiculously high to somewhere around 17-18%.  I have fantastic credit and never did I miss a payment.  I don't carry much of a balance at all which I'd like to imagine is part of the problem, but in reality it's not. They're just farking greedy.  So instead of making the 3% interest on all my charges and a nominal monthly amount, now they get zero.  Fark them.  I moved my credit cards and now I'm paying down around 8% on the times when I do carry a balance.

Go fark yourselves, Capital One.  Fark yourselves with a big stick of salt-encrusted razors.

Actually, that's precisely why they raised your rate, because you were not carrying enough debt for them to make a profit off you.

Just like my personal favorite situation where I went to my bank to get a loan for a used car. They would not approve a loan for the $5k I need, yet they were willing to offer me a $25k loan....


So you take the loan and pay the balance you don't use, greatly reducing the interest.
 
2016-07-14 2:39:26 PM  

kevljo: The real irony is that they want you to have multiple accounts but only have 25% or less of your credit in use, otherwise another ding on your score (which is my personal cross to bear at the moment).


What part of that is ironic?
 
2016-07-14 2:45:17 PM  

Loreweaver: Demetrius: I used to have Capital One. They had a pretty low rate, then for no reason they jacked up my rate ridiculously high to somewhere around 17-18%.  I have fantastic credit and never did I miss a payment.  I don't carry much of a balance at all which I'd like to imagine is part of the problem, but in reality it's not. They're just farking greedy.  So instead of making the 3% interest on all my charges and a nominal monthly amount, now they get zero.  Fark them.  I moved my credit cards and now I'm paying down around 8% on the times when I do carry a balance.

Go fark yourselves, Capital One.  Fark yourselves with a big stick of salt-encrusted razors.

Actually, that's precisely why they raised your rate, because you were not carrying enough debt for them to make a profit off you.

Just like my personal favorite situation where I went to my bank to get a loan for a used car. They would not approve a loan for the $5k I need, yet they were willing to offer me a $25k loan....


Part of that is the vehicle itself. If you buy a brand new car and default on the loan sometime in the first few years they can repossess and sell the car much easier, so it's less risk. When you're buying a $5000 vehicle, there may be less risk in the dollar amount, but there's more risk that they'd be able to recover anything if you defaulted.
 
2016-07-14 2:52:55 PM  
Dear Time,

   About that "basic financial literacy"? Um, that interest on that credit is *compound* interest.

   And then there's the games they play, and some are *much* nastier than others. For example, there was a card I'd had for literally 30 years. The account had been sold 3? 4? times, and then DMC? something like that, *then* they sold the servicing of that account to HSBC (and how do they make money off that?). I'd been paying it off, on the occasions when I used it. First, HSBC raised my interest rate to "Mafia (tm)", 25%. (You don't like that? You can always close the account....) Then, when I didn't use it in the next nine months or so, they cancelled my card. I got a letter (snail-mail). It had *no* other contact info. When I sent them a letter to complain, the Post Office bounced my letter, "no such address/PO box". (Isn't that illegal?)

But then, I suppose HSBC was making so much more laundering money for crooks and unsavory nations (which the feds busted them for the next year).
 
2016-07-14 3:01:33 PM  

BMFPitt: kevljo: The real irony is that they want you to have multiple accounts but only have 25% or less of your credit in use, otherwise another ding on your score (which is my personal cross to bear at the moment).

What part of that is ironic?


The part where they want you to have multiple accounts coupled with the part that they don't want you to use them, I guess???
 
2016-07-14 3:09:06 PM  

RexTalionis: And I like to keep it that way -  by never getting to the point where they charge me interest.


Mine could be 436% and I wouldn't know. I just pay the balance every month and save up the points for free stuff.
 
2016-07-14 3:31:27 PM  
I just looked on Credit Karma and I'm at 2% utilization of my available credit.  The farked up thing is I bet it would actually raise my credit score if I raised that utilization.
 
2016-07-14 3:35:13 PM  

kevljo: The part where they want you to have multiple accounts coupled with the part that they don't want you to use them, I guess???


They want a large sample size of your payment history, and they don't want it to show that you max yourself out.

Seems rational.
 
2016-07-14 3:45:11 PM  

BMFPitt: kevljo: The part where they want you to have multiple accounts coupled with the part that they don't want you to use them, I guess???

They want a large sample size of your payment history, and they don't want it to show that you max yourself out.

Seems rational.


It would seem rational to me if they didn't define 25%+ utilization as "maxing yourself out".  My credit score takes a beating (to the tune of 40+ points) because I'm using the credit being extended to me (I'm slightly below 50%, btw)?  Seems contrarian to my feeble brain.

Probably explains why I'm not in banking.
 
2016-07-14 3:48:35 PM  

chicken nugger: I just looked on Credit Karma and I'm at 2% utilization of my available credit.  The farked up thing is I bet it would actually raise my credit score if I raised that utilization.


Don't feel bad credit karma says that I need to have more credit accounts to up my score. Thankfully I have an open line of credit with my bank that I can tap as needed that is at 3 month Libor +1.75% so I am getting a kick out of all this.
 
2016-07-14 4:33:18 PM  

sdd2000: Don't feel bad credit karma says that I need to have more credit accounts to up my score. Thankfully I have an open line of credit with my bank that I can tap as needed that is at 3 month Libor +1.75% so I am getting a kick out of all this.


Credit scores are so weird.  Mine has recently dropped 6 points to 807 when there has been absolutely no change to my situation other than making a payment or two.
 
2016-07-14 4:36:57 PM  

Harry_Seldon: Nogale: I'm always tempted to fill out an application using the dog's information and her paw print signature and see if they'll send her a card. She's not a minor in dog years. Would that be fraud?

Is your dog capable of making informed consent?


Depends if peanut butter is involved.
 
2016-07-14 4:43:36 PM  

Public Savant: Whe the fark don't americans just use debit cards?!

You only spend what you have.
What's not to get?


Thank you sage wiseperson.
 
2016-07-14 4:59:11 PM  

raerae1980: I dont know and no, i dont pay mine off every month.    *shrugs*


Stop that at once. You're letting a bunch of gawddam scum-sucking parasites bleed you forever, or at least until you file for bankruptcy. You don't know what the interest rate is, but I can pretty much guarantee that it makes student loan debt look cheap. If your husband is contributing to the problem, do whatever you need to do to get him to stop not helping, too. People almost always have way more stuff than they actually need. I know I do. Quit buying things. Eat Top Ramen if you have to. Pay off the farking cards and keep them that way. Don't give the already too big and too powerful financial industry in this country any more of your disposable income than you absolutely have to.
 
2016-07-14 5:04:58 PM  

Loren: cygnusx13: I should also say:

Most Americans can't read or write in their native language

Most Americans can't find Iraq on a map

Most Americans believe in creation myths

Most Americans can't name 10 elements on the periodic table

Most Americans have never travelled outside of the United States

That they can't or won't read a CC statement shocks me!

Are you saying I'm not an American?

English--obviously I can.  Iraq--I've flown over it even.  I can name far over 10 elements.  I'm on my 5th passport, the previous four were pretty much filled--two of them extra page versi ...


Well, you have on part down pat...
 
2016-07-14 6:06:28 PM  

RexTalionis: And I like to keep it that way -  by never getting to the point where they charge me interest.


Thread over in one.
 
2016-07-14 6:20:17 PM  

The hopeless imp: Loreweaver: Demetrius: I used to have Capital One. They had a pretty low rate, then for no reason they jacked up my rate ridiculously high to somewhere around 17-18%.  I have fantastic credit and never did I miss a payment.  I don't carry much of a balance at all which I'd like to imagine is part of the problem, but in reality it's not. They're just farking greedy.  So instead of making the 3% interest on all my charges and a nominal monthly amount, now they get zero.  Fark them.  I moved my credit cards and now I'm paying down around 8% on the times when I do carry a balance.

Go fark yourselves, Capital One.  Fark yourselves with a big stick of salt-encrusted razors.

Actually, that's precisely why they raised your rate, because you were not carrying enough debt for them to make a profit off you.

Just like my personal favorite situation where I went to my bank to get a loan for a used car. They would not approve a loan for the $5k I need, yet they were willing to offer me a $25k loan....

So you take the loan and pay the balance you don't use, greatly reducing the interest.


Car loans don't work that way. The car becomes the collateral for the loan, so you can't borrow more than a small percentage over the value of the car you are getting the loan for.
 
2016-07-14 6:31:33 PM  

jaylectricity: Loreweaver: Demetrius: I used to have Capital One. They had a pretty low rate, then for no reason they jacked up my rate ridiculously high to somewhere around 17-18%.  I have fantastic credit and never did I miss a payment.  I don't carry much of a balance at all which I'd like to imagine is part of the problem, but in reality it's not. They're just farking greedy.  So instead of making the 3% interest on all my charges and a nominal monthly amount, now they get zero.  Fark them.  I moved my credit cards and now I'm paying down around 8% on the times when I do carry a balance.

Go fark yourselves, Capital One.  Fark yourselves with a big stick of salt-encrusted razors.

Actually, that's precisely why they raised your rate, because you were not carrying enough debt for them to make a profit off you.

Just like my personal favorite situation where I went to my bank to get a loan for a used car. They would not approve a loan for the $5k I need, yet they were willing to offer me a $25k loan....

Part of that is the vehicle itself. If you buy a brand new car and default on the loan sometime in the first few years they can repossess and sell the car much easier, so it's less risk. When you're buying a $5000 vehicle, there may be less risk in the dollar amount, but there's more risk that they'd be able to recover anything if you defaulted.


Value point, though in this case:
- I had been with that bank for 15 years.
- They had a complete history of my income, expenses, account balances, and credit history.
- The $5k I was asking for was only half the cost of the vehicle (I had the other $5k in my savings). So they refused a $5k loan on a $10k vehicle...

It was enough for me to never do business with them again. They weren't going to issue a loan that only made them $250 in profit...
 
2016-07-14 6:35:42 PM  

chicken nugger: sdd2000: Don't feel bad credit karma says that I need to have more credit accounts to up my score. Thankfully I have an open line of credit with my bank that I can tap as needed that is at 3 month Libor +1.75% so I am getting a kick out of all this.

Credit scores are so weird.  Mine has recently dropped 6 points to 807 when there has been absolutely no change to my situation other than making a payment or two.


Your credit score is based on who calculates it. Credit Karma gives you a credit score based on THEIR calculations. A mortgage company would give you a completely different credit score because their formula is different reflective of what they value in a debtor.
 
2016-07-14 6:37:57 PM  

Geotpf: RexTalionis: And I like to keep it that way -  by never getting to the point where they charge me interest.

Thread over in one.


Technically he does know.
 
2016-07-14 6:38:50 PM  

Madman drummers bummers: 1. As someone else pointed out, debit cards lack the fraud and purchase protection of credit cards. You get bad charges on a debit card, you're screwed. You get bad charges on a credit card, you're out maybe $50. Maybe nothing.


Visa and Mastercard debit cards have the exact same fraud protections as Visa and Mastercard credit cards. If your account is hit by fraud, you have zero liability.

3. Last I heard, it costs merchants more to run a debit card than a credit card, so it sucks for merchants, and for everyone else when they have to raise prices to compensate.

Wrong. Debit cards are cheaper for merchants than credit cards. Federal law caps debit card swipe fees at $.21 per transaction. Credit cards have no cap and usually charge 2% - 3% of the amount. Merchants have to raise prices to compensate for you using your credit card.

http://www.creditcards.com/credit-card-news/debit_card-versus-credit_​c​ard-retailers-bankers-payment-choices-1271.php
 
2016-07-14 6:41:29 PM  

jaylectricity: Your credit score is based on who calculates it. Credit Karma gives you a credit score based on THEIR calculations.


Credit Karma gives you your scored from Equifax and Transunion.  They are the very same scores a lender would receive when requesting a report.
 
2016-07-14 8:56:58 PM  

chicken nugger: jaylectricity: Your credit score is based on who calculates it. Credit Karma gives you a credit score based on THEIR calculations.

Credit Karma gives you your scored from Equifax and Transunion.  They are the very same scores a lender would receive when requesting a report.


No, they don't. Equifax and Transunion don't give scores. They give information. Who you get the score from determines what the score will actually be. The lender pulls your credit and gives you a score. They may have a third-party do it, but it's not the credit agency. It's somebody who has been given a specific criteria in which to calculate the score.
 
2016-07-14 10:07:05 PM  
Made $1100 off of Citi 2% cash back card last year.  Paid $0 in interest.
 
2016-07-14 11:06:11 PM  

FormlessOne: algrant33: FormlessOne: "What good is math to me?", they say...

TwowheelinTim: The comments in this thread make it look like the average Farker is fiscally responsible. There are a couple explanations that come to mind, but I'm going with "the average Farker is fiscally responsible". It's good to see you have ignored the lessons and examples your family, friends, and government have been providing all these years.

Yeah. Paid off my mortgage, paid off & canceled my credit cards, and my reward? A lowered credit score, because, hey, I clearly won't make a bank any money if they give me a line of credit. Never mind that I have an 80+ spread between credit scores depending on which agency I ask, or that one agency still thinks I work at CIGNA, a company at which I haven't worked in 18 goddamned years.

No, I'm supposed to curate my credit score because it's increasingly used to measure my value as a person, instead of merely indicate how much of a profit margin I'd give a creditor. Fark that.

welltheresyourproblem.jpg

That's exactly it, though. Keep in mind that I have a "good" score (between 700 and 750) - my credit's not terrible - but it's ridiculous that one of the things that's dragging it down is the fact that I only have 5 open & closed accounts, total. That's considered "very poor."

OK, fine, sure - I can see that they're not going to get a lot of money from me, so I'm not as desirable a customer. They want to see 21+ credit accounts for an "excellent" rating. Who in the hell is maintaining twenty or more credit lines? That's ludicrous.


I have one credit card and am over 800 in my scores.
 
2016-07-14 11:28:09 PM  

Mr_Fabulous: bdub77: RexTalionis: And I like to keep it that way -  by never getting to the point where they charge me interest.

I have no idea either for that exact reason. I pay off my credit card every month on the due date.

I used to float a balance for one billing period, once in a while, then pay it off in full. That actually helps your credit rating.

My CR is pretty much the max now, so no need anymore.


Same here. Still do it once in a while. Small amounts so the interest doesn't hurt or is even noticed.

/800s
//not sure I can push it much higher
///still trying
 
2016-07-14 11:33:26 PM  

BMFPitt: Mr_Fabulous: I used to float a balance for one billing period, once in a while, then pay it off in full. That actually helps your credit rating.

No it doesn't, and even if it did, there is almost no circumstance where the help would be worth paying interest for.


It actually does. And the help is nice when you have a good CS and want to borrow money for something. Then you pay that loan on time and it helps even more.

The important part is to pay the reported debts on time. Cable bill late? Pfft! Garbage bill late? Pfft! Not reported so if you get into a pinch most others accept partial payments and you can pay them over a few months.

Have a link for your post statement?
 
2016-07-14 11:36:26 PM  

dustman81: Madman drummers bummers: 1. As someone else pointed out, debit cards lack the fraud and purchase protection of credit cards. You get bad charges on a debit card, you're screwed. You get bad charges on a credit card, you're out maybe $50. Maybe nothing.

Visa and Mastercard debit cards have the exact same fraud protections as Visa and Mastercard credit cards. If your account is hit by fraud, you have zero liability.


Yep.  You have fraud protection for them.  So you'll get your money back.. eventually.  In the meantime, you have $0 in your checking account.
 
2016-07-14 11:45:45 PM  

chicken nugger: Sure I do, it's 7.50%, the lowest rate of any card around.


Then I guess the 6.5% my card charges is what?   Balance is 0, so 6.5% of zero is?
 
2016-07-14 11:48:15 PM  

FormlessOne: Telos: OK, fine, sure - I can see that they're not going to get a lot of money from me, so I'm not as desirable a customer. They want to see 21+ credit accounts for an "excellent" rating. Who in the hell is maintaining twenty or more credit lines? That's ludicrous.

Yes, that would be ludicrous. Which is why it isn't true. I have an 800+ credit score with, like, 2 credit cards, a mortgage and a home equity line of credit.

It's not like I'm making it up... the fact that other factors come into play doesn't make what I said somehow incorrect.

[i64.tinypic.com image 590x463]


That doesn't make sense to me. I have two open accounts (mortgage and one CC). I pay them on time every month and have an 800+ score. I do have a lot of paid off loans from the past and a few cancelled cards. And one bankruptcy about 20 years ago. I do carry a bit every so often on the card just to give them something to play with. Never more than a few hundred.

When I got my CC it was for something like $2.5k or some such. After a while I requested $10k. Granted. I felt a $2.5k limit was too low for an emergency.  I may up it again. I like having the knowledge that I might need it someday but for now my savings can cover more than that anyway.
 
2016-07-14 11:56:55 PM  

saturn badger: It actually does.


You're still wrong.

And the help is nice when you have a good CS and want to borrow money for something.

If you don't have bad credit, you don't need "help." The only way that paying interest would be worth it for the hypothetical boost to your credit would be if you were just barely below the line and it pushed you over to having a better rate on a mortgage or something else significant.
 
2016-07-15 12:06:15 AM  

BMFPitt: saturn badger: It actually does.

You're still wrong.


So prove me wrong.

And the help is nice when you have a good CS and want to borrow money for something.

If you don't have bad credit, you don't need "help." The only way that paying interest would be worth it for the hypothetical boost to your credit would be if you were just barely below the line and it pushed you over to having a better rate on a mortgage or something else significant.


I had a pretty good rating when I applied for my mortgage. I think I got 4.5%. Pretty good in the day.

So what am I doing wrong if I am in the 800s?
 
2016-07-15 12:53:05 AM  

Vaginosilicosis: saturn badger: FormlessOne: Telos: OK, fine, sure - I can see that they're not going to get a lot of money from me, so I'm not as desirable a customer. They want to see 21+ credit accounts for an "excellent" rating. Who in the hell is maintaining twenty or more credit lines? That's ludicrous.

Yes, that would be ludicrous. Which is why it isn't true. I have an 800+ credit score with, like, 2 credit cards, a mortgage and a home equity line of credit.

It's not like I'm making it up... the fact that other factors come into play doesn't make what I said somehow incorrect.

[i64.tinypic.com image 590x463]

That doesn't make sense to me. I have two open accounts (mortgage and one CC). I pay them on time every month and have an 800+ score. I do have a lot of paid off loans from the past and a few cancelled cards. And one bankruptcy about 20 years ago. I do carry a bit every so often on the card just to give them something to play with. Never more than a few hundred.

When I got my CC it was for something like $2.5k or some such. After a while I requested $10k. Granted. I felt a $2.5k limit was too low for an emergency.  I may up it again. I like having the knowledge that I might need it someday but for now my savings can cover more than that anyway.

You have a lot more open accounts than that if you are living in this country.


I live in the US, as you do.

Phone/cell phone?    Have insurance on your car or house?    Electricity to your house, cable TV or internet?   Gas/propane/fuel oil?   Ever use a doctor?    Checking account?    They all report to credit agencies.

Not according to my credit report but I do mine online from my bank. Maybe they are incomplete but so far my lost bills for cable (cancelled once) and my late bills for AT&T have not hurt my scores. Maybe they have but I don't see it. They are still way up there.

Credit rating agencies weigh those things much more heavily than people realize as they are necessities.   If you are willing to let your electric and gas bills slide, ever, then what are the odds you will blow a payment or 10 on a toy like a motorcycle?


But, as stated, I have not seen them reported.

I don't think they do. They just cancel the service. See cable above. All I have ever seen on any of my reports (paper and online) are mortgages, cards, car loans and student loans. Oh, and the one my ex took out for a doctor in my name and didn't pay. It didn't take long for that one to be paid by her.

They like bill payers, on time, every time.   Its probably above all other considerations when it comes to your score, you can't even drop below a certain level unless you have missed ...

Yes, they do, but they don't all report.

Heck, sometimes I accidentally drop a bill from the city. I get the notice and pay it. The  same with AT&T. I just pay double the next month.
 
2016-07-15 1:05:23 AM  

jaylectricity: No, they don't. Equifax and Transunion don't give scores. They give information. Who you get the score from determines what the score will actually be.


That is not true at all.  On Credit Karma, you will have two scores listed, one from Equifax and one from Transunion.  In my case, one is 806 and the other 803.  If all Credit Karma was doing is looking at the info being reported, both scores would be the same since the information from each is identical.  The reason for the two different scores is because the two agencies have slightly different formulas they use.
 
2016-07-15 8:06:22 AM  

saturn badger: So what am I doing wrong if I am in the 800s?


Apparently you're paying unnecessary interest in the hope that it will help your credit score.
 
2016-07-15 10:30:44 AM  

chicken nugger: jaylectricity: No, they don't. Equifax and Transunion don't give scores. They give information. Who you get the score from determines what the score will actually be.

That is not true at all.  On Credit Karma, you will have two scores listed, one from Equifax and one from Transunion.  In my case, one is 806 and the other 803.  If all Credit Karma was doing is looking at the info being reported, both scores would be the same since the information from each is identical.  The reason for the two different scores is because the two agencies have slightly different formulas they use.


If you read Credit Karma's web site you will note what they give you is a Vantage score which is similar but not exactly the same as the FICO score which is from Fair Issac's algorithm.
 
2016-07-15 11:32:47 AM  
None. I use mine maybe two or three times a year, and pay it off within 30 or 60 days.
Done. Credit score in the mid 700s.
/student loan
/almost paid off
 
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