I have good credit now...but
If I pay only the minimum amount (in this case for a very long time) will I still have the same good credit as I do now at the end of paying it off ...and assuming I don't mess up my credit on a few other accounts that I have. I do pay on time, every time.
2006-12-25 15:45:55 · 4 answers · asked by Paul 3 in Business & Finance ➔ Credit
Only paying the minimum and never charging again will take over 30 years to pay of your credit cards. You better pay a lot more than the minimum. You better stop opening accounts too! Too many open accounts messes up your credit. One day you will want something that can't be bought on a credit card. You will want a nice car or a big house. All these credit cards being considered as available credit against your potential wages will reduce your chances of getting the big ticket items!
I had to file bankruptcy to get over my addiction to credit cards!
The day I did, the lyric IF THE DEVIL DANCED IN EMPTY POCKETS, HE'D HAVE A BALL IN MINE raced through my head all day! God had a tremendous sense of humor! He was telling me I had messed up BIG TIME!
2006-12-25 16:07:24 · answer #1 · answered by Anonymous · 2⤊ 0⤋
How do you know you have good credit? Do you know your FICO (Fair Issac Company) score? Is it between 760 and 850?
Paying the minimum amt generally means that you're paying an interest rate somewhere around 15%, give or take 5%. Personally I think that kind of rate is outrageous when the best rate you can get for your own cash is around 5% to 6%. What is the purpose of paying only the minimum amt?? Too frequently the answer probably is to sink deeper in debt, even tho
few admit to it initially. I'd recommend you pay off the credit amt early and systematically, and move on.
(This presupposes that you're not talking abt a house morgage.)
2006-12-26 00:11:55 · answer #2 · answered by answerING 6 · 1⤊ 0⤋
Paying the minimum amount will slightly mess up your credit but intrest fees will eventully become very high and it will take u moths or years to pay off a simple purchase...if u don't have the money for it don't buy it...
2006-12-25 23:53:41 · answer #3 · answered by Love always, Kortnei 6 · 2⤊ 0⤋
The answers were very helpfull for me as well. Accept my Thanks for the replies.
2006-12-26 08:01:25 · answer #4 · answered by Anonymous · 1⤊ 0⤋