7055 wrote:I'm having a hard time understanding credit card companies, they seem contradictory. Why is it that you have to have a good credit score to get approved so that you are not a risk but then when you get your credit card, which is basically loaned money, they hope that you only pay the minimum balance or miss some payments so that they can make bank off of you. Doesn't that seem contradictory?
The risk thing should be self explanatory and it's really not contradictory unless you're running on some broad generalizations and incorrect assumptions.
I haven't seen anything that indicates that definitively proves that creditors want consumers to only pay minimums. Paying only the minimum will certainly adversely affect your credit, potential CLI's, future approvals, etc. Yes, they do make money off interest and fees but it's a bit of a leap to say that they intend for everyone to do so.
They still make money on swipe fees, AF's, etc.