MONEY 09/20/2018 02:14 pm ET Don't make the same mistake I did ― start building credit while you're in school. By Casey Bond As a college student, I didn’t have a credit card. I considered myself to be pretty responsible with money ― I worked part-time for a financial planner, after all ― and a credit card seemed like an unnecessary temptation to overspend. Sure, I racked up more overdraft fees in my checking account than I care to admit. But hey, at least I was debt-free. So you can imagine my surprise when, at the age of 22, I decided I was ready for my very first real adult credit card, yet couldn’t get approved for one. It turns out you need to use credit to get credit ― something no one ever bothered to tell me. In order to avoid this frustrating Catch-22, you should start using credit as early as possible. And considering that student credit cards can have some pretty great perks, college is the perfect time to get started. … [Read more...] about 5 Key Things To Look For When Choosing Your First Student Credit Card
Best points credit card with no annual fee
When JPMorgan Chase (JPM) introduced its Chase Sapphire Reserve credit card last year, it quickly climbed to the top of the elite credit-card heap because of its generous sign-up bonus. The card offers 100,000 rewards points, which translates into a travel reward valued at $1,500 for people who spend $4,000 on the card within the first three months. But starting on January 12, Chase is slashing the reward bonus to 50,000 points, which means consumers who have been sitting on the fence may want to apply before January 11, said NerdWallet credit and banking expert Sean McQuay. “It’s an eye-popping, jaw-dropping sign-up bonus,” McQuay said. “That card went from not existing to being the most popular premium credit card on the market overnight.” While Chase succeeded in propelling its card into the wallets of thousands of well-heeled consumers, that popularity has come with a downside for the bank: JPMorgan Chase CEO Jamie Dimon said last … [Read more...] about A “jaw-dropping” credit card bonus is about to expire
You don’t need to be “The Points Guy” to make hundreds -- even thousands -- of dollars a year with credit card rewards programs. But you do need to be a person who pays off his or her credit card balance every month. “If you are not paying off your balance every month, rewards should not be your thing. You should be looking for the lowest-rate card you can find until you pay off that debt,” said Bill Hardekopf, president of LowCards.com. “But if you pay your balance in full every month, you have a wealth of choices that can be surprisingly lucrative.” In an effort to win wallet-share in an increasingly competitive market, credit card companies are providing some of the best deals in history to those willing to spend on the right rewards card. These days, offers range from bonuses worth as much as $600 in cash to deals that provide free museum visits and access to concerts just for cardholders. However, as quickly becomes obvious to anyone … [Read more...] about How to make a bundle with credit cards
By Robert Harrow/ValuePenguin The hottest news in credit cards in 2017 was the stampede of consumers applying for the Chase Sapphire Reserve card, many of them drawn only by its 100,000-point initial bonus. Eventually, that extraordinary incentive was reduced by half, and the hype subsided. Yet the question the Chase card raises remains: Is it a smart financial move to apply for a card simply to get some extra points? The answer, like many others in the realm of credit cards, isn't a straightforward "yes" or "no." The idea of applying for a credit card based solely on its bonus isn't new. Credit card churners have been doing it for years. Churners are individuals who frequently open and close reward credit cards to collect miles, points and cash back from welcome offers. In today's market, this is a highly profitable hobby. Reward credit cards are outdoing one another to compete for the business of everyday consumers. Churners are simply taking money that's sitting on the table. … [Read more...] about Should you get a credit card just for the bonus?
By Janna Herron/ValuePenguin It seems like common sense: Closing a credit card reduces the possibility of more debt, so that should help your credit score, right? Not so fast. What will likely happen is your score will go down. How much it drops depends on the card you close and its limit. When you cancel a card, you eliminate some of the available credit that you once had. That changes your utilization rate, or the percentage of available credit that you use. That's an important factor in calculating your credit score, and a lower rate—ideally below 30 percent—is better. Utilization rate, illustrated Say, you have three cards, each with a $1,000 limit. Card A has a $500 balance, Card B has a $300 balance, and Card C has no balance. Together, the utilization rate for the cards is 27 percent ($800 in total balances divided by $3,000 in combined credit limits). But if you close Card C because you don't use it anymore, the combined utilization rate of the two … [Read more...] about You should almost never close a credit card–here’s why