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The World's Worst Credit Card
consumerist.com — Golb at Money, Matter, and More Musings has located the worst credit card in the world. It is designed to prey on subprime borrowers who, sadly, cannot get a better card...
LucyHarvard- 2677 diggs
- digg it
- iViper, on 10/10/2007, -2/+173At first I thought it was going to be made out of cardboard or something
- EBFoxbat, on 10/10/2007, -0/+18I have worse cards. 29.99% with overage and late fees of $59. Granted the credit limit is a bit higher.
- shark615, on 10/10/2007, -1/+7DO you pay that many user fees with so little credit limit though?
- dhess, on 10/10/2007, -0/+1Dugg up out of pity, heh.
- NgrHader, on 10/10/2007, -0/+4Where can I sign up?
- Gir53457, on 10/10/2007, -1/+2oops
- Herostratus, on 10/10/2007, -8/+3All credit cards suck. Can you say scam? 60% of the US population is now lost in debt and a large portion of that is due to credit cards. Do you think the banks were not aware that was going to happen? Come on really. You naive people make me wretch.
29 years debt free mofos. Dont you wish you were me- OGTL, on 10/10/2007, -2/+6Check back when puberty hits.
- Eleo, on 10/10/2007, -1/+5Not really.
- fli7e, on 10/10/2007, -1/+5I'm going to go out on a limb and assume you still live with your parents
- borninda818, on 10/10/2007, -1/+2your pretty stupid. Credit cards are VERY good if you know how to use them. And some have good rewards. Mine for instance gives me 1% cash back, and I use it for every purchase but I never buy more than the money in my bank account, so it might as well be a debit card. In a way everything I buy is 1% cheaper just because I buy it on credit. Good stuff.
- humperdeath, on 10/10/2007, -0/+2Hey, that's a good idea. Every month I want to save away $500.00, so all I got to do is spend $50,000 on the ole' Visa, and soon I'm on easy street!
- EBFoxbat, on 10/10/2007, -0/+18I have worse cards. 29.99% with overage and late fees of $59. Granted the credit limit is a bit higher.
- altered, on 10/10/2007, -3/+69I had high expectations of hilarity before I saw it was an actual card. But then I read the specs... hilarious!
- GruntboyX, on 10/10/2007, -1/+10i find it funny that refer to the credit cards terms as "specs"
- djm101, on 10/10/2007, -1/+1I don't. It's short for specifications...you know...of the card.
- GruntboyX, on 10/10/2007, -1/+10i find it funny that refer to the credit cards terms as "specs"
- T8erT0T, on 10/10/2007, -19/+3Wow, that card almost turned me broke just by staring at it. $120 a month maintenance! To do what?! Maintain that I can only spend about $30 per use?
- PhairOh, on 10/10/2007, -0/+19$10/month, but it's all charged in the first month, which makes it come out to $120 a year.
- IKORKYI, on 10/10/2007, -0/+0Wow, that comment almost turned me stupider just for reading at it! Wait a second....
- coopcooper, on 10/10/2007, -10/+9I got mine from a box of Frosties, I'm pretty sure THATS the worst credit card in the world.
- DrMonkeyLove, on 10/10/2007, -0/+74I got mine from an old woman at an ATM. She was pissed. Wait... what were we talking about again?
- tehpwnrate, on 10/10/2007, -8/+4That's nothing. I got one in the mail the other day that is for someone else. I'm going to start using it today, and hopefully I can buy a lot of stuff before anyone notices. I will almost feel bad for Your Here when he gets a bill for all that stuff he didn't buy!
- coolcash2005, on 10/10/2007, -1/+0People like you ruin this world.
- tehpwnrate, on 10/10/2007, -0/+1*woosh*
- tehpwnrate, on 10/10/2007, -0/+1By the way, what kind of middle name is "Name"? Seriously, this guy was asking for it with a name like that.
- coolcash2005, on 10/10/2007, -1/+0People like you ruin this world.
- humperdeath, on 10/10/2007, -0/+2Try the card from Vinnie Moscatelli. You have no credit limit, so spend all you want, but if you don't pay back in 2 weeks (with 25% interest) you get your knees broken.
- Jeffler, on 10/10/2007, -1/+10So thats why I can't afford to put anything on my card....
- deadlyrice, on 10/10/2007, -0/+9cross country bank is just as bad. so bad in fact they got sued by 7 different states...
- TomJohn, on 10/10/2007, -0/+0Yes, they are awful. I canceled my account with those criminals. Beware too of Merrick Bank cards.
- Audiophile27, on 10/10/2007, -4/+15lol pay 25$ for every 1$ you use good deal man
/s- championchap, on 10/10/2007, -0/+3I'd rather just pay using actual money.
- zdiggler, on 10/10/2007, -3/+114Sound like a Capitol One card. I got one of those just getting out of highschool, Only place I used was filling up gas cost me $20 back then. When the bill came, they have annual fee 39.00+Account Activation fee 60.00+$20 gas I purchased put the card to its limits so they put $35 Over the limit fee on top of all that. I called them and I got no answer but 3 days later I got another bill. Which included Previous balance, and late fee off 45.00, plus over the limit fee (Another one) $35 and they raised my interested on top of that!
I complained and write letters to State Consumer, I settled them for $20 for that gas I purchased. But it still shows up in my credit report.
Now day CC companies are goign after highschool kids hard. If you got a 18 year old that just recently graduated, you will see.- winmywii, on 10/10/2007, -6/+5I have one with no fees
- matthewf01, on 10/10/2007, -2/+11an 18 year old?
- championchap, on 10/10/2007, -0/+3Mines only 17.
- matthewf01, on 10/10/2007, -0/+1does he/she have fees....
- championchap, on 10/10/2007, -0/+1Assuming that was directed at me, no.. she does not.
Love is a wonderful thing.
- championchap, on 10/10/2007, -0/+1Assuming that was directed at me, no.. she does not.
- jmhyer51, on 10/10/2007, -0/+1Sure it doesn't.
- jmhyer51, on 10/10/2007, -0/+1Sure it doesn't.
- ZigVicious, on 10/10/2007, -0/+1yeah, it's called a debit card.
- matthewf01, on 10/10/2007, -2/+11an 18 year old?
- Azuroth, on 10/10/2007, -1/+20Yeah, my capitol one card has no fees, and a 7.9% APR. If you get a card that requires a minimum monthly payment, and you don't pay it, of course your rate is going to go up. Learn to use a CC properly, and they work just fine.
- managizzle, on 10/10/2007, -3/+1Also, learning grammar, spelling, general sentence structure, and how to edit may help zdiggler just a bit.
- Nougat, on 10/10/2007, -1/+12Capital One was pretty bad when they first started. They're better now, at least if you're in your late 30s with good credit.
- vornan19, on 10/10/2007, -0/+1Actually I'm in my late 30s and have almost no credit and I have a capitol one card with no fees.
- melonhedd, on 10/10/2007, -0/+4The Capital One card I got before I went to university is still the best card I have.
- cawpin, on 10/10/2007, -5/+2zdiggler - May I be the first to call *****.
- yuravian, on 10/10/2007, -5/+5"Now day CC companies are going after high school kids hard. If you got a 18 year old that just recently graduated, you will see."
Being a 19-yr old univ student, I don't know much about things, but the way my parents worked around the credit card thing was
1) Helping me get a paid internship based on my major (some majors are *heavily* in demand these days)
2) Getting me a Visa check card, a checking account, and a savings account through the local credit union (That didn't charge for any of that stuff, either.) That way I could have the purchasing power of a credit card, but I would be able to watch what I spent since I could always check at the CU's website to see my balance, rather than racking up purchases, then forgetting about it until the bill arrives. I learned a lot that year about monetary management, and so I (think) I am much more responsible with my money than if I had a credit card.- aaronm67, on 10/10/2007, -2/+11You should consider getting a no-fees credit card. It's not hard to find one with ~25% APR, and a $700+ starting credit limit, and just use that instead of your debit card (unless you need cash).
If you pay off your card every month, then you're charged no interest, and you wlil get some fairly nice rewards along with building your credit. I recently got a BP card with 5% on all gas purchases, which adds up pretty quickly. As long as you track your spending and make sure you're not spending more money then you make, credit cards can be very useful.- Otto, on 10/10/2007, -0/+5(jaw drops)
Any credit card with a > 10% APR is ridiculous. And I'm not talking intro rates either.- radiometric, on 10/10/2007, -0/+2If you have established credit, then yes... However, if you have no credit history, then 25% is what you're looking at. You simply MUST pay the thing off every month to avoid paying that interest. After a while you build credit and you can upgrade to a lower interest rate that you can actually afford to use like a credit card [ie carrying a balance]. Even if you don't like the idea of credit cards, you'll appreciate the credit history you've built up when you do need credit. That is, unless you can buy your next car in cash, and never plan on buying a home.
- youareanidiot, on 10/10/2007, -3/+0Pics or it didn't happen. Actually your measly $700 credit card balance will do very little to help you qualify for an auto loan. this is exactly the load of crap the CC copies want you to buy into necause they know a certain %age of the people WILL go beyond their means eventually. Then they own your ass.
- Anonymous99, on 10/10/2007, -0/+3Anyone who doesn't pay their full balance every month is ridiculous. The concept is simple...if you can't afford it, don't buy it. Then, you'll be like me and will never even look at the APR rate on any credit card. ...and people wonder why so many americans are in cc debt...
- Otto, on 10/10/2007, -0/+5(jaw drops)
- fjc8, on 10/10/2007, -2/+1> Getting me a Visa check card, a checking account, and a savings account through the local credit union (That didn't charge for any of that stuff, either.)
They're not hard to get at all. I recently switched checking accounts and found that nearly every bank had a free checking account service with debit cards. The main differences were actually free paper checks, rewards programs, ATM locations (for fast deposits), startup perks ($10 gas card and enough reward points to get a $50 gift card) etc. I ended up going with a bank that gave me 150 free checks and an okay rewards program. At my current rate of usage, the checks will last me 10 years... the rewards progarm doesn't mean a whole lot now, but the $50 Target gift card was nice.
From what I understand, anyone with proper documentation can walk into a bank and get a savings account nowadays. And with an existing relationship with a bank or proof of an existing relationship with another bank, you can get a full-featured free checking account, too, with a debit Visa or MasterCard and all that stuff.
> That way I could have the purchasing power of a credit card, but I would be able to watch what I spent since I could always check at the CU's website to see my balance, rather than racking up purchases, then forgetting about it until the bill arrives
You can be irresponsible with either kind of card. I find credit cards to be safer and they tend to have more perks, too. - munkyxtc, on 10/10/2007, -0/+5I had a CapitalOne card from when I turned 18; it was the first card I tried to get and was approved for a modest $300 limit; at the time they had no fees and it was great to help start establishing my credit -- over time my limit increased to around $3000; however, about 7 or 8 years later they decided they were going to charge me $9.95/mo for the privledge of having their card - By the time they started doing this I had credit in the 745-760 range, and was only late once in that time [when I was moving, and was ultimately removed from my history] and in no way could be considered a risk, and the fee was charged even if I wasn't carrying a balance from month to month. When I called them on it they said that was their policy and they could not take the fee off. I honestly did like the card but I refuse to pay someone just because I have their card, so I promptly canceled that one. I now have 2 major CC's a Discover, and a WaMu [formally Providian] -- I like both of them but my discover I use for everyday purchases for the cashback rewards. The WaMu card is great because they give me a free credit overview every single month even if I don't use the card that month. For anyone out there who is young and thinking about jumping on a CC; they are great to have and can help you very quickly establish a credit profile but they can be the undoing of your financial stability at the same time -- Make sure you are NEVER late with a payment; that will hurt you more than being on time for 1 year will help you. If you sign up for a high rate card, or a low balance call them every 3 months and find out if you have qualified for a rate decrease or a limit increase. Most cards won't do this for you but it will definately benefit you to do some leg work...and for the love of god get a FIXED RATE.
- aaronm67, on 10/10/2007, -2/+11You should consider getting a no-fees credit card. It's not hard to find one with ~25% APR, and a $700+ starting credit limit, and just use that instead of your debit card (unless you need cash).
- fjc8, on 10/10/2007, -0/+5Funny, I got my first credit card (with a $250 limit to start and 19.5% APR, no fees whatsoever beyond late payment/overlimit fees) one month after I turned 18. Within 13 months, my limit was raised to $3000... and I didn't pay any interest or fees whatsoever. I signed up for a rewards card a few months later and got that, too, at a ridiculous 23.5% APR & $200 limit. Once again, no fees when you pay on time & no interest when you pay off the balance in full.
Sure, I got the offers for cards that charged hundreds per year in fees. But they certainly weren't the only option. - mydigga, on 10/10/2007, -0/+1I'm sure they didn't do anything they didn't promise when you signed up for it... hope the t-shirt was worth it!
- BradMW, on 10/10/2007, -1/+25I DON'T READ ANY FINE PRINT BUT I AM ON THE INTERNET FRUSTRATED AND COMPLAINING ANYWAY.
- vornan19, on 10/10/2007, -0/+2Kudos to you!
- po43292, on 10/10/2007, -0/+2I've had a Capital One card for about 3 years. They charged me a $40/yr membership fee the first year. First year I paid it. Second year I called and asked them "since I'm such a good customer" if they could remove the fee. No problem they said. Year 3: Haven't used the card pretty much since year 2. I don't need it anymore I tell myself. Call them up and ask them to remove the $40 and cancel my account. Much more difficult this time, but finally got it removed, and they said my account was closed. I cut the card up. I go online even now (3 months later) and it's still showing as an open account! WTF! Screw Capital One!
- JohnInMT, on 10/10/2007, -0/+1Have to be careful with Capital One. I canceled my card with them after months of troubles due to them not mailing me my new card after the old one expired, then XBox Live charged my EXPIRED card the annual fee (about 7 months after it expired), and Capital One let the charge go through (on an Expired card). I, of course, getting 203478 junk mails a day from Capital One, and thinking that I had canceled 4 months earlier, didn't see that they reactivated my account, let the charge go through on an expired card, and were hitting me with late fees and interest.
In Capital One's terms and conditions, they can Re-Open your account if any charges come through up to 6 months past the time you cancel. Add that to them allowing charges to come through on a card that is expired..and good luck getting rid of Capital One! That's the only blemish on my credit score, and it still pisses me off :( - hollywoodalli, on 10/10/2007, -0/+0I had a very similar experience. It took me 7 years to get that crap taken off of my credit report and that was after about two inches thick of paperwork sent to various agencies complaining.
- HallsOfMandos, on 10/10/2007, -1/+1Things like this are why finance, credit management etc should be REQUIRED courses for all high school student or for freshmen in college.
- HallsOfMandos, on 10/10/2007, -1/+1Things like this are why finance, credit management etc should be REQUIRED courses for all high school student or for freshmen in college.
- Math, on 10/10/2007, -1/+1I recently got charged, with a "you haven't used your card enough" Citibank fee of about $140.
This from a card that advertised no fees (terms and conditions subject to change at any time - clearly).
I kept it as an emergency card, and because I hadn't ever used it, I got lumped with the fee.
Fees keep going up on all credit cards, and the terms & conditions are getting more and more ridiculous. In a few years, this card will look good.
- winmywii, on 10/10/2007, -6/+5I have one with no fees
- mrk0, on 10/10/2007, -16/+45These credit card companies and banks destroy society more than crime, pollution, corruption, murder, war, famine, disease and terrorism. In their current form, banks are without a doubt the worst plague on human society.
- mjfitzge, on 10/10/2007, -11/+12or you being sarcastic or just stupid? did a bank touch you when you were a child or something? but really, banks worse than war, that's a good one.
- Scrappy1850, on 10/10/2007, -2/+9My bank touched me, now they have a cutomer for life. BoA rules and happy ending FTW!
- matthewf01, on 10/10/2007, -4/+2lame
- mydigga, on 10/10/2007, -0/+5That gave me a whole new meaning of "professional handshake"
- typicalusername, on 10/10/2007, -0/+2What about "legally binding"?
- Scrappy1850, on 10/10/2007, -2/+9My bank touched me, now they have a cutomer for life. BoA rules and happy ending FTW!
- fuzzynyanko, on 10/10/2007, -0/+15Considering the fine print, I'm surprised that there's no clauses in there for touching.
- hidetheice, on 10/10/2007, -1/+10You can't blame it on the bank or credit card company. What happened to being an educated consumer and reading the fine print? Make sure you do your homework and you will stay out of trouble.
- rprouse, on 10/10/2007, -1/+5The problem is, these cards are not targeting informed/educated consumers, they are targeting the poor and people with little education and reading skill. I use the word targeting, but preying upon is probably a better word. I do believe in little governement intervention, but there are some cases where laws need to be put into place to protect people. That is why there are max interest laws (thus the 29.9% cards). These cards are just thinly disguised ways to get around the max interest.
These guys are no better than loan sharks, they just get away with it and use the credit system as their enforcers.- thugok, on 10/10/2007, -0/+2If you are foolish enough to take this credit card, you deserve to be taken advantage of. Everything is laid out in plain English (and if that's a problem try learning to read). Anyone who claims they didn't understand what they were signing will probably kill themselves playing in traffic anyways so we all win in the end.
- rprouse, on 10/10/2007, -1/+5The problem is, these cards are not targeting informed/educated consumers, they are targeting the poor and people with little education and reading skill. I use the word targeting, but preying upon is probably a better word. I do believe in little governement intervention, but there are some cases where laws need to be put into place to protect people. That is why there are max interest laws (thus the 29.9% cards). These cards are just thinly disguised ways to get around the max interest.
- SquigglyP, on 10/10/2007, -0/+1People's willingness to go out of their way to ***** other people for petty possessions is the real bane of humanity. I don't care if it's the bank charging a $35 overdraft fee for a $5 check or a guy who shoots another guy for the $35 in their wallet.
- mjfitzge, on 10/10/2007, -11/+12or you being sarcastic or just stupid? did a bank touch you when you were a child or something? but really, banks worse than war, that's a good one.
- sTiVo, on 10/10/2007, -2/+85From their privacy policy:
INFORMATION WE DISCLOSE
We may disclose the following kinds of nonpublic personal information about you.
* Information we receive from you on applications or other forms, such as your name, address, and social security number.
* Information about your transactions with us, our affiliates, or others, such as your account balance, payment history, parties to transactions, and credit card usage.
https://www.cfcapply.com/classic1mc/fbd-terms.htm#- CSharpSauce, on 10/10/2007, -5/+0My god it actually gets worse!
edit: I just realized.... what's so bad about reserving the right to release their SSN.... its not like they have good credit to protect- yuravian, on 10/10/2007, -0/+7...Could it be because it's your SOCIAL SECURITY NUMBER? Last I checked, that's like the key to your Identity....
- IEatHamburgers, on 10/10/2007, -0/+23* In addition, your credit card information may be discreetly sold to Korean gangsters.
- aaronm67, on 10/10/2007, -4/+3How the hell is my name, address, and SSN "non-public information."
With that information, somebody could access my bank account, my credit cards, get a loan in my name, etc.- MacEnvy, on 10/10/2007, -0/+9Yes. In other words, non-public information. That is to say, private information.
Trouble with reading comprehension?- aaronm67, on 10/10/2007, -0/+4Whoops, I was typing faster then I was thinking. I meant,
"What the hell? They're releasing my name, address, and SSN?
With that information, somebody could access my bank account, my credit cards, get a loan in my name." - mydigga, on 10/10/2007, -0/+2Wow, did you just man up?
- aaronm67, on 10/10/2007, -0/+4Whoops, I was typing faster then I was thinking. I meant,
- MacEnvy, on 10/10/2007, -0/+9Yes. In other words, non-public information. That is to say, private information.
- atbnet, on 10/10/2007, -1/+2All that means is that they report your credit information to the credit report bureaus, just like every credit card out there.
- jmeskimen, on 10/10/2007, -0/+1And that they can release your transaction history... i.e. if subpoenaed by a court when you're being charged with a crime--they can see where you were and at what time by what you spend.
- AtomicPepper, on 10/10/2007, -0/+0And by non-public information, they mean private information.
- CSharpSauce, on 10/10/2007, -5/+0My god it actually gets worse!
- Kronos6948, on 10/10/2007, -0/+21I used to work in collections, and this isn't the only card like that. First Premier does the same exact thing. These credit card companies prey on the poor and the not so bright.
- mike17032, on 10/10/2007, -2/+11To ***** bad. The stupid exist to be preyed on by the rest of the world, thats their lot in life.
- Kallius, on 10/10/2007, -3/+1Yes, and I'm sure you think that the sick, disabled and old are to be preyed on as well. Con artists (individuals *or* companies) don't have the "right" to fleece other people. Unless maybe that's your profession of calling, and you're just defending your own kind, hmmm?
- veriix, on 10/10/2007, -1/+3"These credit card companies prey on the poor and the not so bright."
Typically this is the same person.
- mike17032, on 10/10/2007, -2/+11To ***** bad. The stupid exist to be preyed on by the rest of the world, thats their lot in life.
- jeuhrn, on 10/10/2007, -18/+167An honest question from a european:
Why do americans keep buying stuff on credit? Why not spend money that you actually have instead?- crash331, on 10/10/2007, -7/+38Probably because they don't have the money. Credit cards to them = free stuff.
- crash331, on 10/10/2007, -5/+47Oh, and somehow I doubt this is an "American" problem. Europeans don't have credit cards? What is it, eternally 1980 over there?
- dbarefoot, on 10/10/2007, -1/+7I know they're unwelcome in Digg comment threads, but here are some facts that may help with this debate. From Wikipedia:
* United States (April 2005) US $753 billion ($2510 per person)
* United Kingdom (July 2004) US $117.8 billion ($1940 per person)- tblasko, on 10/10/2007, -0/+4What are those in relation to? Debt per person? Please clarify
- ZigVicious, on 10/10/2007, -0/+1yeah, it is. duran duran FTW!
- dbarefoot, on 10/10/2007, -1/+7I know they're unwelcome in Digg comment threads, but here are some facts that may help with this debate. From Wikipedia:
- brad3378, on 10/10/2007, -0/+1We learned this type of behavior from our government:
http://www.brillig.com/debt_clock/
- crash331, on 10/10/2007, -5/+47Oh, and somehow I doubt this is an "American" problem. Europeans don't have credit cards? What is it, eternally 1980 over there?
- shaunj66, on 10/10/2007, -3/+70Yes because Americans really are the only people in the world to use a credit card...
*Is from UK*- MiNGLED, on 10/10/2007, -4/+1It's a good job the UK hasn't a trillion pounds worth of personal debt then, isn't it.
- maffiou, on 10/10/2007, -1/+2I've lived in France and in the UK, and the credit card approach is very different...
Most credit card in France are actually debit card, sometime, you can have a end of the month balance payment, but that's it... It's just recently that the credit card uk or us style have come in...
- qbyte, on 10/10/2007, -3/+63This isn't an American thing, guy, While I agree with your statement that you shouldn't spend money that you don't have, you did your opinion a disservice by turning it into a nationalist issue. Most developed countries have a credit problem.
- extratired, on 10/10/2007, -3/+6no they don't. they use debit cards, who are also called 'credit cards' in daily life but don't come with all the debt problems. sure you are right, people are in debt everwhere around the world, but not from these kind of schemes and certainly not on a scale of which it occurs in the US.
- qbyte, on 10/10/2007, -0/+1You need to read "confessions of an economic hitman". There us plenty of debt to spread around the globe.
- extratired, on 10/10/2007, -3/+6no they don't. they use debit cards, who are also called 'credit cards' in daily life but don't come with all the debt problems. sure you are right, people are in debt everwhere around the world, but not from these kind of schemes and certainly not on a scale of which it occurs in the US.
- GiJoeBob, on 10/10/2007, -8/+19Most Americans have become spoiled and want "the good life" right now instead of waiting and saving. Sad really.
- brad3378, on 10/10/2007, -0/+1We each owe $30,000 towards our $9,000,000,000 national debt, so what's the big deal about another $5000 on our credit cards?
Source: http://www.brillig.com/debt_clock/
- brad3378, on 10/10/2007, -0/+1We each owe $30,000 towards our $9,000,000,000 national debt, so what's the big deal about another $5000 on our credit cards?
- andejp12, on 10/10/2007, -0/+68Personally I use my credit card to buy things online and because I don't like to carry a lot of cash on me. That being said I do pay off my entire balance at the end of every month.
- BinaryFragger, on 10/10/2007, -0/+7I use my credit card mostly for online purchases.
I travel frequently by train, and buying the ticket at the train station usually involves a long line up. Instead, I buy the ticket online, print out the barcode that's automatically emailed to me, then scan the barcode at the kiosk (which never has a lineup) in the station which prints out the ticket. Saves me a lot of time. Then I pay the full balance at the end of the month.
Credit cards can be very convenient as long as they're used responsibly. - TDot1980, on 10/10/2007, -0/+6This is the way to go. Credit card companies HATE people like you and me, because we cost them money rather than make them money. Add in a rewards programme and it's even sweeter. It's my little way of screwing over The Man. Although I guess they get something out of it from merchant transaction fees...
- BinaryFragger, on 10/10/2007, -0/+7I use my credit card mostly for online purchases.
- jeuhrn, on 10/10/2007, -2/+15I'm from Norway, and perhaps credit is more normal in continental europe. Here most people only use their debit cards, so when you're out of money, it simply says stop. A lot of people have credit cards too naturally, but don't use them until that once when they have to use it for something necessary like food.
But if you're using a credit card just like a debit card by paying off the balance each month, what's the use?- chrisc262, on 10/10/2007, -1/+8it is easier to keep track of. with a credit card, you only have one line item when you balance your checking account. and you also get a POS fee of (about) $.25 - 1.00 when using a debit card.
- spidrw, on 10/10/2007, -0/+6If you're still paying a fee to use your debit card, then you are definitely with the wrong bank. Even my old local bank quit doing that in 2000.
- radiometric, on 10/10/2007, -0/+1I believe chrisc262 was referring to fees charged by merchants. I've seen gas stations that will charge $1.50 for the convenience of using your debit card over cash. Part of this is due to the fact that banks charge merchant fees and part is due to greed on the merchant's part. Places that don't charge separate fees are just bundling the fees they incur into the price of their goods, so it's in your best interest to go to places that charge separate fees if you intend to use cash anyways.
- geoken, on 10/10/2007, -0/+2Also, if your bank doesn't allow you do download your statement into excel then you're also with the wrong bank. It takes one click for me to get all my transactions as an XLS file which I can sort or filter however I want.
- spidrw, on 10/10/2007, -0/+6If you're still paying a fee to use your debit card, then you are definitely with the wrong bank. Even my old local bank quit doing that in 2000.
- Aslander, on 10/10/2007, -0/+17Plain and simple, rewards. 2-3% back on everything you buy adds up quickly.
- tymme, on 10/10/2007, -0/+5Not being in the right network can be a pain if it's not a Visa/MC bank card. (I lived in WI and when I went to NC, I couldn't use my debit card because the network didn't exist down there.)
Plus, if your debit card is stolen and charges accrue, you're out the money until the dispute is resolved, and you probably won't get the fees back even if it is judged to be fraud.
Also, using a CC for purchases helps establish a good credit history ("paying on time for the past x months" on credit reports) for large (home, auto, etc.) loans.
- chrisc262, on 10/10/2007, -1/+8it is easier to keep track of. with a credit card, you only have one line item when you balance your checking account. and you also get a POS fee of (about) $.25 - 1.00 when using a debit card.
- tizz66, on 10/10/2007, -0/+18I'm English, but I can't believe you asked that question. The UK has one of the highest credit card spending levels - that's not a bad thing necessarily if we can handle it, but still, we use credit cards more than just about anywhere else.
I personally don't have a credit card, I prefer to spend money I have, makes it much easier to manage. I take advantage of interest free credit deals in big purchases where I can, but otherwise I have no problems paying up front for everything I buy.- 1nhuman, on 10/10/2007, -0/+0The UK is an exception to the rule. At least as far as I know. I'm Dutch, life in Belgium now, use to live in Germany and in these three countries and the Scandavian countries you use primarily debit cards. Credit cards are mostly used for restaurants and online purchases.
- fuzzynyanko, on 10/10/2007, -8/+1It's a common way how people buy houses and cars here.
- Scottamus, on 10/10/2007, -0/+2Are you serious. You'd put a house on a 29% credit card? Assuming you had that kind of credit limit you'd have to be a retard.
- crimsonnblue, on 10/10/2007, -0/+1No, that is a legit statement. Think about this. You buy a used car for 9000 dollars. Your card has 3% cashback. You save 270 bucks. Not bad. Then at the end of the month you just pay off your card with no interest fees. I do this all the time with my Gasoline MasterCard. 14% back on gasloline purchases the first 6 months and then 4% after that. Saves a lot of dough.
- bruin8uclap, on 10/10/2007, -4/+6I buy stuff on credit only on cards where I can get something back. For instance, I bought some shoes off of footlocker.com, where my Citibank card gets 6 percent rewards. I ask all of my friends what they need, and they pay me back accordingly. I've cashed in more than $500 so far this year on rewards alone. I also pay my balance off every month. Its just another way to make a little here and there.
- itsthebrod, on 10/10/2007, -0/+7Because it's more convenient than carrying around cash, and a hell of a lot safer too in case you get your wallet stolen. Also, a majority of credit cards offer reward points or cash back for using that card to make purchases, so if you're going to get rewarded for something you already buy, why not?
That said, a lot of people are in debt... It's just the smart Americans that use their credit card as a debit card and pay off their balance in full each month. - logicalnoise, on 10/10/2007, -0/+4well for me I just got one o help stagger bills. I pretty much ahve to live paycheck to paycheck and sometimes bills are due too soon before I get paid. So I take car of them with teh credit card and then pay them off once I get a paychec a week or so later.
- SquigglyP, on 10/10/2007, -0/+1if you need a credit card to keep up with your bills then the first thing you should do is look at what bills you could do without and get rid of them. Cell Phone, Movie Rentals, Going out to eat, Cable TV, etc etc. I don't have Cable TV, just internet service.. i don't watch TV. my total bills for a month, living in Alabama, are about $1200 a month, and that's a car and house payment and insurance, utilities, food, gas, phone and internet. That's it. I have never had, nor will i ever get a credit card. You are better off not having that thing you want to get than to pay someone else 10% extra to have it. Save for it or just learn to deal without it. Were i really desperate for lower payments i could axe the internet and go back to my old diet of ramen noodles and taco bell. Living on a check to check basis, and i've done that for long periods myself, is a really easy way to get *****. My parents were living like that for the longest time. They finally paid off their car, and the first thing they went out to do was shop for a new car. Their excuse to me was that they could now afford a new car, because they weren't paying for the previous one anymore, and they would trade in the old car for the new one. It made me angry, cause if they just kept their old car for a few years and just saved that money instead they could have probably bought their next car in cash instead of dragging the payments out for 6 years or something. I, myself and getting close to paying off my car, and that's just gonna be a couple hundred more bucks a month i can save. Gotta set some monetary priorities... just cause you got 20 extra bucks doesn't mean you can afford to goto a movie or something. That's the reason there are so many people here in my state who can't get out of their situation... little things like movies and music and ***** prevents them from saving money. They'd rather watch Cable TV than save $60 a month. It's pointless to throw away cash like that.
- shortkookyllama, on 10/10/2007, -0/+1It's kind of a vicious system. You have insufficient or poor credit if you DONT have some build up of credit. You are considered someone with good credit if you have had cards for a long period of time, still have some of a balance on them, and pay regularly. It's bizarre. So when you really do need credit for a house or student loan they want to see something on there.
Also, a lot of people blatantly need the extra money. I go to school and work full-time (7.20/hr, minus the healthcare I pay for out of every paycheck). I can make my rent, utilities, tuition, and bus pass but for food and clothes I basically use credit. It's incredibly frustrating.
Although I am aware that MANY Americans just abuse credit cards (such as roommates maxing out cards for booze. Oy vey.)- aaronm67, on 10/10/2007, -1/+1You should make sure you're not paying twice for health care. Most public universities offer health care with tuition.
- fjc8, on 10/10/2007, -0/+3Citation needed.
This is definitely not the case in my state, although last I checked, colleges were glad to refer you to companies that provided various services.- radiometric, on 10/10/2007, -0/+1Dugg for 'citation needed'.
- L33tmaster, on 10/10/2007, -0/+1http://www.shs.uci.edu/optout.html
You can get a health insurance waiver if you already have a plan.
- fjc8, on 10/10/2007, -0/+3Citation needed.
- aaronm67, on 10/10/2007, -1/+1You should make sure you're not paying twice for health care. Most public universities offer health care with tuition.
- picsectionpleez, on 10/10/2007, -0/+2I say credit cards are pretty much only good for online purchases. There is insurance in case your product arrives broken or there is a problem with your service. Other than that they're the bane of society.
- ortichi, on 10/10/2007, -0/+1the bane of society..only if society doesn't know how to control the spending.
- therightside, on 10/10/2007, -0/+4The same reason we shower everyday, eat good tasting food, and get our teeth fixed: because we can.
- armestar07, on 10/10/2007, -0/+0good tasting food? REALLY? You need to travel a little more.
- monsterling, on 10/10/2007, -0/+2while many people do use credit cards to live beyond their means, you need to use credit cards in some extent to build up your credit score. the better your credit score, the more likely you will be approved for an auto or home loan, and even better, at a lower interest rate. of course, if you are not interested in receiving a loan, there is always the fact that more and more companies are referencing your credit score during the hiring process.
- matu4251, on 10/10/2007, -0/+4I'm french but live in the usa. I was trying to avoid credit card at firt but that was a HUGE mistake... it's sad but you really have to get in the system if you want to have a "normal life". As some people said before me (and don't know why they were dugg down) you need to build your credit history (FICO score) so banks, cell phone companies, car dealers (etc) know you are a "good payer". For instance, when I first went to at&t wireless for a cell phone have being in the usa for a year (without any CC) they asked me for a $600 deposit (no credit history, so my FICO score was the one by default). Needless to say I declined the offer and took a togo phone (prepaid).
- RooDoG, on 10/10/2007, -0/+2I use my credit card for emergences only. You never know when insurance wont cover your bill or you need an unexpected expense.
- BradMW, on 10/10/2007, -0/+5Umm, I buy stuff on credit because I get money back that I wouldn't if I used the money I have in the bank?
- SquigglyP, on 10/10/2007, -0/+1yeah, you get what... a few bucks back for every hundred you spend, and then you end up paying 10% more in interest. Sorry, but if you really think you're making money, or that they're giving you free money for using their card, you are just swallowing their pitch hook line and sinker.
- fjc8, on 10/10/2007, -0/+1>Sorry, but if you really think you're making money, or that they're giving you free money for using their card, you are just swallowing their pitch hook line and sinker.
Or you're paying off the balance in full every month. - SquigglyP, on 10/10/2007, -0/+1Something most people don't do obviously. if the averages are an indication, then most people with a credit card are in debt up to their necks, they just don't feel it cause they can make a little payment every month and forget about it. But that debt isn't going anywhere.
- fjc8, on 10/10/2007, -0/+1>Sorry, but if you really think you're making money, or that they're giving you free money for using their card, you are just swallowing their pitch hook line and sinker.
- SquigglyP, on 10/10/2007, -0/+1yeah, you get what... a few bucks back for every hundred you spend, and then you end up paying 10% more in interest. Sorry, but if you really think you're making money, or that they're giving you free money for using their card, you are just swallowing their pitch hook line and sinker.
- digggggggggg, on 10/10/2007, -0/+1Well, most "Americans" pay off the balance at the end of the month. I don't see how that's money that they "don't have".
Credit cards offer a layer of security between the consumer and the merchant. Let the credit card companies deal with them.- SquigglyP, on 10/10/2007, -0/+1no... most "Americans" make the minimum payment, which is usually 75% interest. They ARE paying it off, but if you just make the minimum payment on, say, a 5000 balance, you will be paying that bill for the rest of your life. Where you would normally afford to save for a year or two and just buy $5000 worth of *****, people want it NOW NOW NOW so they use a credit card and then pay it off for the rest of their lives. People right now don't even realize what it means, not only for them but for their kids, who are going to inherit this debt when their parents die. The next generation of "Americans" will have not only their own credit card debt to pay off, but the previous generation's as well. And that cycle will go on for as long as the idiots here in the US allow it to go on.
Also... we aren't "AMERICANS", we're "Citizens of the United States" ... using the term 'americans' implies the americas, north and south, which is apparently causing a lot of confusion south of texas. - SquigglyP, on 10/10/2007, -0/+1no... most "Americans" make the minimum payment, which is usually 75% interest. They ARE paying it off, but if you just make the minimum payment on, say, a 5000 balance, you will be paying that bill for the rest of your life. Where you would normally afford to save for a year or two and just buy $5000 worth of *****, people want it NOW NOW NOW so they use a credit card and then pay it off for the rest of their lives. People right now don't even realize what it means, not only for them but for their kids, who are going to inherit this debt when their parents die. The next generation of "Americans" will have not only their own credit card debt to pay off, but the previous generation's as well. And that cycle will go one for as long as the idiots here in the US allow it to go on.
Also... we aren't "AMERICANS", we're "Citizens of the United States" ... using the term 'americans' implies the americas, north and south, which is apparentlt causing a lot of confusion south of texas.
- SquigglyP, on 10/10/2007, -0/+1no... most "Americans" make the minimum payment, which is usually 75% interest. They ARE paying it off, but if you just make the minimum payment on, say, a 5000 balance, you will be paying that bill for the rest of your life. Where you would normally afford to save for a year or two and just buy $5000 worth of *****, people want it NOW NOW NOW so they use a credit card and then pay it off for the rest of their lives. People right now don't even realize what it means, not only for them but for their kids, who are going to inherit this debt when their parents die. The next generation of "Americans" will have not only their own credit card debt to pay off, but the previous generation's as well. And that cycle will go on for as long as the idiots here in the US allow it to go on.
- crash331, on 10/10/2007, -7/+38Probably because they don't have the money. Credit cards to them = free stuff.
- skinrock, on 10/10/2007, -4/+16Yes it's a bad credit card, but that's what happens when you lose the banks' trust. Do you really think you can destroy your credit and have a bank say "that's okay, have 0% with a limit up to $5000 on us"?
- logicalnoise, on 10/10/2007, -3/+1except a bank would sell that card to someone like me who is just starting out and just simply has a small credit history(not bad) but not long.
- mike17032, on 10/10/2007, -0/+4*****. I got a credit card that was just fine when I was first starting out.
- logicalnoise, on 10/10/2007, -3/+1except a bank would sell that card to someone like me who is just starting out and just simply has a small credit history(not bad) but not long.
- qbyte, on 10/10/2007, -19/+14Credit cards are ALL bad, people! Don't spend money that you don't have!
- warcin, on 10/10/2007, -1/+24Using a credit card does not mean you are spending money you don't have, if used wisely it is just convenience. I have not carried a balance on any card I have had in 5 years and with the points (hotel and car credit on mine) I have gotten some benefit from it as well. Now carrying a balance on a credit card should only happen in cases of emergency in my opinion.
- ortichi, on 10/10/2007, -0/+1you comment summarizes all that needs to be said about a credit card
- timusca, on 10/10/2007, -1/+21Unfortunately, you'rw wrong. You need some credit history to get a decent loan on a house. Not to mention, by your advice, I wouldn't own a house for 40 years if I had to save up 100% for one and "not spend money I don't have" since I would also have to pay rent on an apartment while trying to save up.
A loan is better than throwing money out the window on an apartment that you'll never own. Or living in your mom's basement.- Ninjaneer, on 10/10/2007, -5/+1But the lending industry is just part of why houses are so expensive these days. Credit has enabled the middle-class to live waaay outside their means, and it's why the middle-class is dying.
- picsectionpleez, on 10/10/2007, -4/+1You DO NOT have to use a credit card in order to get credit for an FHA loan. You can use store credit cards like Radio Shack and Conns if you want, which may be better than a MC or Visa (since your goal is establish payment history all you really need to do is buy a $20 pack of CDs and mail in your payment each month). The good thing about these smaller cards is that the retailers will report it more frequently to credit bureaus. And you can have 2 or 3 different cards instead of 2 or 3 mastercards.
Other means of establishing credit: Your car payment, rent payments, rent to own furniture, your cable bill, your phone bill, cell phone bill, basically ANYTHING you make payments on just ask them to please report it to the credit bureaus. You may have to ask them a few times to do it, but there are laws that an force them to if they are too lazy.
Oh, and BTW if you think paying one of the debt consumer credit services to negotiate payments on all your creditors after you've ***** up and can't pay them all: It does absolutely NOTHING to fix your credit. Makes people feel like they're "doing the right thing" but does not help your score or payment history in any way. You are better off filing bankruptcy and they do not want you to know that.
-loan officer- monsterling, on 10/10/2007, -0/+1contrary to popular belief, payments on things like rent, cable, cell phone, are not related to your fico credit score. auto and home loan payments are related, but in order to achieve a credit score high enough to get an auto or home loan with a decent interest rate, you must establish good credit history, ie have a credit card with no late payments for an extended period of time. it seems most people are confused about this issue, however taking a look at you credit score will significantly help your understanding.
- timusca, on 10/10/2007, -0/+1My point was that getting a credit can and MAINTAINING it can get your credit score way up... it doesn't take a janitor to realize it will hurt your credit if its maxed out all the time and you can't make the payments.
- radiometric, on 10/10/2007, -0/+1I think you meant to say that it's so easy, a caveman could do it.
- seamushc, on 10/10/2007, -0/+0Untrue, my moms basement is cozy.
- n8r0n, on 10/10/2007, -10/+3I agree. I have not owned a credit card for a few years now. It is great being able to pay cash for everything. To those people who will say that you need a credit card, no you don't. You can use your debit card for the same purpose.
Capital One: "What's in your wallet?"
Me: "CASH!"- chrisc262, on 10/10/2007, -2/+9Capitol One :"How's your credit?"
You: "what credit?"- radiometric, on 10/10/2007, -1/+1Capitol One: "What's in your wallet?"
You: "Ca$h... Oh wait.. CRAP!"
Thief: "Looks like some cash, a condom, and.. jackpot! Naked photos of that one chick from High School Musical! What was the Enquirer's number?"
- radiometric, on 10/10/2007, -1/+1Capitol One: "What's in your wallet?"
- Otto, on 10/10/2007, -1/+6"You can use your debit card for the same purpose."
Yes, but without the added protection of *spending other people's money*.
Look, if I have an issue with some purchase, then I can take it up with my credit card company and get better results. Can't do that with a debit card. Why? Because I've already lost the money, the debit card is tied to my bank account.
I can stop paying a credit card if I disagree with the charges. I can't do that with a debit card. - picsectionpleez, on 10/10/2007, -2/+1no matter what anybody says living without credit cards rule. I spend half the money I used to and live a more stressfree life. My phone doesn't ring with debt collectors ever.
- Otto, on 10/10/2007, -0/+4I live with credit cards and would spend exactly the same either way. Just because you were stupid and thought that credit = free money doesn't mean that everybody is quite that stupid.
- BradMW, on 10/10/2007, -0/+4So you're saying you had a credit card, treated it like free money, didn't pay any bills, lost it, and now spend less money since you're not wasting the bank's? Nice one.
- chrisc262, on 10/10/2007, -2/+9Capitol One :"How's your credit?"
- itsthebrod, on 10/10/2007, -0/+6Yeah, good luck buying a house or car or trying to get a loan without using credit cards and building your credit history. If you only spend the money you have, and pay off your balance in full each month, buying things with credit cards (especially if you get cashback or reward points) is the smartest thing you can do.
- xlar54, on 10/10/2007, -0/+1Use cards enough to get a home loan. Then get rid of the cards. I have no credit cards - dont want em. Tossed them all out after I got a home loan. Capitol One and friends can kiss my ass.
- warcin, on 10/10/2007, -1/+24Using a credit card does not mean you are spending money you don't have, if used wisely it is just convenience. I have not carried a balance on any card I have had in 5 years and with the points (hotel and car credit on mine) I have gotten some benefit from it as well. Now carrying a balance on a credit card should only happen in cases of emergency in my opinion.
- Lancey, on 10/10/2007, -12/+6Credit cards are pure evil - it's like signing yourself up for voluntary debt slavery just so you can help some fat-cats become even more obscenely rich. This card is pure evil to the power of infinity, why would anybody sign up for this?
- AnteChronos, on 10/10/2007, -0/+15"Credit cards are pure evil"
Only if you're irresponsible. - MiNGLED, on 10/10/2007, -0/+10Credit cards don't create debt, people do.
- ronaldinho, on 10/10/2007, -0/+1I never have problems with my credit card because 1) I pay my bills reasonably on time and 2) I don't spend at the slightest of impulses. Manage your money well, and you will never have a problem.
- AnteChronos, on 10/10/2007, -0/+15"Credit cards are pure evil"
- Stormen, on 10/10/2007, -1/+50At the registrationform:
"If you have a good credit history this card may not be for you."
LMAO. - butiamjessica, on 10/10/2007, -7/+2While I agree that credit cards are not the best tools to increase your purchasing power (quite the opposite) Golb's conduct is borderline, if not spot on, to predataroy lending. I hope that they understand that they're not going to be around long charging a $4.00 per transaction fee if you pay via the internet and an account maintenance fee AND an annual fee. One or the other or you'll be on the verge of predatory lending. I guess for them it doesn't matter though.
PS...a Capital One credit card cannot be compared to this. I have one and it is probably one of the best cards. It is a platinum though so maybe that's the difference.- BradMW, on 10/10/2007, -0/+1What non-subprime card isn't platinum?
- LiveWire530, on 10/10/2007, -0/+1If you'd like I can take a dump in a box and slap a guarantee on it... I've got the time
- BBCmafia, on 10/10/2007, -12/+2"An honest question from a European:
Why do Americans keep buying stuff on credit? Why not spend money that you actually have instead?"
The U$A and the people are broke. The dollar is worth crap and the country is going into recession. Well done Bush.- hpbucks, on 10/10/2007, -8/+0well said! Use debit cards everyone.
- itsthebrod, on 10/10/2007, -1/+3Yeah who needs those pesky reward points and cash-back bonuses credit cards offer over debit cards? /sarcasm
- SquigglyP, on 10/10/2007, -0/+1I really hope you're ***** kidding about the 'rewards' 'cash-back' *****. When you buy ***** on a credit card you are paying MORE than what the price tag says. If you are paying only the minimum payments then you are paying a LOT more than what the price tag says. Don't let them trick you with some ***** cash-back scheme, they give you a buck for every hundred bucks they get from you for the privilege of being able to buy ***** through them. Credit cards aren't inherently evil, but the companies are allowing minimum payments far less than they should be, so people are effectively paying just a small fraction of what they owe... most of the money you give a credit card company goes to paying off interest. They are worse than a high risk loan if you're just making the minimum payments.
- itsthebrod, on 10/10/2007, -0/+0Well of COURSE credit cards are going to ***** you over if you're an idiot that only pays the minimum due each month. That's the individual person's fault. For the rest (intelligent) of us folk that pay the balances in full each month, those points/bonuses are plusses for purchases that don't cost a cent more paying with cash.
- SquigglyP, on 10/10/2007, -0/+1I really hope you're ***** kidding about the 'rewards' 'cash-back' *****. When you buy ***** on a credit card you are paying MORE than what the price tag says. If you are paying only the minimum payments then you are paying a LOT more than what the price tag says. Don't let them trick you with some ***** cash-back scheme, they give you a buck for every hundred bucks they get from you for the privilege of being able to buy ***** through them. Credit cards aren't inherently evil, but the companies are allowing minimum payments far less than they should be, so people are effectively paying just a small fraction of what they owe... most of the money you give a credit card company goes to paying off interest. They are worse than a high risk loan if you're just making the minimum payments.
- itsthebrod, on 10/10/2007, -1/+3Yeah who needs those pesky reward points and cash-back bonuses credit cards offer over debit cards? /sarcasm
- PixelVision, on 10/10/2007, -0/+3Why do people keep starting a new comment. Why not use the reply button that's actually meant for use instead?
- TDot1980, on 10/10/2007, -1/+1Man, that Snorg Tees Girl sure is hot!
- hpbucks, on 10/10/2007, -8/+0well said! Use debit cards everyone.
- JackHererUK, on 10/10/2007, -5/+1I have actually seen a worse credit card than this. Admittedly it did not have so many up front fees, but the credit limit was just as low and it had an APR of about 69%
- MindStalker, on 10/10/2007, -0/+6Umm I believe there is a legal max of 30.99 APR in the US. Where do you live?
- handsoffme, on 10/10/2007, -0/+1I'm going to guess the UK.
- MindStalker, on 10/10/2007, -0/+6Umm I believe there is a legal max of 30.99 APR in the US. Where do you live?
- SlowOnTheUptake, on 10/10/2007, -6/+5Credit cards are like venereal diseases, some may be better than others but you're probably better off without one in the first place.
For anyone who hasn't seen it yet, I recommend the documentary "Maxed Out", particularly for Diggers in college or just getting out. If you happen to have Netflix, it is one of those films you can watch on-line -- well worth your time.- radiometric, on 10/10/2007, -0/+1Although I disagree with your first sentence, I have seen part of this "Maxed Out" and it is something worth viewing.
Dugg. - junglist1319, on 10/10/2007, -0/+1I'm guessing you've never bought a house, car or any other major purchase that requires any sort of credit history.
- SlowOnTheUptake, on 10/10/2007, -0/+1On the contrary, I've bought houses and cars using credit. Unlike credit card purchases, those loans are secured by the things that you buy. While it may be the case that having a "bad credit history" with credit cards can make it harder to get a mortgage, somehow people were able to get mortgages and car loans before there were credit cards. I question this argument that you need to use a credit card to establish your creditworthiness to get a mortgage or a car loan -- it sounds suspiciously like propaganda from the credit card industry.
Credit card companies make their enormous profits on people who don't pay on time and are continually "maxed out", in other words, those with chronically low FICO scores. These people are their ideal customers, the ones who will have the most trouble making payments. One way to market to this segment is to tell them that opening a credit card account will help them build their "positive credit history." Well, maybe it will, but in most cases it will result in a high debt, with the attendant late fees and "negative credit history", which is just the way credit card companies like it.
- SlowOnTheUptake, on 10/10/2007, -0/+1On the contrary, I've bought houses and cars using credit. Unlike credit card purchases, those loans are secured by the things that you buy. While it may be the case that having a "bad credit history" with credit cards can make it harder to get a mortgage, somehow people were able to get mortgages and car loans before there were credit cards. I question this argument that you need to use a credit card to establish your creditworthiness to get a mortgage or a car loan -- it sounds suspiciously like propaganda from the credit card industry.
- radiometric, on 10/10/2007, -0/+1Although I disagree with your first sentence, I have seen part of this "Maxed Out" and it is something worth viewing.
- bob12321, on 10/10/2007, -4/+13Why don't people just get a debit card linked to a checking account (they usually have little or no fees) and it is imposable to spend more money then you have.
- chrisc262, on 10/10/2007, -1/+2POS fee
- MindStalker, on 10/10/2007, -0/+7Impossible? OHH, no its not. Debit cards can be very dangerous.
Lets say you have $100 in your bank, and you go out and run 5 different $5 charges. Lets say you also have an auto draft or something hit your bank for say $90. You now have 5 $35 dollar bounce fees. Yea, that was fun wasn't it.- s0nicfreak, on 10/10/2007, -2/+1Know what day the autodraft comes out and don't make 5 diffrent $5 charges untill you put $15 more in?
- AnteChronos, on 10/10/2007, -2/+7If you only have $100 in the bank, then you have bigger issues. You should be striving to have at least 6 months' worth of expenses set aside for emergencies.
- knightcrusader, on 10/10/2007, -0/+5I would hope people put their extra money for an emergency in a SAVINGS account, so that way they won't be tempted to spend it. I usually pay my bills each week, then put whatever is over $100 into my savings account. If I didn't do that, I would be back to my old habit of blowing every cent I had everytime I found something on eBay...
- aaronm67, on 10/10/2007, -0/+5You must be living alone if you think everyone should have 6 months expenses set aside in their regular checking account.
It would be one hell of an emercency to need 6 months of living expenses. Also, that $20-$25,000 could be invested a hell of a lot better then in a checking account. If you regularly have more then $5,000 in your checking account, you should seriously look into investing better.- AnteChronos, on 10/10/2007, -1/+2"You must be living alone if you think everyone should have 6 months expenses set aside in their regular checking account."
I never mentioned a checking account. A savings account or CDs would make more sense. The point is that the funds should be accessible in the event of an emergency.
"It would be one hell of an emercency to need 6 months of living expenses."
Yep. That emergency is called "being laid off". It's much easier to find another job when you're not stressed out about making ends meet. You may feel very secure in your job, but it's always good advice to plan for the worst and hope for the best. - aaronm67, on 10/10/2007, -0/+2@Antechronos
But, you were saying before how nobody should have to worry about overdraft fees, etc, because they should have 6 months emergency money in their account. If your money isn't in your checking account when you go to use it, you're going to have an overdraft fee, even if you have that money somewhere else. I typically have very little cash in my bank account, because most of that money is transferred to higher interest accounts. If I used a debit card often, I would have to be pretty careful, especially with how many bills are "Automatic Pay" nowadays. - AnteChronos, on 10/10/2007, -0/+2@aaronm67
I was treating the overdraft and the emergency funds as separate, but closely-linked, accounts. I typically keep 1-2 months of expected expenses in my checking account (ING Direct has great interest rates for a checking account, if you can tolerate not having physical checks), with several times that in higher-interest accounts, but I can easily move funds between the two on short notice.
You also mention automatic bill pay, which I absolutely despise. I just don't like the idea of giving a company the right to access my account whenever they want. I'd much rather pay bills as needed, for the very reason that you stated (avoidance of overdraft fees).
- AnteChronos, on 10/10/2007, -1/+2"You must be living alone if you think everyone should have 6 months expenses set aside in their regular checking account."
- Otto, on 10/10/2007, -0/+5SIX MONTHS?!? You're out of your god-damned mind. Either that or you're a broke college student living on $300 a month.
- AnteChronos, on 10/10/2007, -0/+1Neither. I just know how to save money, and I'm motivated to do so because I'm aware of the potential consequence of *not* saving. If you think it's not possible to set aside six months' expenses, then you're probably coming *very* close to living outside of your means, and that's not a good thing. You should *constantly* be increasing the amount of money you're saving (although that includes 401k/Roth IRA/other investments, so it won't all be immediately accessible to you).
- InfiniteNothing, on 10/10/2007, -0/+1You do realize that was only an example to point out that it was not impossible right?
- lordchronos, on 10/10/2007, -0/+6Having a line of credit can really save you.
Say your engine blows up in your car...if you have no credit you might have to go to the pawn shop..they are even worse than credit card companies. - logicalnoise, on 10/10/2007, -0/+2overdraft fees on some american US banks can run up to 300%. For instance I have a chase bank account. Went negative by 30 dollars, they charged me a 90 dollar overdraft then 5 dollars a day. If I had used a credit card would have had a meager 16.9% interest which would only accrue once considering I'd be able to pay it off by the end of the month. Things come up and having a cheap backup for emergencies is just being smart.
- AnteChronos, on 10/10/2007, -1/+1If you're in a position where overdrafts are possible under normal spending conditions, then you're in a serious financial bind to begin with, and you should be monitoring *every* transaction to make sure that you don't make things worse (i.e. you won't overdraft because you know exactly how much you can spend).
- sp1keNARF, on 10/10/2007, -0/+1i overdrafted my account by $1.50, and was charged a $25.00 fee.
- Otto, on 10/10/2007, -0/+2"it is imposable to spend more money then you have."
False, *all* debit cards will allow you to overcharge your account. They're not linked to your balance in real-time.- knightcrusader, on 10/10/2007, -1/+0Yep. And if you have overdraft protection linked to a credit card (like I do) then you'll end up just charging whatever you buy to it, albeit with an addition $5-per-overdraft charge since they consider it an "cash advance" from the card. Oh vey this has bit me in the butt a few times....
- Otto, on 10/10/2007, -0/+2Or you could just get a really high credit limit on a credit card and then pay it off every month. Much simpler.
-If you're able to control your spending, then it really doesn't matter how you spend it.
-If you're not able to control your spending, then you're ***** either way.
- Otto, on 10/10/2007, -0/+2Or you could just get a really high credit limit on a credit card and then pay it off every month. Much simpler.
- knightcrusader, on 10/10/2007, -1/+0Yep. And if you have overdraft protection linked to a credit card (like I do) then you'll end up just charging whatever you buy to it, albeit with an addition $5-per-overdraft charge since they consider it an "cash advance" from the card. Oh vey this has bit me in the butt a few times....
- BECoole, on 10/10/2007, -0/+2If someone puts an unauthorized charge your debit card, the money is withdrawn from your account before you know about it. They already have your money and you have to fight to get it back. A credit card, on the other hand, only charges your account. You still haven't written a check for it, it doesn't mess up your normal checking, and you can dispute it before you lose any out-of-pocket.
Debit cards are idiotic. - esmo, on 10/10/2007, -0/+0Agreed, using debit cards is somewhat dangerous because A) it's hard to dispute charges when the money is already out of the account and B) if you overdraft, you get charged a lot.
Just be financially aware of what you spend and act accordingly after reconciling your income/expenses - not that difficult.
- epilonious, on 10/10/2007, -6/+4Why on earth are you trying to rebuild credit using a credit card?
Credit cards probably rebuild credit a whole 20 points over a year if you don't mess them up... and take 200 points if you mess up once.
If you are so bad about credit that a credit card is your last resort... then just start putting money in a savings account or a mason jar because that's your best option. Nothing lowers a financing rate like 10% down... and nothing raises a credit score like paying down a loan where you put 10% down.- Otto, on 10/10/2007, -1/+5Credit scores do not work that way.
- griz, on 10/10/2007, -4/+2Care to elaborate?
- Otto, on 10/10/2007, -1/+3He's using an overly simplistic concept of credit scoring. "rebuild 20 points a year" and "take 200 points if you mess up once" and other such nonsensical *****.
Credit scores do not work that way. It's not a number based on specific activities and actions. The score is based on many factors, it's not as simple as you get/lose X points for doing Y. - epilonious, on 10/10/2007, -0/+1Most everything having to do with FICO is nonsensical *****. They don't really make the algorithms public or simplistic because then people would try to game them.
Now, what you failed to mention entirely is that if you are trying to use a very opportunistic credit card like this one to improve/rebuild your credit score, you have probably made several mistakes that harmed your credit rating before the current mistake of using a very opportunistic credit card like this one to improve/rebuild your credit score.
- Otto, on 10/10/2007, -1/+3He's using an overly simplistic concept of credit scoring. "rebuild 20 points a year" and "take 200 points if you mess up once" and other such nonsensical *****.
- Scottamus, on 10/10/2007, -0/+3In just 50 more points I'll be a 5th level debtor and then I can cast haste on my dwindling bank account!
- griz, on 10/10/2007, -4/+2Care to elaborate?
- fjc8, on 10/10/2007, -2/+1I tried one of those credit monitoring services a few months ago. My available credit was about 60% used. Paying off 50% of that made my credit rating go up by 23.
- epilonious, on 10/10/2007, -2/+1yah, and if you paid off a car loan it would go up by 200.
in the meantime, if you run it back up to 60% it will probably drop 40 - Otto, on 10/10/2007, -1/+1>>>"My available credit was about 60% used."
And you wonder why you have a crap credit score?
Clue time: Even if you have credit, it should stay at 0% used. Pay it off. Always. The only time you should ever carry a balance is for specific cases of large purchases that you specifically plan ahead and budget for. Every other time it should be completely paid off.- fjc8, on 10/10/2007, -1/+1I don't have a crap credit score. But thanks for making a baseless assumption. I made a large purchase that I specifically planned ahead and budgeted for and paid half of it off within the grace period and the other half the next month, resulting in a slight interest charge.
*****. - Otto, on 10/10/2007, -1/+1Hey, you're the one telling us that you used a credit monitoring service and that paying off your bills actually increased your credit rating. My assumption was not baseless, it was based on the information YOU gave.
Don't want to sound like a dead beat? Then don't talk like you have crap credit. - fjc8, on 10/10/2007, -1/+1How does spending money on credit, paying it off, and then reporting the results on an internet discussion board imply crap credit, Mr. Internet Credit Rating Guru?
- InfiniteNothing, on 10/10/2007, -0/+2Actually, even if you pay it off every month you'll still have a balance because of grace periods.
- fjc8, on 10/10/2007, -0/+1InfiniteNothing is right; looking at my credit report, I can see a clear history of my balance... my monthly statement balance. If it says $700 for that month, perhaps I actually spent $700 that month. Perhaps I spent $600 the month before and $90 that month. Or perhaps I spent $1000 one week, paid it off, $2500 the next week, paid it off, $1500 the next week, paid it off, and then spent $700 and didn't pay it off. (Not sure how much the card companies would like that, though. Chase allows an online payment every 3 days and I usually make 1-3 a month.)
- fjc8, on 10/10/2007, -1/+1I don't have a crap credit score. But thanks for making a baseless assumption. I made a large purchase that I specifically planned ahead and budgeted for and paid half of it off within the grace period and the other half the next month, resulting in a slight interest charge.
- epilonious, on 10/10/2007, -2/+1yah, and if you paid off a car loan it would go up by 200.
- epilonious, on 10/10/2007, -0/+3Gad! Quit digging me down. If you think there is some magical way to use credit cards to drastically improve or repair your credit score, you are either an idiot or selling a "how to use a credit card to rebuild your credit" program.
If you are at the point where your credit is in the absolute dumps that this card would apply to you, chances are you ran prior cards to their limit and defaulted on loans. This means you have money management problems that a credit card is NOT going to solve. Speaking as someone who came out of college with a $6000 albatross in credit-card debt... and seeing how it drastically improved after paying off and canceling a bunch of my cards while staying good on car/student loans... I still work under the assumption that a credit card is something you earn with a good credit score, not something you buy to repair it.
If Otto wants to whinge that I am not using the exact FICO algorithms (which, as far as I can tell, are locked in the same vault with the RSASecureID private key) and getting the numbers he is accustomed-to, so be it... but I stand by my opinion.- centran, on 10/10/2007, -0/+0There is no magical way to rebuild credit with credit card and you are right about if you have ***** credit it is most likely due to credit cards and you should have one.
However, there is one little thing I have heard over and over and over again about rebuilding with credit cards.If you keep a very small balance(like under $100) always on the card and just pay off enough so you always have a small balance it will help your credit. I am not sure if it helps your score but the theory is it shows you can carry a balance responsibly. I think it has more to do with loans and other such instances where a real live human might look at your credit history. They like to see people carry balances AND make payments rather then never carrying a balance.
- centran, on 10/10/2007, -0/+0There is no magical way to rebuild credit with credit card and you are right about if you have ***** credit it is most likely due to credit cards and you should have one.
- Otto, on 10/10/2007, -1/+5Credit scores do not work that way.
- Error601, on 10/10/2007, -1/+14People trying so hard to excuse lack of personal responsibility....
- Ninjaneer, on 10/10/2007, -0/+1amen
- chrisc262, on 10/10/2007, -2/+36credit cards are NOT bad. irresponsible consumers with $10,000 credit limits, some great need for 60" plasma TVs, and no self-control are bad.
- xlar54, on 10/10/2007, -0/+7Backing up just a little... how about people that think they will always have a good paying job, that nothing bad will ever happen to them, etc? Its not the amount spent - its the optimism that "I can pay it off, sure". Life has funny ways of throwing all sorts of things at you, and you need to be ready for them. But, some people dont know it until its too late. Unfortunately this isnt something taught in schools - its learned the hard way. Im all for educating KIDS on money and credit usage in schools. They will teach you how to run a football or how to make a wooden lamp, but they wont teach basic personal finance??? WTF?
- shartman, on 10/10/2007, -1/+8I used to work for one of these bottom feeder CC companies. These 'fees' are very much the standard for sub prime CC's. The standard card that was issued had a $250 credit limit, but before you even got it in the mail there was over $180 in fees on the card. I live in the credit card capitol of the US, South Dakota. The most disturbing part about working there was the president/CEO actually tried to tell people that the business was providing a good service. *****! And of course, he tried to come across as this wonderful 'Man Of God'.
Just in case you were wondering. http://www.capitalcardservices.com - Biskino, on 10/10/2007, -2/+3Hmm, still better than going home to tell the kids there isn't going to be any supper tonight - or borrowing off a shark. For every moron using credit cards to buy a 42" flatscreen there are ten working poor who use them to plug the gap between the the end of their paycheque and the end of the month. Yes it's predatory, yes there should be better ways (and yes, a lot of people need to take responsibility) but poverty, even in the land of Oprah-tunity, isn't always a result of choices and a person's gonna do what a person's gotta do when they've got hungry mouths to feed.
- AnteChronos, on 10/10/2007, -2/+3"For every moron using credit cards to buy a 42" flatscreen there are ten working poor who use them to plug the gap between the the end of their paycheque and the end of the month."
If you're able to get by just by plugging that gap, then you're making enough money to live on, and it's just offset by a month or so. In that case, it makes more sense to cut back as much as possible for a little while (beans and rice for a few months won't kill you) so that you won't need a stopgap measure anymore.
- AnteChronos, on 10/10/2007, -2/+3"For every moron using credit cards to buy a 42" flatscreen there are ten working poor who use them to plug the gap between the the end of their paycheque and the end of the month."
- drmangrum, on 10/10/2007, -4/+4They try to angle this "article" to make the credit card company the bad guy, which is complete crap in this case. "Subprime" is just a nice word for deadbeat. The company is making sure they can't be burned by some jackass that doesn't pay their bills. The moment the customer shows some financial responsibility, you can bet they'll up the limit and eventually drop the interest rate.
- TriSight, on 10/10/2007, -2/+2So then when a husband and wife divorce and one of them gets raped by the court system and they have to file bankruptcy then they are a deadbeat? When the "bread winner" fo the family loses his/her job and gets behind on certain notes that his/her kids can eat and have what they need to survive, they are a deadbeat?
You can't be so ignorant as to put everyone that is "Subprime" into one category like that.- BradMW, on 10/10/2007, -0/+1Ever hear of a prenup? Get a back bone.
- muppetFuckr, on 10/10/2007, -0/+1Ever hear of internet loser who will never have a chance at getting married?
- TriSight, on 10/10/2007, -2/+2So then when a husband and wife divorce and one of them gets raped by the court system and they have to file bankruptcy then they are a deadbeat? When the "bread winner" fo the family loses his/her job and gets behind on certain notes that his/her kids can eat and have what they need to survive, they are a deadbeat?
- tymme, on 10/10/2007, -1/+7I think Blue Hippo just found their financing partner....
- adamweb, on 10/10/2007, -0/+0"Hey mom can I go on the computer now?"
- shibz, on 10/10/2007, -6/+1Worst. Card. Ever.
- bigteebo, on 10/10/2007, -0/+17There's a $99 fee for processing the other fees.
- dykast, on 10/10/2007, -0/+13The best card you can get to start rebuilding your credit with bad to no credit is a Target(the store card, not the store and visa card) credit card. They will approve just about anyone. No fees, and they start you off with a $100-200 limit and it will keep rising if you are good with your payments.
If you are serious about fixing your credit and/or getting your credit score raised, the best resource on the internet it www.creditboards.com . You can find all the information you will ever need with lots of friendly help. - BinaryFragger, on 10/10/2007, -0/+4from https://www.cfcapply.com/classic1mc/fbd-terms.htm :
"Your available credit after these charges will be $53.00 at Card issuance. Thereafter, your current Credit Limit will appear on your Monthly Billing Statement. The maximum Credit Limit you can obtain over time is $2,000.00."
What's the point of paying all those fees for only $53 in credit?- stafunk, on 10/10/2007, -0/+1Right above that..
"Credit Limit and Credit Availability. Your initial Credit Limit will be $300.00 and you agree to pay the following fees, which will be billed to your Account and will appear on your first monthly Billing Statement: a one-time Account Processing Fee of $99.00, a one-time Program Participation Fee of $89.00, a monthly Account Maintenance Fee of $10.00 and an Annual Fee of $49.00. Your available credit after these charges will be $53.00 at Card issuance. Thereafter, your current Credit Limit will appear on your Monthly Billing Statement. The maximum Credit Limit you can obtain over time is $2,000.00. "
The limit is $300, they put all those fees on the card the first month. Still sucks though.
- stafunk, on 10/10/2007, -0/+1Right above that..
- busbyjon, on 10/10/2007, -4/+0remind me of this;
http://digg.com/television/Upgradeings_Free_ring_ding- MarkOfTheDead, on 10/10/2007, -0/+2Remind you that it's ***** spam?
- SmilingJess, on 10/10/2007, -2/+2I think it is time for people to start living off the grid.
Don't give these guys the satisfaction of holding your life in their hands. - tablatronix, on 10/10/2007, -1/+2from the comments
"Why would ANYONE be so desperate to have a credit card they would need one with fees and terms like this one has?"
hmm, internet porn ?- OnipSemaj, on 10/10/2007, -0/+1Nah, you just use re-fillable Mastercard cards from Wal-Mart
- xlar54, on 10/10/2007, -1/+24I say schools should teach kids personal finance. They will teach useless things like running a football, making a wooden lamp, or playing a trumpet - but not how to respect and manage credit and finance? Blows my mind. Dont blame parents - some parents are worse off than their kids would ever be. If there was anything worthy of teaching in schools, THIS is it. But no - we let kids learn these things the hard way, and then sit and blame them for their ignorance.
- OnipSemaj, on 10/10/2007, -0/+2I agree 100% on teaching children personal finance! My son's 4th grade class is already teaching this, and each student has their own checking account (of course with fake money) and they are learning how to balance it, save money, make investments, and more.
On the other hand, I don't believe things like running a football, making a wooden lamp, or playing a trumpet is useless. Children have an enormous capacity to learn - they don't have to sacrifice one area of learning for the sake of another.- xlar54, on 10/10/2007, -0/+2Fair enough. But in the grand scheme of things, if you cant balance your checkbook and manage credit - being the best NFL star out there means little if you're still broke and bankrupt.
- OnipSemaj, on 10/10/2007, -0/+2I agree 100% on teaching children personal finance! My son's 4th grade class is already teaching this, and each student has their own checking account (of course with fake money) and they are learning how to balance it, save money, make investments, and more.
- joebednarz, on 10/10/2007, -1/+10Here is an interesting calculation... how much would it cost me to raise my credit limit to $2000???
$247 initial processing fees
$425 fees to increase limit (costs $25.00 per $100.00 limit increase, $100 max increase, every 180 days)
$416 in yearly fees (since you can only increase every 6 months, 8.5 years of fees before my new $2000 limit)
$1020 in "maintenance fees" (again 8.5 years of the $10.00/month)
And the grand total?
$2108 (!) -- and that is if you don't charge a dime on this card and pay it off before the interest hits!
Wow!- BECoole, on 10/10/2007, -0/+2That's enough to make you look elsewhere for a credit card, no?
- insonh, on 10/10/2007, -1/+2I haven’t had a credit card in years and the last one I did have was never over 5 grand and it only went to 5 once. I stopped impulse buying a long time ago and the way I look at it now is “If I don’t have the money in the bank to buy it, than I don’t need it”
I try to get this through to my daughter and thank God she never got caught up in the “Free Money Now…Pay Later” mentality that most young adults have drilled into them buy these sum bags called credit card companies.
the biggest problem in the country today is the buy on credit mentality- jefflundberg, on 10/10/2007, -0/+1Buying things on credit isn't irresponsible. Not paying off credit card debt in full every month on time is irresponsible. This means that if you don't have the money in the bank at the time of purchase, you shouldn't be buying it with a credit card.
Credit cards aren't something to be feared... They offer security and convenience. One could argue that it's more financially responsible to purchase everything on credit cards. The bank pays you 1 - 5% (some even higher) on all purchases to give you a free loan up to 30 days. You can put that money in a high-interest savings account to earn another 2-5%. On top of that, all transactions are automatically tracked and categorized, and you build good credit.
The credit card in this article is appalling. I hope nobody is gullible or desperate enough to get it.
- jefflundberg, on 10/10/2007, -0/+1Buying things on credit isn't irresponsible. Not paying off credit card debt in full every month on time is irresponsible. This means that if you don't have the money in the bank at the time of purchase, you shouldn't be buying it with a credit card.
- NSResponder, on 10/10/2007, -2/+15Shouldn't they just call this the "***** you for being poor" card?
-jcr- mhender, on 10/10/2007, -0/+4did you sign your comment?
- Boomh4u3r, on 10/10/2007, -0/+4I believe he did
- BECoole, on 10/10/2007, -1/+0No, it should be called the "f-you for being a stupid, illiterate deadbeat" card.
- mhender, on 10/10/2007, -0/+4did you sign your comment?
- shawnanigans, on 10/10/2007, -1/+2President's Choice Financial baby. I haven't paid a dime in fees for credit card or bank account.
- Boomh4u3r, on 10/10/2007, -0/+6I would probably get denied for that one too...(cry)
- SickMonkey, on 10/10/2007, -0/+3What I can't stand about the credit card industry is that the consumer has almost no rights to personal privacy. The credit bureaus sell our credit history to the highest bidder without our knowledge or consent. This leads to tons of unsolicited credit card offers coming in the mail and a much higher risk of identity theft. You can "opt out", but it's a pain in the ass to do and only lasts for a few years. An "opt in" program would be a more equitable solution, but the banking and credit industries would fight it.
- AnteChronos, on 10/10/2007, -0/+2"The credit bureaus sell our credit history to the highest bidder without our knowledge or consent. ...You can "opt out", but it's a pain in the ass to do and only lasts for a few years."
Actually, it's super-easy and permanent. The one that last a few years is even easier (requiring a simple phone call, IIRC), while the permanent method just requires that you sign a document they send you and mail it back. - radiometric, on 10/10/2007, -0/+1There is also an opt-in program. You opt-in when you opt to use their money.
- radiometric, on 10/10/2007, -0/+1Real story: I went to a casino and while gambling [$5 in nickel slots], I was offered a player's card.
I was real hungry [playing slots while waiting for the rest of my party to arrive for breakfast], and so I succumbed.
$5 free slot play and another card in my wallet meant that the total of eleven bucks [one dollar from the late person] I gambled turned into $7. I payed back the late person and so had an extra $1 in my wallet. All I had to do was sell my personal information to the casino. Although they didn't ask for anything that wasn't available through Google, they did receive my permission to contact me about special offers [I think it said once a month]. I gave them a disconnected phone number and a filtered email address, and a mailing address that I never check because people steal my mail from there occasionally.
- AnteChronos, on 10/10/2007, -0/+2"The credit bureaus sell our credit history to the highest bidder without our knowledge or consent. ...You can "opt out", but it's a pain in the ass to do and only lasts for a few years."
- bsmeteronhigh, on 10/10/2007, -0/+2Our elected officials hold meetings on the hill about Credit Card companies and their practices. Of course the representative from Deleware believes they can do no wrong. But look and see how much money your representative gets from the companies and banks. They are owned by them! Owned. So, do yourself a favor and remind your representative who they work for...you....not the banks.
- OnipSemaj, on 10/10/2007, -0/+0This is precisely why I don't have even one credit card. Yes, I have credit accounts (car, mortgage, etc.) but no actual credit cards. Even very good cards are a complete rip off because of the interest rates and fees. Any of fees of any kind are an egregious offense and prove that banks are in the business of being greedy. If you can't afford it, either don't buy it, or use another source of credit, like an in-store account. Last year I bought a $2000 plasma TV and bought it with an in-store account that had no interest or payments for 12 months. There is NO excuse for consumers to be taking high-interest credit cards to "repair credit". This is a term that the finance community has come up with so they have an excuse for jacking unsuspecting customers.
- esmo, on 10/10/2007, -0/+1There is nothing wrong with having a credit card if you pay it off in full every month. The problems are people not understanding interest rates and thus making minimum payments, or not realizing they'll have to pay off this "loan" later and charging too much. This process leads to exorbitant interest and/or fees when borrowers are unable to pay. Credit cards are perfectly fine for convenience purposes, but you just need to be careful of the pitfalls (for example, withdrawing money with the credit card when you could do so with your checking account card).
- nobogeys217, on 10/10/2007, -1/+2Wow, the fees are higher than the actual credit limit.
You cant be poor to have this card. Poor people couldn't afford it. You'd have to have a good amount of money to pay the fees+interest+payment.
Use a debit card. They are accepted everywhere credit cards are and they wont get you in debt. Unless it is a business credit card, go debit. - jeepish, on 10/10/2007, -0/+3Hey, I like Consumerist as much as anyone, but why not link to the actual article? Their summary doesn't add anything, and really just rips off the juicy details.
http://www.thetaoofmakingmoney.com/2007/08/31/486.html - YoHenYo, on 10/10/2007, -0/+1......no reason to worry about debt in the first place if you pay off your cards in full every month. Credit cards are useful, but even the smartest people tend to not realize that they are not a source of free money.
- terryrpaul, on 10/10/2007, -0/+0I bet Pat Thompson feels stupid.
- ropers, on 10/10/2007, -0/+2Dugg for "Danger Will Robinson" line.
- Gir9000, on 10/10/2007, -0/+1How is this different from most Credit Card Compaines? they all have outrages ways to take advantage of you.
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