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Score one for the financially irresponsible!

Old 08-09-19, 06:26 PM
  #26  
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Re: Score one for the financially irresponsible!

Originally Posted by cultshock View Post


Yeah, we have Discover, but many places don't take it (I don't have one myself). I don't know if it's still true now, but it seemed like in the US people had to do it in steps, start with a store credit card, then a "lower tier" card like Discover and when they finally built up enough credit they could apply for a Visa or Mastercard. Is that the case, or am I mistaken? On the other hand, my first card was a Visa, I never had to bother with store cards or Discover.
I was a college student which is like waving a sign that says "fresh meat" in front of a bear (that can read... so sue me my analogies suck), so I didn't have a problem getting a Mastercard or Visa, but when I was young my dad started me off with a store card. I'm unsure if that's still the way to go to start off credit, but it does seem like the smaller cards usually give you better perks to entice you to go with them, at least early.

Honestly, the only reason I had an amex then a discover card was because that's the only card Costco used to take... now they take visa.
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Old 08-09-19, 08:08 PM
  #27  
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Re: Score one for the financially irresponsible!

Originally Posted by fujishig View Post
I was a college student which is like waving a sign that says "fresh meat" in front of a bear (that can read... so sue me my analogies suck), so I didn't have a problem getting a Mastercard or Visa, but when I was young my dad started me off with a store card. I'm unsure if that's still the way to go to start off credit, but it does seem like the smaller cards usually give you better perks to entice you to go with them, at least early.

Honestly, the only reason I had an amex then a discover card was because that's the only card Costco used to take... now they take visa.
I was under the impression that when college students apply for a credit card, their parents have to cosign and be responsible if the student can't pay (as long as the parent has good credit), is that the case?

The only store card I ever had was a Macys card, just because I could get better deals there if I used that to pay. And yeah, it was a PITA when Costco only accepted Amex, I always had to use my debit card instead. I was happy when they started taking Visa.

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Old 08-11-19, 09:40 AM
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Re: Score one for the financially irresponsible!

Originally Posted by cultshock View Post
I was under the impression that when college students apply for a credit card, their parents have to cosign and be responsible if the student can't pay (as long as the parent has good credit), is that the case?

The only store card I ever had was a Macys card, just because I could get better deals there if I used that to pay. And yeah, it was a PITA when Costco only accepted Amex, I always had to use my debit card instead. I was happy when they started taking Visa.
Nope. At least when I went to school they gave credit cards away like candy, probably on the assumption that you'll be loyal to the card you start with (not to mention the fact that your credit rating depends on longevity) and you'll maybe make something out of yourself when you graduate. There's a reason that a lot of students come out of college with credit card debt that their parents aren't responsible for (or even know about).
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Old 08-11-19, 03:48 PM
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Re: Score one for the financially irresponsible!

^ same during my college days. They were giving them out like candy, with huge incentives as well. Back in my younger and more stupid days, I actually fell for a couple of those, because of the incentives. God, I look back now and kick myself for my utter stupidity in kowtowing to those credit card bastards!
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Old 08-11-19, 04:55 PM
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Re: Score one for the financially irresponsible!

My student days were from 1983-1984 and nobody would give you a bank card back then unless you were 21 or had a cosigner. I did, however, have a number of store charge cards--Macy's, the Jones Store, and Dillard's--from the age of 19 or so.
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Old 08-12-19, 11:37 AM
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Re: Score one for the financially irresponsible!

Originally Posted by cultshock View Post
Yeah, retailer based cards seem less common up here. The only retailer one I have is a Canadian Tire Mastercard, my other cards are through Scotiabank (Scene card that gives me points to use at the movies, through a deal between Scotiabank and Cineplex Odeon) and CIBC (no rewards). Debit cards seem more popular in Canada for many folks (I rarely use mine though).



Yeah, we have Discover, but many places don't take it (I don't have one myself). I don't know if it's still true now, but it seemed like in the US people had to do it in steps, start with a store credit card, then a "lower tier" card like Discover and when they finally built up enough credit they could apply for a Visa or Mastercard. Is that the case, or am I mistaken? On the other hand, my first card was a Visa, I never had to bother with store cards or Discover.
I did the same college route as those above me. They would literally have stations set up with CC representatives looking to get you signed up. I did not need a parent to cosign.
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Old 08-12-19, 06:24 PM
  #32  
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Re: Score one for the financially irresponsible!

Wow, pretty sleazy, let's try to get 18 year olds hooked on credit card debt right from the start, when they have no real life experience of financial responsibility, are on their own for the first time, and need money. Wait, it's the credit card companies, of course they would do something sleazy like that, they need to make their money anyway they can, and the fuckers smell blood in the water when kids start college. I tell you, when my kids are teens we are going to have a serious talk about stuff like this. Too bad schools don't teach life skills like that, but I'm up to the challenge.
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Old 08-12-19, 09:31 PM
  #33  
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Re: Score one for the financially irresponsible!

I guess it is somewhat sleazy, for the reasons you state.

My first card was a Sears card that had a limit of $300. It was perfect, at the time, as I needed to buy a leather jacket for riding my motorcycle to school.

It's probably one of the few times I carried a balance, another being when I quit my job and built up some CC debt, but juggled it to different cards, so that it was always interest free. As soon as I started working again, I paid them off, and haven't carried a balance, since.
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Old 08-12-19, 09:38 PM
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Re: Score one for the financially irresponsible!

The most important high-school course for all of those 4.5 GPA "smart" students? The one that's NOT taught now, but was taught in their grandparents' day: The Social Problems / Mental hygiene class, where you learned about things like how to be financially, morally, and socially responsible young citizens. And, of course, that course should not have the rampant grade-inflation which pumps out 4.5 GPA students who can't change a tire, boil water, or write a personal check, but are experts on the intricacies of smartphone use.

Political correctness, be damned, such a course, or at least a financial management course should be required in order to graduate -- for all students, including and especially the illegals.
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Old 08-12-19, 10:04 PM
  #35  
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Re: Score one for the financially irresponsible!

The way kids are pushed into student loan debt is worse than credit cards. In 1984 my loan was for tuition and books only, and the check wasn't made out to me--it was made out to the school. Student loan debt is with you till you die.
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Old 08-13-19, 10:42 AM
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Re: Score one for the financially irresponsible!

Originally Posted by zyzzle View Post
The most important high-school course for all of those 4.5 GPA "smart" students? The one that's NOT taught now, but was taught in their grandparents' day: The Social Problems / Mental hygiene class, where you learned about things like how to be financially, morally, and socially responsible young citizens. And, of course, that course should not have the rampant grade-inflation which pumps out 4.5 GPA students who can't change a tire, boil water, or write a personal check, but are experts on the intricacies of smartphone use.

Political correctness, be damned, such a course, or at least a financial management course should be required in order to graduate -- for all students, including and especially the illegals.
For once (and don't take this the wrong way) I agree with you (well, except for "the illegals" part you put at the end there). There needs to be some kind of mandatory instruction on at the very least finances: interest rates, how they can snowball, and in complete opposition to that, how putting away for retirement early can pay dividends. If anything if you need an excuse for educational purposes, it's a good way to apply math in real life situations.

To Vibiana's point, you'd think that for the amount of loans people need to get to go to college these days, they would figure out approximately how much they would be making once they graduate and what their loan repayments would be, but I've heard anecdotally that it's hard to even get your estimated monthly payments from them beforehand. And because of political shenanigans, the loan is unforgivable whether you get a useful degree or not. These are 17 year olds and their often under educated parents making this decision with the pressure on them that everyone has to go to college to succeed, and with the general stigma that community colleges are not the way to go (and for prereqs, they absolutely save you a ton of money).

These loans cover living costs so it's tempting to just take more out and live a less frugally. Couple that with credit cards and you have a huge, huge problem.
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Old 08-14-19, 09:32 AM
  #37  
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Re: Score one for the financially irresponsible!

Originally Posted by spainlinx0 View Post
I did the same college route as those above me. They would literally have stations set up with CC representatives looking to get you signed up. I did not need a parent to cosign.
I remember a few credit card booths on campus in the early '90s. I cosigned with my mom on my first credit card just after college.
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Old 08-14-19, 10:12 AM
  #38  
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Re: Score one for the financially irresponsible!

Originally Posted by The Questyen View Post
I love my Chase credit card. I use it for every purchase I make (instead of using my debit card) pay it off each month and rack up $100 worth of rewards every month or two.
Im about to join the club. Just waiting till August in hopes they will bump the signup bonus (which I doubt).

Ive been using a cash back card (not chase) for most purchases and bills. Pretty clear I could multiply the value by a min factor of 3 using a premium points card (since I travel so much).
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Old 08-15-19, 08:45 AM
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Re: Score one for the financially irresponsible!

Originally Posted by The Questyen View Post
I love my Chase credit card. I use it for every purchase I make (instead of using my debit card) pay it off each month and rack up $100 worth of rewards every month or two.
Which card do you use?
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Old 08-15-19, 09:23 AM
  #40  
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Re: Score one for the financially irresponsible!

I just signed up for the Chase Sapphire Reserve. $450 a year, but you can get $300 in travel reimbursement a year, which I'll easily use. It has a lot of nice perks for travel.
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Old 08-15-19, 09:41 AM
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Re: Score one for the financially irresponsible!

Originally Posted by spainlinx0 View Post
I just signed up for the Chase Sapphire Reserve. $450 a year, but you can get $300 in travel reimbursement a year, which I'll easily use. It has a lot of nice perks for travel.
That's what I use, too. Once you've met your spending requirement for the bonus, match it with Chase Freedom Unlimited if they're still running their 3% bonus (usually, it earns only 1.5%). I put all my travel and dining on the Reserve, and regular spending on the Freedom card. You can get points instead of cash for the freedom card and move them to the Sapphire Reserve to get the 1.5 multiplier when using your points. There's no fee for the card, so it's an easy way to earn 3% (actually 4.5% with the muliplier). I put everything on our cards and pay them off every month, and it really adds up.
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Old 08-15-19, 10:34 AM
  #42  
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Re: Score one for the financially irresponsible!

I have the Chase Freedom as well, and once I hit this bonus, I'll continue using that for the quarterly 5% bonuses. I wish I had planned better. I had an expensive car repair right before I signed up for the Reserve.
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Old 08-15-19, 10:45 AM
  #43  
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Re: Score one for the financially irresponsible!

Originally Posted by Vibiana View Post
The way kids are pushed into student loan debt is worse than credit cards. In 1984 my loan was for tuition and books only, and the check wasn't made out to me--it was made out to the school. Student loan debt is with you till you die.
Unless you pay it off. I paid mine off in about 30 months, because my degree led to a paying job.

I know a lot of kids come out of college with tens of thousands in debt, having borrowed somene else's money to get a "hobby-based" degree in music or gender studies or any degree ending in "..of Arts", so those folks WILL be saddled with the consequences of that decision for years to come. I took a different path, I went into STEM (before it was called that), I only borrowed the minimum amount I needed to tuition/books beyond the assorted part-time jobs I worked while in school, and once I graduated it was easy to find a gig in my career field that paid me a decent salary. Those 4 years were a time to invest in myself rather than to blow money I couldn't afford to borrow on a degree that would get me no return... mine certainly isn't the model ALL students should follow, but comparing my results to the scads of unemployed future baristas that schools like Indiana University (here in Bloomington) keep cranking out, my model seems a little better.

But now, it seems that all I needed was to move to Canada and get a Chase card. Who knew?!?
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Old 08-15-19, 10:59 AM
  #44  
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Re: Score one for the financially irresponsible!

Originally Posted by spainlinx0 View Post
I have the Chase Freedom as well, and once I hit this bonus, I'll continue using that for the quarterly 5% bonuses. I wish I had planned better. I had an expensive car repair right before I signed up for the Reserve.
Freedom Unlimited is a different card from the one with 5% bonuses. Its 3% on everything for the first 20k you spend, with no higher 5% categories.
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Old 08-15-19, 11:22 AM
  #45  
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Re: Score one for the financially irresponsible!

Originally Posted by Dan View Post
Yeah maybe I'm way off base, but my impression was always that Canadians aren't really "into" credit cards the way Americans are. Everyone I know would get their cards through the big banks and credit unions, not so much the retailer-based cards (other that the ones tied to the big banks, of course.) If Chase was hawking these cards via Marriott and Amazon, I could see the latter being somewhat popular, but not the former.


I'm one of those with a Chase Marriott, mine is the Premier Plus card.

For the longest time - I'm talking maybe a decade (if the card has even been around that long) this was the only CC I carried. I did a shit-ton of business travel until just a couple of years ago, and now that I'm nearing retirement my personal travel has really stepped up. The card has an annual fee, but I get a free Marriott night that is worth significantly more than the $75-85 fee, and since I'll be staying at a Marriott at least once per year having to only pay that $75-85 for the comped room is a bargain. The card also helped me earn elite tier status, the cumulative effect of which is that I qualified for Lifetime Titanium this past December. I'm only 56 and I'll be getting upgrades and comps and perks forever, or until they change the program, or until Marriott goes away. The card also helped me bankroll nearly 2M Marriott points, which I used for a free week in London in '16 and another week coming up this October. The card has paid me to stay for free at Marriotts (and now Westins) worldwide. Absolutely no complaints here.

Last year I added a 2nd card to my wallet - Capital One Venture. I did that primarily to get access to their free Global Entry perk... I paid $100 to enroll in GE, Capital One credited that amount back to me. Can use it once every 4-5 years, and GE is good for 5 so it's a perpetual benefit. GE includes TSA Precheck, which I already get for free through my employer but since I'm eyeing early retirement it's nice to know that I can extend that beyond my last employment date due to Capital One covering it. The annual fee is $95, so for year one the GE perk already covers that. For years 2-4, as long as I run about $5K per year through the card I'll more than recover the annual fee through their points / cashback program. Earns 2 points per dollar and could redeem the points at 1000 = $10 for things like Amazon and Starbucks GCs, so would only need to run $4,750 through the card to cover the fee. They recently raised the redemption to 1250 = $10, so $6K per year is the approximate break-even. I do $2-3K/month on my CC so that won't be a problem.

Both cards are FOREX free. Most of my spending goes on the Venture card for the indirect 1.6% cash-back, although all of my Marriott-specific spending goes on the Chase card (6 Marriots points per dollar, works out to about 4.8% cash back). I realize there are better-paying cards out there, but for how I use them these are just fine for me.
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Old 08-16-19, 04:35 PM
  #46  
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Re: Score one for the financially irresponsible!

Originally Posted by DeanoBKN View Post
Which card do you use?
Freedom Unlimited card


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