Credit Card

[Triz]

Hands up if you have a Credit Card?

Personally I've had a CC since I was 18, I use it for ALL my online purchases and other various transactions.

The reason I ask is because there seems to be a stigma around credit cards among the younger generation these days.. or at least in my experience.
I have a younger sister who is 21 now, has been debating about getting a CC for the last few years, despite me telling her that she should for the best part of a year, she never did.. Until recently anyway, she claims she was always scared before, scared about getting into debt etc...

I tried to explain that you just need to use it like a debit card, don't spend what you don't have and you'll be fine. A CC is best to have for emergency situations, not to mention that it's safer to use a CC online since if anything goes wrong with the purchase, then it's easier to get a refund since it's not money that has been exchanged, it's credit. Plus it's essential if you're travelling abroad in case of an emergency.

I personally have it set to pay off the full balance at the end of each month, I've never paid interest on any of my CC's, but it's nice to have the added security that should I not have enough then I can still afford to buy things, or if my boiler decides to break down, then I can afford to get it fixed etc..

Are you youngsters on here scared of CC's or is my sister just extremely uneducated? lol

[tbl]

I got a credit card when I moved away for college and I'm really glad I did. When I moved out of campus housing a lot of the bills needed to be put into my name and the deposit was based on credit vs a flat fee.

lol Perhaps your sister was just worried she'd spend everything on the credit card before paying any of it off? When I first got mine I was definitely tempted to spend like crazy because my parents couldn't see what I was spending!

[Triz]

I got a credit card when I moved away for college and I'm really glad I did. When I moved out of campus housing a lot of the bills needed to be put into my name and the deposit was based on credit vs a flat fee.

lol Perhaps your sister was just worried she'd spend everything on the credit card before paying any of it off? When I first got mine I was definitely tempted to spend like crazy because my parents couldn't see what I was spending!

Having a CC also helps with you credit score, which will help you in future should you want to get out a loan etc..

Well my sister asked me if something like 26% APR was good, and I told her not even in the slightest, but then I asked her what she'll be using the CC for, and she said she intends to just continue as she is now, just using a CC to up her credit score and for emergencies.. So I told her that if you intend to pay off your CC every month then it doesn't really matter if your APR is 1000%, because you won't be paying any interest...

I don't even know what my APR% is on my CC, I've had it since I was 18 (9 years now) and they've not made a penny from me for it... I do have a paid rewards Credit Card, but since I pay a yearly fee for my Current account, I get the CC annual fee refunded. I mean I don't see why they don't cut the middle man out and just not charge me, since they refund me straight away, but ho hey,

[Zak]

Yes I've had one for years. My philosophy is "don't spend what you don't have" - that has led to zero credit card issues in the past decade.

[Samantha]

I got a credit card in 2018 and it's been a god send really! I've never paid interest and I don't intend to, I also get points towards a gift card and I've had 2 so far (not much, but it's better than nothing). I didn't really have a reason for getting one, but I'm glad I have one.

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[FlyingJesus]

Never had one but it's something I might look into more in the coming financial year, just for building up credit score. I'm extra careful with spending and the last time I went anywhere near zero was in like 2010 so wouldn't be worried about any debts or anything

[scottish]

Nope never had one.

[Empired]

Yeah I've got one but like you guys have already said, I use it for a credit score only and pay it off in full at the end of each month with a standing order. Don't use it all that often but it's for my big purchases, online stuff, few other bits n bobs

[Metric1]

I have one I use for business expenses, it's got a low limit so I max it out on a weekly basis, sometimes even twice a week. It's bank issued so I can transfer money from my bank account to the card instantly so my payment history looks amazing and I earn points towards travel that I never use lol

[Triz]

I have one I use for business expenses, it's got a low limit so I max it out on a weekly basis, sometimes even twice a week. It's bank issued so I can transfer money from my bank account to the card instantly so my payment history looks amazing and I earn points towards travel that I never use lol

Do they not up your credit limit automatically?
I think when I got out my CC when I was 18, it had limit of about £1200, I've never asked for it to be upped and now it's at about £6.5k last I looked...

I know asking for it to be upped lowers your credit score, but when they do it for you, then it doesn't... I'm not really sure why they up it considering apart from holidays, I never come close to using almost 7k and even when I pay for holidays on my CC. I still pay it off at the end of the month lol.