# need help with credit



## speedman (Nov 3, 2010)

ok im 21 and im bout to get a credit card only reason im getting is so i can build my credit enough to buy a new brute. i wanna know whats the best and fastest way to build my credit, some people tell me to pay it all at once after i buy something with it others say do the payments, all comments will help, thanks much mimb fam


----------



## BigBruteSteve (Sep 19, 2010)

try getting your mom or dad sign on as a co-signer..i didnt have any credit when i bought mine..but wit my moms credit i was approved for 22k from the kawi dealer here in pasadena..im paying it in 2yrs.at 4% intrest, cause after that intrest goes up to 16%


----------



## Polaris425 (Dec 16, 2004)

Agreed. Get a co-signer. StAy away from cards if u can.


----------



## BigBruteSteve (Sep 19, 2010)

its fine to have a card or two..eventually ull wanna buy a truck or house..buy things on credit and pay the bill as soon as it comes in


----------



## gpinjason (Nov 10, 2009)

Cards can get u in trouble! Get someone to cosign, and make ur payments on time and ur credit will build... My dad cosigned for my jeep when I was 19... I paid every payment on time and was able to build credit to buy car for my wife and another truck, then my credit built good enough we bought our house without any hassle... Bank approved us right away.. Just don't go financing stuff u know u cannot afford and it will help u out in the long run


----------



## lilbigtonka (Dec 30, 2008)

credit cards only screw you over for the most part i have one and only one for certain things or times.....keep it in the back of the wallet.....i have awesome credit and im only 23 but that is because i have seen what it does to some people and when they can barely make just the intrest on a payment each month well thats just throwing money out the window and no one wants to do that when you already have a brute that eats paychecks


----------



## Down2Ride (Jan 6, 2011)

To build credit with a card, use it. Make sure to pay the majority if not the total balance off every month. Some financial experts say to not leave more than 5% of the card limit as the balance. Say the card has a $1000 limit. Use the card, but make sure to make payments ON TIME leaving a balance of no more than $50. This should help build credit quickly. Making the payments on time is very important.(making even one late payment will hurt your credit as well as make the interest rate sky high...they will increase it to the maximum...as high as 29.9%). Paying a high balance off with a high interest rate is next to impossible.


----------



## phreebsd (Dec 16, 2004)

credit is a double-edged sword.


----------



## Brute650i (Dec 17, 2008)

I was lucky enough that my parents helped me get started on my credit early (18). I am 22 now and just went and got a $53k loan for some huntin land with a pretty good interest rate solely in my name. I had good collateral that I was buying and also good credit score of 728 

like everyone has said best way with a card is to pay the balance off at end of the month or if they will get a co signer but be sure to pay off the balance before they hit you with the high interest rate. 

Tip: You will never pay it off before the high APR hits you making the minimum payment so pay as much as you can afford early on cause it will decreases the principal faster which means less interest paid to them over the life of the loan.


----------



## Coolwizard (Feb 28, 2009)

phreebsd said:


> credit is a double-edged sword.


Ain't that the truth! Most people need a credit card for situations that may arise but you must be VERY careful with it or it will ruin your life for many years.


----------



## gcfishguy (Nov 21, 2010)

Just a word of caution about paying it right away.....
A young guy here at work did that for several years (worked full time, lived at home....bought stuff online or whatever, always paid it off before they started charging interest).
Anyway, after a few years of doing that he found that it had no effect on his credit at all. 
Since he bought with the card then paid it off right away, it wasn't actually credit...

In order for him to have built up good credit, he would have had to buy stuff, wait until it was billed and they charged him interest on it, THEN pay it off.

YMMV, but doublecheck with the bank before using a credit card to build up credit.


----------



## Coolwizard (Feb 28, 2009)

Any line of credit that you have open (credit cards, loans, etc) WILL affect your credit score. It may be positive, it may be negative, depending on your income and how much debt you have. I doubt paying a card off before interest is aquired will have a negative affect.


----------



## speedman (Nov 3, 2010)

thanks for all the comments, im trying to get one now, idk which to get i thought they were all there same shiz. my dad tryed co signing for me but since he had to return his car cause he got laid off they didnt approve him and my mom dont wanna co sign cuz she buying a car soon, the only way is to get a credit card build a little bit of credit and see if they will approve me then, i got a good job that for sure i can pay more than the the payments is to take off principle, so how should i pay it then? should i do payments on it or just pay it off every month?


----------



## Brute650i (Dec 17, 2008)

The way I am doin my credit card is I pay it off to $0 when a payment is due. On my loan I am paying more than the payment is so it decreases the peinciple faster and later on I can lower my payment. Not sure if this is the best way or not but it seems logical to me. 

Another idea is if they will not let you get a loan but you can get credit cards is save up some cash money to put on the bike when you buy it and put the rest on credit card. use the credit card to finance the rest and just make the payments to the card. Sometimes this is a better idea cause interest rate is sometimes lower for people with low or no credit history.


----------



## Polaris425 (Dec 16, 2004)

if you DO get one, get one with very little limit like $500 Just use it to buy gas then pay it off every month. Also check with your local bank or credit union and see if you can get a card through them... I got one several years ago (a visa) through the credit union I was a member of.


----------



## IBBruin (Feb 10, 2009)

I got a credit card through the bank I have my checking account with. I tied the line of credit (credit card) to my checking account to use as overdraft protection. IF my checking account goes below zero, an automatic draft on my credit card will be deposited to my checking account to cover it. This can be used as a regular credit card to make purchases AND it can keep you from getting zapped with overdraft charges. Some say it's dangerous to do this because of fraud but that is also why I have both accounts with the same bank. They monitor both accounts and call me if they see something unusual like a $500.00 charge for Sushi at Maxine's in San Fransisco.


----------



## ~walker (Dec 27, 2010)

or go to your bank get a small loan 1000 dollars put it in a savings account drawing interest and just make payment from that 1000 dollars then get another loan same amount or a little more whatever and do the same thing eventually you will build a credit history with your bank then you can get what you want . i do not own a credit card or will i ever . thats the cause of my parents divorce so if i cant pay cash i just save up for it .. but if you do decide to get a card be careful and dont abuse it ... your young and dont ruin your credit by buying everyones drinks at the bar or buying a ton of new cloths . good luck ....


----------



## speedman (Nov 3, 2010)

masterofmud said:


> or go to your bank get a small loan 1000 dollars put it in a savings account drawing interest and just make payment from that 1000 dollars then get another loan same amount or a little more whatever and do the same thing eventually you will build a credit history with your bank then you can get what you want . i do not own a credit card or will i ever . thats the cause of my parents divorce so if i cant pay cash i just save up for it .. but if you do decide to get a card be careful and dont abuse it ... your young and dont ruin your credit by buying everyones drinks at the bar or buying a ton of new cloths . good luck ....


 

naw trust me im not a drinker at all only while riding ill drink a beer or two rather smokea cigar, i just want it to get gas and thats it just so it could build my credit so i can get a new bike and i wanna get a new truck soon, but i guess when i get the bill i will just pay it in full and see how it builds. i tried getting a loan but since i have no credit noone wants to work with me at all not even my own bank that ive have for 4 years wants to give me a loan. ibbruin i tried doing what you said but the card they wanted to give me is to put money in my own bank account and then i pay it back didnt make sense to me..


----------



## gcfishguy (Nov 21, 2010)

Coolwizard said:


> I doubt paying a card off before interest is aquired will have a negative affect.


I guess what I meant was that my friend did that for a couple years but when he started looking into buying a house, he found that he had NOT built up any good credit by using the credit card all that time. There were no negative effects, no. It just didn't have the positive effect he had assumed that it would.
It may be different now, but I just wanted to say that if someone wants to establish credit, credit card purchases that are paid off right away may not have the desired effect....would be best to double-check.


----------



## KMKjr (Jan 9, 2009)

Ask for a low limit, pay it off on time and don't abuse it! Use it only for emergencies!! 

Use it for small purchases at first instead of cash, but pay the balance online as soon as you get home. Does not matter how much you use the card or how much you spend, just matters you have it and pay your bills on time.


----------



## speedman (Nov 3, 2010)

Im trying to get one but i got denied by them to lol idk why i get paid pretty good, i just want a new bike lol..


----------



## KMKjr (Jan 9, 2009)

speedman said:


> Im trying to get one but i got denied by them to lol idk why i get paid pretty good, i just want a new bike lol..


Don't keep tryin!!

I've heard (and maybe someone can confirm) that each time you apply for credit and get denined, that is a strike against your credit too?


----------



## speedman (Nov 3, 2010)

:yell:


KMKjr said:


> Don't keep tryin!!
> 
> I've heard (and maybe someone can confirm) that each time you apply for credit and get denined, that is a strike against your credit too?


 
i think i heard about that, naw im not gonna try no more till they send me one through the mail like it always come and try like that if it dont work ima begg my mom to death to co sign for me cause **** this sucks


----------



## 08beast (Sep 10, 2009)

yes it does affect your credit score everytime it is hit. but on that note if your buying a car and the dealer runs ur credit its only suppose to ding it once for each incident. but either way it will have an effect on the score. for example when my wife bought her first car the dealer actually ran her credit through 7 diff banks. whiched **** me off when it happened but only changed her score something like 10 point down tho.

as the other guys are saying don't abuse it and you should be fine. any revolving credit account will be the best help. and i'm not saying you would but if you have to be late on a payment keep it less then 7 day (i think it is) and it won't be reported to the credit bureau, atleast that's what the banks tell me lol

on the idea of using a credit card to build your score up is the same as what my wife did prior to our marriage. the bad news it that it took her 2 yrs for it to build enough.

just to give you an idea of what can be saved on interest if you pay extra. the loan where working on for our land and house is roughly 320k for 30 yrs @ 5.125 if we pay it off in 20 we will save 113K in interest. i know your only lookin at a 7K brute but over 5yrs you could easily save 1K in interest. either way good luck man


----------



## speedman (Nov 3, 2010)

08beast said:


> yes it does affect your credit score everytime it is hit. but on that note if your buying a car and the dealer runs ur credit its only suppose to ding it once for each incident. but either way it will have an effect on the score. for example when my wife bought her first car the dealer actually ran her credit through 7 diff banks. whiched **** me off when it happened but only changed her score something like 10 point down tho.
> 
> as the other guys are saying don't abuse it and you should be fine. any revolving credit account will be the best help. and i'm not saying you would but if you have to be late on a payment keep it less then 7 day (i think it is) and it won't be reported to the credit bureau, atleast that's what the banks tell me lol
> 
> ...


 

thanks for the info, naw im for sure not going to abuse it im good with my money, yea i know i have to give a little more than what the payment is so it brings down intrest and principle, my cousin said the best way to build credit is pay you payments but not all at once like in two payments


----------



## 08beast (Sep 10, 2009)

^ sounds like you've been well informed bud. just hang in there and give it a lil time it'll all work out for the best. good luck


----------



## seth5208 (Mar 20, 2010)

hey speedman apply for a capital one credit card they have cards for people with little or no credit it's where my gf got one and she had zero credit.. i've had credit since i was 18 actually before i've had a truck payment since i was 16 i was just the cosigner on the loan in my dads name so it built his credit and mine just a lil bit at the timebut try capital one and the introductory rate is 0% for one year then it goes up to like 15% after that


----------



## 03maxpower (Jun 6, 2010)

get an orchard bank credit card it is for building credit and pay it off every month when the bill comes i had really good credit and messed it up when i had my daughter then got one of these credit cards and built it back up


----------



## speedman (Nov 3, 2010)

03maxpower said:


> get an orchard bank credit card it is for building credit and pay it off every month when the bill comes i had really good credit and messed it up when i had my daughter then got one of these credit cards and built it back up


 
yea i might try them cause they sent me 2 emails already and no one else has sent me anything.


----------



## KMKjr (Jan 9, 2009)

speedman said:


> yea i might try them cause they sent me 2 emails already and no one else has sent me anything.


Credit card companies will not contact you by email. 

Watch for scammers!!!


----------



## BleednGreen68 (Apr 19, 2010)

Credit cards are ok, just be careful. They will make you want to spend more. Even if you get approved for like 2 or 5k for a card, you can set the limit to whatever you want. Get like a $200 or $500 limit so you dont ring up a big bill. Making payments on a small loan or somethin is what gets you your credit built up. Maybe get a small loan first then when you get that paid get a bigger one. Sucks with credit is that you got to have it today in this world to do anything. Not paying your payments gets you bad credit and not having enough credit gets you bad credit. Kind of and endless cycle. I started out gettin a small loan with my dad cosigning. I paid that loan off and after that I've been able to get loans. I pay all my cards and loans on time, for the most part. Bein late a few times doesnt really hurt it. Stuff happens and you cant help it.


----------

