Thread: Starting out- thoughts?

Well, I'm a year into my experiment with credit cards, and I think I'm starting to do pretty well!

I started out with a $300 limit Platinum Visa from Capital One (I could have had an unsecured card from Orchard, but decided against it) last February, and have just recently been applying for more cards to purchase an engagement ring with (I COULD pay up front, but I'd rather use the chance to build credit!).

In January, I was approved for a Zync with a $500 spending cap, which seems fine to me for everyday use; I really shouldn't be spending more than that a month anyway.

Next up, just this month, I've been approved for both a Discover More with a $1500 limit and a 15-month introductory term at 0% on both purchases and transfers, and a $3000 Citi Simplicity card with the standard 18-month 0% term. I applied for a Blueprint from Chase, but they declined me based on utilization of my Capital One (for some reason, even though it's been paid off for nearly two months, it still shows UTIL near 100%).

My future goals when it comes to credit cards: I'm quite happy with my Zync, but I might want to get that upgraded to a non-limited card at some point, both for the flexibility and for the better rewards points on the higher-end Amexes. I'd also like to get a Blue Cash Everyday at some point; it seems like a good card. I'd also like to upgrade the Citi at some point to a Diamond Preferred; I can't say that I'd mind having a concierge at my beck at call! It goes without saying that of course I'd like CLIs across the board.

So what are your thoughts? Should I just sit tight for now, buy the ring, and pay it off using the wonderful effects of a year and a half of 0% (what I was aiming for when I applied for the Citi and the Discover)? Or are there more cards I should apply for? Thanks for your suggestions!

I'd say you are doing pretty well. You have an Amex, a Discover and a MasterCard from a prime bank. I would lay low for a while and allow your accounts to age.

The smartest thing you did was open an Amex. Now any susbsequent Amex you obtain will be backdated to your original Member Since year. So opening future Amex's will only cost you an inquiry and will help with your average age of account. Wait until 1/13 to apply for the BCE. Otherwise, use your Discover and Citibank MasterCard a lot and get those limits increased.

Question- now that I have a couple prime cards, should I close the Cap One? I have a couple student loans that are older than it, and I don't want the subprime credit line influencing my score too much.

Originally Posted by haikuginger

Question- now that I have a couple prime cards, should I close the Cap One? I have a couple student loans that are older than it, and I don't want the subprime credit line influencing my score too much.

It would only hurt you if you carry a large balance on the card. It won't hurt to close it but it also wouldn't hurt to keep it. If you pay an annual fee then I would recommend closing it straight away. I have not heard anything negative about Capital One student cards but if they are anything like their rebuilder cards, it will not grow with you.