Vermonster wrote:I can't speak to Discover as a company, yet. But from what I've been reading it sounds like the It is a better card than the More because it earns a full 1% rather than the tiered crap the More has.
Actually it looks like IT is a re-branding of the More card. This is from Discover's Terms and Conditions on the IT application as of today:
"REWARDS: We will send full terms and conditions with your card. Earn .25% Cashback BonusÂ® on your first $3000 in annual purchases and on all warehouse purchases made at warehouse clubs, wholesale distributors, discount stores and their affiliates. Earn 1% on purchases over $3000. Each quarterly 5% program has a cap on category purchases. The amount of the cap may change. 5% category purchases over the quarterly cap earn up to 1% Cashback Bonus. Warehouse and 5% category purchases do not count towards your first $3000."
As to Discover as a credit issuer. My personal experience is that they are more willing to give out initial credit than other places. However, do not expect them to give you big limits. It has been a long time since I first got my Discover so more recent examples may be needed. Also both Discover and Amex suffer from the same problem, they are not accepted as easily as Visa or MasterCard.
I am not sure about your financial status but here is what I would look for in a card if building my credit history all over again in order:
1. Annual Fee -- Make sure that the first credit card you apply for does not have an annual fee. This will allow you to leave the card open forever and start building a good AAoA.
2. Visa or MasterCard -- Accepted almost everywhere and plenty of issuing institution.
3a. Rewards -- While applying for rewards cards is not a bad thing, institutions are a bit more frugal with these cards than non-rewards cards. A non-rewards card with a $1000 limit will do more for your credit history than a rewards card with $500.
3b. Rewards 2.0 -- When applying for a rewards card carefully look at your spending habits (and future needs). There are few things are more frustrating than getting the "new hot rewards card" only to find it does not match your spending and another card would have done better.
Nothing about building good credit is fast. It is a slow steady climb up the credit mountain. Taking your time and planning your path is far better than rushing in and finding you have to backtrack.