Well, i'm new to having credit cards.
I just wanna know what happens. Does this make my credit history good or what?
Thanks,
Cloud
2007-08-03 02:42:14 · 11 answers · asked by Jigglypuff 2 in Business & Finance ➔ Credit
When you pay the credit card company in full after buying those things that helps your credit score. If you are carrying a balance paying on time helps a lot. Keeping your credit card balance (during the month before you pay it all off) to less than 30% of your limit will also help. The buying is important but the score comes from paying.
2007-08-03 02:46:02 · answer #1 · answered by Anonymous · 1⤊ 0⤋
paying your debts on time makes your credit good. Also, your income level. More people have credit cards than cash (money). So the credit score is tied to credit card purchases. If you want to build your credit score. 1 use the card like a check, you get a full month to pay it off. 2 use it for necessity, not convenience, (if you don't have the money, don't buy it). 3 Open a checking and savings account. Checking at one bank, Savings at another. 4 Pay all your utility bills and loan payments on time, late is worse than not paying. (if you don't pay, the company can sue you), if you are late, they will charge you penalties, and give a bad credit report.
2007-08-03 09:59:43 · answer #2 · answered by T C 6 · 0⤊ 0⤋
As long as you stay in good standing with your credit card, paying it off each month or never being late on a payment, yes it will help you on your credit history. It's a good start for needing good credit for future loans you may need.
2007-08-03 09:45:39 · answer #3 · answered by hopetohelpyou 4 · 1⤊ 0⤋
When you use your credit card for buying things,you are given an interest free period of upto fifty days to pay the bill amount by your bank . The bank pays your bill to the shopkeeper immeadiately but at a discount which forms the income to the bank. If you maintain paying your credit card dues in time. your creditworthiness will be rated high by your bank and will announce rewards for the same from time to time.
2007-08-03 10:06:59 · answer #4 · answered by chids 3 · 0⤊ 0⤋
You quickly run it up to the Max, and then spend the rest of your natural life paying back millions of dollars of interest on what was originally a $500 credit limit, slowly becoming depressed and suicidal, and finally dying from slipping on a wet staircase you were walking up after getting your latest credit card bill and seeing with distraction and surprise that the interest rates have gone up 800% because of a late payment on last month's statement...
Strangely...only credit card company CEO's dressed in black with dark sunglasses show up at your funeral...shedding one barely noticeable tear from their nose...
2007-08-03 09:49:42 · answer #5 · answered by Anonymous · 1⤊ 0⤋
You get a bill in the mail at the end of the month, you pay it. If you don't pay the charges in full you get charged interest. As long as you don't go over your credit limit, and you pay the bill every month, your credit will improve!!
2007-08-03 09:48:54 · answer #6 · answered by ~~*Paradise Dreams*~~ 6 · 1⤊ 0⤋
Hi,
Yes, it will go a long way in building your credit score. Check out http://creditcard.creditoverseer.info for some useful info and tips on managing credit cards. Good luck!
2007-08-03 09:46:09 · answer #7 · answered by Anonymous · 1⤊ 0⤋
Buying things with your credit card does not give you good credit. Paying your bills on time is what gives you good credit.
2007-08-03 09:45:35 · answer #8 · answered by swendall 2 · 3⤊ 0⤋
Yes, having your first credit card will help you establish good credit. Just make sure you make your minimum payments on time, and you are on your way to building your good credit. Good luck!
2007-08-03 09:45:40 · answer #9 · answered by purple_lily76 5 · 1⤊ 0⤋
It will improve your credit history as long as you always pay off the full amount monthly and are on time with your payments.
2007-08-03 10:00:32 · answer #10 · answered by soulguy85 6 · 0⤊ 0⤋