ESP47
Well-Known Member
I'm no credit card expert but my own system has worked perfectly for me.
I have one credit card that I pay off every month. Once in a while I may forget to pay it off for a few days so I might accumulate $3 of interest a year. After a couple years of buying food/gas etc with it, I had a 785 credit score. I bought a house and it dropped my credit way down. A year or so later I was back up to 700 and I'm sure I'm back to where I was in the beginning.
Too many people go around carrying balances thinking it's ok because it helps their credit. Well who cares if it helps their credit if they're paying extra money to the credit card companies for it? You don't have to pay them a damn thing to build your credit up. Use your credit card to keep from carrying cash around. Don't use it to purchase things you can't afford. Just keep to the simple rule of never spending money you don't already have. You don't need a new couch or new car right this minute. Rough it out, save the money and then go pay with your card and pay it off with the cash you saved. Now you have what you want and you have a high credit score as well. You do it the other way and you have what you want but with built up debt and a lower credit score. It's a lose lose.
I have one credit card that I pay off every month. Once in a while I may forget to pay it off for a few days so I might accumulate $3 of interest a year. After a couple years of buying food/gas etc with it, I had a 785 credit score. I bought a house and it dropped my credit way down. A year or so later I was back up to 700 and I'm sure I'm back to where I was in the beginning.
Too many people go around carrying balances thinking it's ok because it helps their credit. Well who cares if it helps their credit if they're paying extra money to the credit card companies for it? You don't have to pay them a damn thing to build your credit up. Use your credit card to keep from carrying cash around. Don't use it to purchase things you can't afford. Just keep to the simple rule of never spending money you don't already have. You don't need a new couch or new car right this minute. Rough it out, save the money and then go pay with your card and pay it off with the cash you saved. Now you have what you want and you have a high credit score as well. You do it the other way and you have what you want but with built up debt and a lower credit score. It's a lose lose.