The cabelas card by capital one is a good place to start. Build points towards purchases.

The only thing credit is good for, is more debt. Debt = payments. I prefer my money going into my account rather than a bankers.

Credit cards are nice if you need to reserve a motel room.

And when you check into the motel/hotel, they want a credit card on file. Even if you are paying cash.

Try rent a car at an airport without a credit card.

https://www.thesimpledollar.com/credit/credit-report/three-credit-mistakes-to-avoid-at-all-costs/

One thing I forgot to mention and not sure if it was mentioned....if you keep a balance make sure it is no more than 10% of the limit and or total available debt each month. The lower the debt ratio the better it looks.

People who dont like credit cards dont have the self discipline to pay the bill IN FULL every month. If you cant pay IN FULL dont buy with a credit card. The interest is ridiculous and is a trap. Let the undisciplined make the banks profit while you just use their services.

I don't disagree that you have to be careful about what you acquire credit for. Borrow for what you need not what you want. A young person with the means to buy a home shouldn't let a mortgage discourage them. Money is dirt cheap these years and the growth in equity in a home almost 100% of the time is undeniable. Borrow if you need to, to buy a vehicle as a means of transportation to get to work. Those are necessities. If you need to borrow money for a huge TV, 4 wheeler, vacation then you can't afford those things yet. Credit cards are a no brainer......paying them off monthly is a must. Only buy something with a credit card if you could otherwise buy it cash if you wanted to.

your military now son, USAA all the way!

then let them finance your eventual home purchase OR even vehicle purchases.

I'm disappointed your CO or recruiter hasn't given you a USAA brochure. You should already have their drivers insurance IMO.

https://www.usaa.com/inet/wc/banking_credit_cards_main?wa_ref=pub_global_products_bank_cc

I had different credit cards that I only used for a major purchase, like washer, dryer, then paid in full each month. Back in the 90's I got a Cabela's card and told my wife to spend money on it because I would get free hunting stuff. The first bill came for like $1500 and her response was you told me to spend on it. Last decade or so we never used much cash, always about $1500 a month on cards, almost all our purchases, getting 3% back on Bank America online purchases, 4% back on gas with PNC bank card, still 1% on Cabela's. Every one has been paid in full each month but I probably could not get a car loan, have had a freeze on my credit reporting agency's for 15 years after some unauthorized card use. Has not been a problem not using credit, even for the truck I bought 4 years old, paid cash, not that hard to save up the money if you never pay interest. Paid my house off in 12 years, split off a lake lot and did that.

That's the trap with the credit cards. For every person that pays it off every month, there's 10 more trying to pay off last year's Christmas.


CC companies make nearly as much off transaction fees as they do off interest.

With manual underwriting, there is no need for credit to get a mortgage.

Mine is used sparingly. But it used at least once a month, and paid off every month. I usually put a normal charge that I'm going to have pay every month anyway. Netflix, Cell phone, gym membership, or even car insurance. That way I already am putting the money away once a month for those bills, I just now make the check out to my CC company.

My CC has no annual fees and I get cash back on certain amounts. My interest rate is pretty high, but I pay it off every month so I don't have to worry about paying interest rates.

Yes,
Otherwise it will work against you.

perhaps.

Average person falls in this trap though-averga CC debt is now $5700.

I am debt free.

Studies show a person does spend more when paying with a credit card though

https://www.valuepenguin.com/average-credit-card-debt#:~:text=The%20mean%20credit%20card%20debt,by%20the%20U.S.%20Federal%20Reserve.

Wolfie, ir you want to be wealthy, do what wealthy people do. If you want to be skinny, do what skinny people do. The largest study of millionaires ever conducted in America revealed that the vast majority are self-made (didnt inherit their money) and they didnt buld their wealth borrowing money or using credit cards....just the opposite in fact. Look up the study conducted by Chris Hogan and Dave Ramsey....

Wolfie, the whole trick to these CC things is the habit of paying it OFF IN FULL each month!!!! Never pay a nickel in interest, and do NOT borrow their money by buying crap you don't need with them. If you use them wisely you can actually make money using them. I'm speaking of the "points" they offer. My Bride, before I retired, used to chew me out for not using our CC for my purchases. I always had loot in my wallet from customers stopping to pay off their taxidermy bills. Since retirement I have learned to use the darn things for even the coffee and snack type stops at the store.......those points build up and she uses them to buy stuff, saving us money as she does it. She is way smarter than me. If you can't stop yourself from charging crap on impulse then DO NOT GET A CREDIT CARD. It really is that simple.

I have yet to hear someone making money with these rewards.... most people are spending more than they normally would on them. The return is small it just doesn't make financial sense when you get better returns on other investments.

I like mine.

Theyll take a debit card or prepaid card just the same now. Credit card not required.