Help Choosing my next Credit Card

For just about anything you want to get off your chest about credit cards.
13 posts
ajcarter
Green Member
Green Member
 
Posts: 10
Joined: Wed Jan 01, 2014 11:00 am
Location: New York

Help Choosing my next Credit Card

Postby ajcarter » Wed Sep 09, 2015 7:10 pm

Hi All,

I frequent these forums and have gotten so much valuable information regarding managing my finances and it has helped tremendosly.

That said, I need a little guidance, as Ive been getting mixed messages from some of the other posts.

I currently have a Cap One Secured Mastercard ($750 CL) and a Discover IT Student ($1,800 CL) -- nothing to be proud of. My AAOA is 1 yrs (Cap One opened 3/14 & Disc. open 3/15).

I just graduated and will be working full time now and would like to get a better credit limit / better credit card. Though I do love my discover it card and rewards - I find myself using upwards of 30% of my CL at times which has dragged my FICO down to 720.

Anyways here are a few cards I was looking at:

Amex Delta Gold
Amex BCE
Barclaycard Rewards MasterCard
Citi AAdvatage
Capital One Venture (not digging the 3 HP though)

Do you guys have any suggestions as to which card to go with, taking into account my limited history and credit score? Any insights are helpful, especially cards not mentioned above that may be a better fit.

Many Thanks!


Kevin86475391
Centurion Member
Centurion Member
 
Posts: 241
Joined: Wed Feb 18, 2015 9:04 pm
Location: Texas

Re: Help Choosing my next Credit Card

Postby Kevin86475391 » Wed Sep 09, 2015 8:28 pm

What areas do you spend the most in? Rewards cards in particular are most valuable when they align nicely with your spending and priorities. Likewise, what types of rewards are you hoping for?

Regarding your utilization bringing down your credit score, that's definitely a bummer, but on the bright side one useful thing to keep in mind is that utilization is calculated as a 'snapshot in time' rather than with an historical component to it. So in other words every bit of the damage done by high utilization will be undone as soon as you pay your cards down and get the low/no balance reporting.

Another option you might consider is asking for a CLI with Discover, especially if you wait a bit so that you can calculate your new income and report that. Discover's a great card to grow with!

If you're looking for something similar in rewards structure to the Discover It there's always the Chase Freedom. Like the It the Freedom has rotating 5% categories capped at $1500 per quarter. Of course many people find that the cards are in fact so similar they don't need both, but it really does depend on your spending and preferences. I have both and find great value from it. Even in the quarters when the categories align I find I'd often have hit the cap with just a single one.

ingramjuan
Centurion Member
Centurion Member
 
Posts: 271
Joined: Thu Nov 20, 2014 5:32 pm
Location: EARTH

Re: Help Choosing my next Credit Card

Postby ingramjuan » Wed Sep 09, 2015 9:48 pm

It would be my suggest to hold off a little and just ask for a CL increase. Lots of cards out there and it all depends on what do you want out of the CC. Airline miles, cash back etc..... Your Discover is an excellent card.
CARDS:
Capital One Platinum (2001) |Capital One QuickSilver World (2002) | Amex Gold Delta (2013) | Best Buy Visa (2013) |Discover It (2015) | Amex Platinum (2015)

Gardening Since: June, 2015

Next Cards:
Personal: Chase Freedom Unlimited
Business: Amex Plum
Store Card: Lowes

ajcarter
Green Member
Green Member
 
Posts: 10
Joined: Wed Jan 01, 2014 11:00 am
Location: New York

Re: Help Choosing my next Credit Card

Postby ajcarter » Wed Sep 09, 2015 9:51 pm

Kevin86475391 wrote:What areas do you spend the most in? Rewards cards in particular are most valuable when they align nicely with your spending and priorities. Likewise, what types of rewards are you hoping for?

Regarding your utilization bringing down your credit score, that's definitely a bummer, but on the bright side one useful thing to keep in mind is that utilization is calculated as a 'snapshot in time' rather than with an historical component to it. So in other words every bit of the damage done by high utilization will be undone as soon as you pay your cards down and get the low/no balance reporting.

Another option you might consider is asking for a CLI with Discover, especially if you wait a bit so that you can calculate your new income and report that. Discover's a great card to grow with!

If you're looking for something similar in rewards structure to the Discover It there's always the Chase Freedom. Like the It the Freedom has rotating 5% categories capped at $1500 per quarter. Of course many people find that the cards are in fact so similar they don't need both, but it really does depend on your spending and preferences. I have both and find great value from it. Even in the quarters when the categories align I find I'd often have hit the cap with just a single one.


I spend on a variety of things... since I live with my parents still for now, I only pay for my telephone bill, transportation, vacations and dining & entertainment.

I was under the impression that as long as i paid my balance in full every month my utilization would be zero... but apparently its whatever my balance is at the time the creditors report to the the CBs.

Thanks for the heads up on the chase freedom... I just checked it out and yes, its very similar but I will seriously consider this -- especially since I have encountered places that don't accept discover cards.

Thanks a bunch!

ajcarter
Green Member
Green Member
 
Posts: 10
Joined: Wed Jan 01, 2014 11:00 am
Location: New York

Re: Help Choosing my next Credit Card

Postby ajcarter » Wed Sep 09, 2015 9:53 pm

ingramjuan wrote:It would be my suggest to hold off a little and just ask for a CL increase. Lots of cards out there and it all depends on what do you want out of the CC. Airline miles, cash back etc..... Your Discover is an excellent card.


Thanks to the both of you -- I just requested a CLI on my discover online ...credit line increased by $2500!

User avatar
Vattené
Centurion Member
Centurion Member
 
Posts: 1219
Joined: Sun Jan 26, 2014 3:55 am
Location: US

Re: Help Choosing my next Credit Card

Postby Vattené » Wed Sep 16, 2015 3:16 pm

ajcarter wrote:I was under the impression that as long as i paid my balance in full every month my utilization would be zero... but apparently its whatever my balance is at the time the creditors report to the the CBs.


Congrats on the CLI, ajcarter! Anecdotally, if you use Discover a lot, they will likely be very good about CLIs.

I just wanted to mention how to manipulate utilization, if you're interested in doing that. You are correct that creditors report whatever the balance is at the time of reporting. This is typically (though not necessarily) when the statement cuts. That is when Discover reports for me.

Assuming they will report when the statement cuts, you can make a payment a few days before this. You would have to pay more than the last statement's balance and into the current billing cycle's charges, but this will bring the balance down as low as you want it to be for reporting to bureaus. If you decide to do this, keep in mind a non-zero amount below 10% utilization is generally recommended. As Kevin pointed out, though, the utilization factor is just a snapshot of the present and has no "memory." If you're not planning on applying for any new credit soon, there is no real benefit in doing this on a regular basis beyond just wanting a high score for its own sake.
-Vattené
FICO-8: EX - 827 (5/17) | TU - 824 (5/17)
My Cards: Barclay Arrival+ | Discover it | Amex ED
AU:: Discover Miles | BofA BBR | Barclay Commence (SD'd)

User avatar
CarefulBuilder14
Centurion Member
Centurion Member
 
Posts: 4440
Joined: Thu May 08, 2014 7:42 pm
Location: United States

Re: Help Choosing my next Credit Card

Postby CarefulBuilder14 » Wed Sep 16, 2015 3:40 pm

Freedom is a great card, especially if you later get a CSP. If you want to maximize your rewards on light spending, though, you might want to wait for a better signup bonus on it.
Warranties and sketchy merchants: Schwab Platinum
Price rewind: Costco
Travel insurance: Prestige, CSP
Perks: IHG, Hyatt
Rewards/Offers: Discover, Freedom, ED, BCE
Taxes/Misc: SPG

Limited value, might close: Arrival

Might add: First Tech, proper business card

kdm31091
Centurion Member
Centurion Member
 
Posts: 1074
Joined: Sat Feb 21, 2015 3:35 pm
Location: Claymont, DE

Re: Help Choosing my next Credit Card

Postby kdm31091 » Wed Sep 16, 2015 7:15 pm

CarefulBuilder14 wrote:Freedom is a great card, especially if you later get a CSP. If you want to maximize your rewards on light spending, though, you might want to wait for a better signup bonus on it.


Judging by Freedom's Q4 categories this year which include audible.com, diapers.com, zappos.com and Amazon, I'd rethink the "freedom is a great card" mantra. The only one most people will get any use out of is Amazon. The rest are IMO way too niche. There are also no categories for brick and mortar shopping which is crazy since Q4 is when people go out and spend!

Discover far eclipses Freedom as far as 5% rotators go. I get the whole "pair freedom with csp" thing, but that's still only beneficial if you can earn Freedom points on useful categories!

User avatar
CarefulBuilder14
Centurion Member
Centurion Member
 
Posts: 4440
Joined: Thu May 08, 2014 7:42 pm
Location: United States

Re: Help Choosing my next Credit Card

Postby CarefulBuilder14 » Wed Sep 16, 2015 7:41 pm

kdm31091 wrote:Judging by Freedom's Q4 categories this year which include audible.com, diapers.com, zappos.com and Amazon, I'd rethink the "freedom is a great card" mantra. The only one most people will get any use out of is Amazon. The rest are IMO way too niche. There are also no categories for brick and mortar shopping which is crazy since Q4 is when people go out and spend!

Discover far eclipses Freedom as far as 5% rotators go. I get the whole "pair freedom with csp" thing, but that's still only beneficial if you can earn Freedom points on useful categories!

I don't mind it if a card isn't useful for a few months, so long as I expect to get some value from it in the future. I've barely used Freedom this quarter, since I've had Amex ExxonMobil offers and Costco gas. It doesn't make me forget how useful the card was in Q1 for groceries/Starbucks and Q2 for restaurants.

I know your attitude is to shoot cards first and ask questions later. I was shocked to see on an old MF thread that you once even had a SM. :eek:
Warranties and sketchy merchants: Schwab Platinum
Price rewind: Costco
Travel insurance: Prestige, CSP
Perks: IHG, Hyatt
Rewards/Offers: Discover, Freedom, ED, BCE
Taxes/Misc: SPG

Limited value, might close: Arrival

Might add: First Tech, proper business card

kdm31091
Centurion Member
Centurion Member
 
Posts: 1074
Joined: Sat Feb 21, 2015 3:35 pm
Location: Claymont, DE

Re: Help Choosing my next Credit Card

Postby kdm31091 » Wed Sep 16, 2015 8:10 pm

CarefulBuilder14 wrote:
kdm31091 wrote:Judging by Freedom's Q4 categories this year which include audible.com, diapers.com, zappos.com and Amazon, I'd rethink the "freedom is a great card" mantra. The only one most people will get any use out of is Amazon. The rest are IMO way too niche. There are also no categories for brick and mortar shopping which is crazy since Q4 is when people go out and spend!

Discover far eclipses Freedom as far as 5% rotators go. I get the whole "pair freedom with csp" thing, but that's still only beneficial if you can earn Freedom points on useful categories!

I don't mind it if a card isn't useful for a few months, so long as I expect to get some value from it in the future. I've barely used Freedom this quarter, since I've had Amex ExxonMobil offers and Costco gas. It doesn't make me forget how useful the card was in Q1 for groceries/Starbucks and Q2 for restaurants.

I know your attitude is to shoot cards first and ask questions later. I was shocked to see on an old MF thread that you once even had a SM. :eek:


Yeah, I did. It just doesn't line up with my particular spending very well, but I know a lot of people live and die by that card haha



Return to “General Credit Card Talk”

Who is online

Users browsing this forum: No registered users and 3 guests