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Credit Check!!

Mr Bigs said:
Your giving bad advice !!!!!!!! Paying your balance in full every month is the worst thing to do on a CREDIT card. The credit card companies don't like you using their card as a convenience card. The best way is pay above the minimum on time each month.
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Mr Bigs:

You're right that CC companies don't like customers paying in full (they lose out on interest) ... but its the BEST thing to do for your credit history. As well as your financial health.

Point: an EXISTING CC company you use can ONLY report that you paid the mininum on time; and the more you do that the better your credit history and score. Your CC company can't take away score points because you paid MORE than the minimum!

Now back to iPhone discussion: got a 32 GB on its ways from Apple -- and I DID survive the ordering meltdown! :)
 
troop231 said:
Wow that was fast then.
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Yep this is what happed to me.

I got a capitol one card about a week after I turned 18. (I applied for the first credit card offer I got in the mail.) And it had a limit of $200, it was a "Learn how to use a credit card, card". Two months later I kept getting card offers in the mail.

All I did was pay it off each month.

Capitol one also Raised my limit for me, without me asking.

I ended up checking my credit and I went from no credit to good credit in only 2 months. (Mid 700's)

Credit scores can change very fast.

Which I was so happy I had that for getting the iPhone 4, which required a real CC. My 3gs I got with a Debit card, Original iPhone I was not old enough to sign a contract, so a parent helped me get it.
 
I'm a rising college freshmen, with no credit history. I'm required to pay a $100 deposit. Money I was hoping to use for Squaretrade insurance... :|
 
vbman213 said:
I'm a rising college freshmen, with no credit history. I'm required to pay a $100 deposit. Money I was hoping to use for Squaretrade insurance... :|
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LUCKY. Really don't know why your's is only $100 :( I seem to always get the shaft.
 
So if you order from At&t for home delivery do they do the credit check at the time of pre-order or when the phone is about to ship?
 
tmac12 said:
So if you order from At&t for home delivery do they do the credit check at the time of pre-order or when the phone is about to ship?
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At time of order online is when they check via your SSN. However if you require a deposit, you will have to go to a store to make an order since "they can't handle deposits online" :rolleyes:
 
troop231 said:
At time of order online is when they check via your SSN. However if you require a deposit, you will have to go to a store to make an order since "they can't handle deposits online" :rolleyes:
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Damn. I just read that AT&T is asking for $800 bucks from you? Deposit+iPhone

That is ridiculous.
 
A person is more likely to have a deposit if they have NO credit than if they have bad credit. When I got my 3GS last year, I had terrible credit and no deposit. (My credit is nearly excellent now though). Anyway, at the same time I was getting my phone, the 18 year old kid next to me got slapped with a 750 dollar deposit!

The downside here is that it takes quite a while to build a good credit history, at least 6 months. Those that have deposits can either pay, or work on getting ready for next year. Store cards are easy to get, if you can't get a regular card then get a store card until your credit is good enough to get a regular card.

You should pay off your balance every month to keep out of debt-- BUT the best way to build credit is to charge larger amounts and pay it off over time. Part of your score depends on how much of your available credit you have used. If you only charge small amounts you won't get that boost.

Edit to add: By the way, if you get your credit ran to see if you qualify before the launch day, you can ask your sales person to give you a confirmation number so that they can look up the report without having to re-run your credit. Honestly though, just two checks won't ding your rating much.
 
jfyrfytr25 said:
... It has been my experience that you need to have pretty good credit to get a line from att.
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Not really. Only six months after living on my own and paying my own bulls I got an AT&T line and I didn't have any deposit at all.
 
When I got ATT the first time about 5 years ago, I had no credit they did not ask for a deposit. 4 years later and after I owed them $1700(because I got a line for a family member that totally abused it) they want an $800 deposit.
 
I can assure you that you do not have to have perfect credit. Couple of years ago, I tanked my credit. Ordered an Iphone from AT&T on Xmas day and it arrived 2 days later.
 
Mr Bigs said:
Your giving bad advice !!!!!!!! Paying your balance in full every month is the worst thing to do on a CREDIT card. The credit card companies don't like you using their card as a convenience card. The best way is pay above the minimum on time each month.
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Who cares what the CC companies prefer! Pay your card off every month, your FICO score will look better since a large portion of is tied to balances/available balances. The lower the percentage the better. Even at 35-40% of your available balance is detrimental. The idea is to use your card since the timing for the CC reporting to the bureaus will never perfectly match your payment dates, and there will always be a small balance showing. Only keep a few credit cards, and DO get (1) installment loan (auto, home, student loan), since NOT having one is detrimental as well. Never cancel long standing credit. If you must cancel something, cancel the most recently opened. Much more to say, google credit building.
 
Jessica Lares said:
I'm praying that my credit is okay on release date then!
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Why not just be credit savvy and check it yourself? The only place to get the credit scores lenders/creditors see is Myfico.com

You can check two of the three credit bureaus there. It's $15 a pop, but at least you'll be a smarter consumer who knows where they stand. IMO, the more you know about you're own credit, the better off you are.
 
r.j.s said:
If you have none, it can take a little while to establish credit. You may have to pay a deposit, but a cell phone can build your credit.
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No it can't. Cell phone companies (and other utilities) only report to credit bureaus if you don't pay. If you pay on time, they don't report that. It doesn't seem fair, but that's just how it is.

Mr Bigs said:
Your giving bad advice !!!!!!!! Paying your balance in full every month is the worst thing to do on a CREDIT card. The credit card companies don't like you using their card as a convenience card. The best way is pay above the minimum on time each month.
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BS. I've never carried a balance on my credit cards, and have a credit score of around 750 which is very good. I pay them off each month, so I must be doing something right.
 
yg17 said:
No it can't. Cell phone companies (and other utilities) only report to credit bureaus if you don't pay. If you pay on time, they don't report that. It doesn't seem fair, but that's just how it is.



BS. I've never carried a balance on my credit cards, and have a credit score of around 750 which is very good. I pay them off each month, so I must be doing something right.
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Listen first before you run your mouth !!!! I have an 800+ credit score and 2 credit cards you might not ever see in your lifetime and I built my credit just the way I said. Do some research and see what percentage of Americans have Tier 1 credit.:rolleyes:
 
hushmartin said:
Part of your score depends on how much of your available credit you have used. If you only charge small amounts you won't get that boost.
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Incorrect. Part of your score depends on your utilization of available credit. The more available credit you have, the better, not the other way around.

If you have a large amount of available credit, and haven't used much of it, that greatly improves your credit score.
 
Wow Mr. Bigs...some awful advice you're giving here.

Never pay your CC's in full? Why don't you just take out any money you have in your pocket and light it on fire. You must LOVE paying CC companies interest on your purchases.

CC companies report the balance, available credit on your line and if you're in good standing or not. A big chunk of your FICO score is related to your utilization % and balances...the lower both are, the higher your scores should be.

If you're just starting out with credit, not paying it off entirely each month is an etremely bad habit to fall into. Practice smart money management!
 
ludawg23 said:
Wow Mr. Bigs...some awful advice you're giving here.

Never pay your CC's in full? Why don't you just take out any money you have in your pocket and light it on fire. You must LOVE paying CC companies interest on your purchases.
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I believe that Mr. Bigs is right though - credit card companies HATE it when you keep paying off the balance in full. They're not making any money that way. However, paying it off completely IS a good thing from the consumer's point of view. Just don't be surprised if the credit card companies reduce your limit for doing this. I've seen it happen.
 
rwilliams said:
I believe that Mr. Bigs is right though - credit card companies HATE it when you keep paying off the balance in full. They're not making any money that way. However, paying it off completely IS a good thing from the consumer's point of view. Just don't be surprised if the credit card companies reduce your limit for doing this. I've seen it happen.
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All the credit card companies out there are cutting limits during this time. They are simply reducing risk.

Does anyone really need $20K credit lines?

As for my FICO score, it does not matter if I pay in full each time. Credit Card companies report total balance and if you have a high utilization %, your score will be negatively affected. There's really no reason to carry a balance on your card...period.

If they want to cut my credit line because they're not making money off of me, so be it. What I can't live with is paying unnecessary interest...
 
ludawg23 said:
Wow Mr. Bigs...some awful advice you're giving here.

Never pay your CC's in full? Why don't you just take out any money you have in your pocket and light it on fire. You must LOVE paying CC companies interest on your purchases.

CC companies report the balance, available credit on your line and if you're in good standing or not. A big chunk of your FICO score is related to your utilization % and balances...the lower both are, the higher your scores should be.

If you're just starting out with credit, not paying it off entirely each month is an etremely bad habit to fall into. Practice smart money management!
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Once you've established credit you can pay how you want too. If you are new to credit then you need to stretch out your payments and that is how your creditworthiness is determined.
 
Mr Bigs said:
Once you've established credit you can pay how you want too. If you are new to credit then you need to stretch out your payments and that is how your creditworthiness is determined.
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Wrong wrong wrong!

Having high limits and low balances IMPROVES your score!
 
I'm also worried about my credit score because I'm signing a new AT&T contract, but I had my credit for 2 years now, and whatever payments I had I paid it in time, but the problem is does it matter if I have a job or not, or they only care if you pay your payments in time?
 
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