just opened a macys card and got a question?

Question

Hi, I turned 18 on September 16th and opened a student credit card issued by citi, and then the other day I went shopping, and saw with a macys card u get good discounts...was that a good idea on my part to open a macys card?

Im a very disciplined card holder, and leave my cards home so I dont get tempted, but I heard it is bad for ur credit score to have 2 accounts open.

Any truth?

Answer 1

Depending on your income,it should not matter that you have two or even ten revolving credit accounts open.You just want to try and keep the amount of credit in use(balance) low.Always pay it off IN FULL each month.You do not want to pay interest,and you certainly don't want to pay interest compounded ontop of interest.Ask your father or uncle about this one.

Answer 2

Sounds as if you don't have a job. In that case, all credit cards are dangerous. No matter how disciplined you are if you are using them, you are building a loan and don't have a way to pay them off. It's pretty logical.

You have identified a fact though. When I see a discount offered for opening up a new credit card at a place I'm about to make a sizable purchase I'll do it and pay the sucker off immediately and close the account. Credit cards are really dangerous and kids get hooked on the myth that they can handle them and the industry is more than happy to steer you along that path with the idea that they are somehow glamorous instruments. They aren't.

The credit card industry paid off congress to get a new bankruptcy law established last year which makes it very hard to file bankruptcy now. They saw that a lot of their customers were using their easy-to-obtain credit cards, running up huge balances and then filing bankruptcy. The first part of that equation is unchanged. It's just very hard to file bankruptcy now.

That should be and probably is the farthest thing from your mind. You probably won't listen to me but don't ever "roll" a balance. Pay off the card every month or else you are "living on credit" and you are paying all the salaries of all the clerks that work at your bank for every month that you keep that balance rolling along.

Answer 3

It is not necessarily bad to have two credit card accounts open. What would create a negative affect on your credit is to exceed 1/3 of your credit limit on either. Your credit score is increased based on the way you use your card (you use it, not abuse it) and the ability to control your spending and the age of your accounts. Being disciplined is the key word. By the time you are ready to purchase a house or car, you will have a strong credit history and will be entitled to the best interest rates - saving your thousands of dollars a year. You go girl.

Use www.annualcreditreport.com to get a free copy of your credit report within the next six months. Citi may report your account as if the entire balance has been used, thus lowering your score. If they do, call Citi and request that your correct balance owed and correct high limit is reflected in your report.

For more information on how to handle credit and maintain a good credit score go to www.MoneyExposed.com. -

Answer 4

No, it isn't bad to have two accounts active at different stores, or credit card companies. The problem most young people run into is that they don't pay the balance off at the end of the month. By only making the minimum payment, the credit card company makes money on the unpaid balance, and that $45 skirt or pair of slacks ends up costing you $60 when you pay the finance charge and interest on the unpaid balance. Having more than one card at your age is just temptation to use it...... kinda like "free money". You can pay off one card every month and save yourself the finance charges..... or........make the minimum payment on several cards, and end up deep in credit card debt... along with your student loans. Why dig yourself that kind of hole???

Answer 5

right it is an engaging undertaking I do. I on no account activate a card! every time i'm getting a card i take advantage of it on the keep to be sure what's going to take place, and not something occurs. The fee is going by way of. Activation merely supplies them your place telephone variety. merely enable the cardboard take a seat. I actual have keep enjoying cards in all places. as quickly as a year while i seem at my credit checklist I close them. I sometimes have 2 or maybe 3 jcpenny enjoying cards. I merely choose to get the decrease fee for establishing the account. i do no longer fee my credit status. i'm conscious that i'm messing with 5% of my score. yet so what. I on no account carry a stability and that i keep with the mark downs. as quickly as I utilized loan I defined that i like to open keep enjoying cards - they laughed and reported "so does my spouse". I had an tremendously much applicable score. you should close the account in case you decide on it closed. /

Answer 6

It's not bad to have 2 cards. It's only bad if you carry high balances and are late making payments. By being disciplined and keeping both active, you are creating a good credit history.

Answer 7

i dont have a card yet, but from what i heard from my parents, u HAVE to use the card sometime. if u dont and suddenly does, they might cancel it or freez it because they think its stolen. change ur cards every months.(one month use citi, one month use macy's) the more u use it the better the credit( u have pay it all off that is). that's all i know. hope it answers ur question

Answer 8

The only way it would work is if you bought something with the credit discount they give you for your first purchase then pay it off in full . Then if you do keep using it pay the balance off quickly and always on time..you need to show that you can pay your bills on time and dont have too much debt, something i could not teach my daughter!!

Answer 9

No. If you keep the payments up it is good for your credit. However if you are looking for a loan, your maximum credit limit will be one of your liabilities even if your card is up to date.

Answer 10

it is only bad, if you don't pay the cards off