Thread: Should I apply for another credit card?

I'm just looking for a little advice on applying for new cards. I would like to be able to start using a rewards card, but don't know whether I should apply for anything right now. Unfortunately, at 26 years old, I don't have much credit history, but have been working on it more over the last year. A little history:

• I took out my first car loan just over a year ago and set up auto pay so I'm always timely.
• I have 3 different student loans that payments started on about 6 months ago.
• I got my first credit card earlier this year and have been paying the balance every month.
• I took out a store card a few months ago and pay that off before the statement arrives.

I didn't know about the CUR at first, so on my credit card its been high, one month around 50%, one around 35%, on around 25%, and one at 14%. Like I said, I pay the store card off before the statement comes though.

When I applied for the first card, I was initially declined due to my debt to income ratio. They didn't like that I had about 30,000 in debt between my car and student loans and only 32,000 in income. I was able to persuade them to give me a card based on my assets. The only reason those loans aren't paid is because it doesn't make sense to pay off 5% interest when I can invest the money instead...

So my questions is, should I even apply for another card right now considering I have 2 new ones in the last 6 months, my history is quite short, and my debt:income ratio is high? Yea, I was able to talk my bank into approving me, but I doubt that would work with another company. Or is it best to wait for awhile before applying for anything else?

First of all do you travel on business, second do you live at home with your parents or do you have your own place? when you say that you are paying the balance every month, does that mean your paying the bill in full or you are carrying a balance? If you are carrying a balance what % are you paying?

Thanks for the reply. I don't do any business travel. I have been in my current apartment since August. And I pay the balance in full every month. This month I'm going to make sure that I pay almost the full balance a couple days before the statement date so not much will be reported.

Sorry to reply again, just an added piece of information:

I just went to annualcreditreport.com and it looks like the credit card I have hasn't even been reported for since I got it....

I would say if your still in the same situation your in 30,000 debt between student loans and car loans, you don't travel on business, you have your own place at 26 years old since you have 1 credit card already and 1 store card I wouldn't apply until both loans are paid off.
or the balance comes down from 30,000 down til at least 5,,000 probably less than that down to 800 in debt is manageable. or if you get a big raise and you go from 32,000 up to 45,000 then you can start to think about a rewards card.

Had you travel on business or live home with you parents even with your debt I would have said yes. But not living on your own.

Thanks for the advice Money Card. It just drives me nuts that I'm in this situation. I am more responsible with money than 95% of the people in this country, but have trouble getting credit. Even though I only make 32k per year, I've already maxed out my Roth this year and plan to save an additional 3k by the end of the year. On top of saving 5k in the past 6 months I have also paid off 2500 in debt. All in all, around 40% of my income goes towards either savings or paying off debt.

I just wish there was a way to get companies to look at the bigger picture... Oh well, in a year and a half I'll have the car paid off and will be down to just 20k in student loans and just over 50k in assets. Maybe by then I'll have more luck.

hi im new to the credit world i just got my citi secured card a week ago and turned 18 about 3 weeks prior is their any other card i should apply for that is not secured i checked my experian and it was 730 :]

Original poster, pull your fico score once the new card hits. Wait 3 months reporting and get that third card but research first which card is likely to approve. 3 cards ideal to build fico so in a year, with loans paid down and 1 year history on three cards, you can get any card you want pretty much

Dooligan, if you have income, capital one for newcomers should work for you