Just got approved for Cap1 CC!

[whipster1]

So how is having a $1800 open trade line that you will never helping your credit. You show no history of using it and paying so it is worthless. If you have it, you have the ability to go into debt. If you are not going to use, what is the point?

Regardless of what it effects, the only way to get a FICO score and improve it is to use debt. The FICO score is made up of debt age, debt amount, debt utilization and the amount of times you apply for debt. Nothing else goes into the score except debt.

Available credit is absolutely part of FICO scoring. How do you think utilization is determined?

[CCsAreEvil]

So how is having a $1800 open trade line that you will never helping your credit. You show no history of using it and paying so it is worthless. If you have it, you have the ability to go into debt. If you are not going to use, what is the point?

Regardless of what it effects, the only way to get a FICO score and improve it is to use debt. The FICO score is made up of debt age, debt amount, debt utilization and the amount of times you apply for debt. Nothing else goes into the score except debt.

As someone else stated, some issuers will report "Pay as agreed" even though the balance stays zero. However, it's been shown that having a "very small" balance (< 10% of CL) will increase your FICO score. You can still pay your full balance monthly and possibly show < 10% utilization (without paying any interest). It depends on when each specific lender reports the "current" balance on that account.

You are right that FICO score is pretty much "debt history usage/payment/lines" history. Yeah, we don't want our FICO scores to be on our tombstones. However, since most of us still plan to live a few years (or longer then we must do what's financially best for each of us. If you (personally) will never obtain a credit card for the rest of your life, fine. I don't think anyone here is forcing you to. Heck, that's awesome if you can get away with it. If you have save thousands and live on cash, good for you.

However, there are advantages to having credit lines. This may not be in 100% of all circumstances. But most people do have several types of insurance, some plan to own homes, and some may rent. Most places do check credit! So, we must "join" the system but maximize our financial portfolio. This does NOT mean you must go into debt. Use the system to your advantage.

I see that you are saying that everyone will fall into temptation if they have an open credit line and go crazy at some point. You know what? I'm sure there will a few that do that. At my 341, there was a couple that was doing their 2nd BK barely after 8 years form the last one! But there will be a good percentage who have actually "learned" from their mistakes after BK. Sounds tough to accept, but yeah.

Maybe you just can't trust yourself if you obtain credit lines?

[Amy26]

LSU, I wasn't directing my post to things that *I* myself have necessarily said but for the collective "everyone". I accepted your apology for what you said to me. I also believe what I said in my post was constructive critisism.

[LSUTiger32]

Well said Amy26. I'm reminded of that one kid in kindergarten that always went ape-s*** whenever all the other kids didn't do things the same way.

At any rate, this forum is big enough for all viewpoints. LSU is perfectly within their rights to post in this sub-forum, but one wonders about the need to make the same point time and time again.

So now I am a kindergartener. Nice. Anymore name calling you guys want to throw out here? I never would have imagined people would be willing to call other people names because they can't live without a credit card. Who knew?

I make yet another apology to anyone I was rude to, offended, was snide to, acted like a kindergarter towards or whatever other names I have been called.

[jennordhavn]

This is inaccurate.

Most companies still report cards with $0 balances monthly with "Pays As Agreed" notation.

It will build positive history just fine without use -- as long as it doesn't eventually get closed by the issuer for inactivity.

It is also helpful for utilization purposes!

[LSUTiger32]

Hehe, this is getting quite amusing actually. LSU says he's not trying to be snide, he's not trying to judge and he doesn't care if people want to continue using credit as they see fit, however, he keeps digging the nail in the coffin on people over and over.

I have no problem with people having opinions nor do I have a problem with them voicing them... but you made your point. You don't like credit and you think we're stupid for using it and continuing to try to get it. Thanks. You don't need to [fill in whatever word you think you're doing] anymore. Again, I know you say you're not trying to be rude, offensive, snide, etc... but (to me personally) how you make your statements and your opinions seems to be on the judgemental and snide side. Maybe its just me... but I find that when you want to disagree with someone or point out something you think is not the best solution, you can say it in a much more diplomatic fashion. It would also be more well received and not met with defensiveness. Especially with the nature of an online forum.

I find it odd that you 1. make your statements of fact as you see it (which is perfectly well and good) but 2. Accuse other people of retorting your "statements" with apparently non facts. Our retorts back with reasons for wanting/keeping/using credit are not fluff or made up stuff to make ourselves feel better. They are perfectly legitiment arguements as well.

We thank you greatly for running counter point to our points. But we disagree with you (some of us) and some people agree with you... if I can accept your statements as valid then you should be able to do the same with everyone else's.

What you say is like everything else on this board.. an opinion.

I've bent over backwards to apologize to you and try to explain where I am coming from. Instead of doing the same, you do this. And I am the snide/rude/offensive (wait, were there any other adjectives) one?

[jadams]

So how is having a $1800 open trade line that you will never helping your credit. You show no history of using it and paying so it is worthless.

This is inaccurate.

Most companies still report cards with $0 balances monthly with "Pays As Agreed" notation.

It will build positive history just fine without use -- as long as it doesn't eventually get closed by the issuer for inactivity.

[BobMango]

Hehe, this is getting quite amusing actually. LSU says he's not trying to be snide, he's not trying to judge and he doesn't care if people want to continue using credit as they see fit, however, he keeps digging the nail in the coffin on people over and over.

I have no problem with people having opinions nor do I have a problem with them voicing them... but you made your point. You don't like credit and you think we're stupid for using it and continuing to try to get it. Thanks. You don't need to [fill in whatever word you think you're doing] anymore. Again, I know you say you're not trying to be rude, offensive, snide, etc... but (to me personally) how you make your statements and your opinions seems to be on the judgemental and snide side. Maybe its just me... but I find that when you want to disagree with someone or point out something you think is not the best solution, you can say it in a much more diplomatic fashion. It would also be more well received and not met with defensiveness. Especially with the nature of an online forum.

I find it odd that you 1. make your statements of fact as you see it (which is perfectly well and good) but 2. Accuse other people of retorting your "statements" with apparently non facts. Our retorts back with reasons for wanting/keeping/using credit are not fluff or made up stuff to make ourselves feel better. They are perfectly legitiment arguements as well.

We thank you greatly for running counter point to our points. But we disagree with you (some of us) and some people agree with you... if I can accept your statements as valid then you should be able to do the same with everyone else's.

What you say is like everything else on this board.. an opinion.

Well said Amy26. I'm reminded of that one kid in kindergarten that always went ape-s*** whenever all the other kids didn't do things the same way.

At any rate, this forum is big enough for all viewpoints. LSU is perfectly within their rights to post in this sub-forum, but one wonders about the need to make the same point time and time again.

[RBisDebtFree]

Not to add fire to this discussion but just wanted to share with everyone that I just got my automatic credit limit of $200 to total it to $500 It's about the same Cap1 card that I "just got approved for", wow, time flies by fast

[Amy26]

Hehe, this is getting quite amusing actually. LSU says he's not trying to be snide, he's not trying to judge and he doesn't care if people want to continue using credit as they see fit, however, he keeps digging the nail in the coffin on people over and over.

I have no problem with people having opinions nor do I have a problem with them voicing them... but you made your point. You don't like credit and you think we're stupid for using it and continuing to try to get it. Thanks. You don't need to [fill in whatever word you think you're doing] anymore. Again, I know you say you're not trying to be rude, offensive, snide, etc... but (to me personally) how you make your statements and your opinions seems to be on the judgemental and snide side. Maybe its just me... but I find that when you want to disagree with someone or point out something you think is not the best solution, you can say it in a much more diplomatic fashion. It would also be more well received and not met with defensiveness. Especially with the nature of an online forum.

I find it odd that you 1. make your statements of fact as you see it (which is perfectly well and good) but 2. Accuse other people of retorting your "statements" with apparently non facts. Our retorts back with reasons for wanting/keeping/using credit are not fluff or made up stuff to make ourselves feel better. They are perfectly legitiment arguements as well.

We thank you greatly for running counter point to our points. But we disagree with you (some of us) and some people agree with you... if I can accept your statements as valid then you should be able to do the same with everyone else's.

What you say is like everything else on this board.. an opinion.

[Logan]

Wow, there is so much in here that is just plain scary I don't know where to start.

1. Credit cards = debt. If you use them, you have debt. Whether it is for 10 days or 10 years it is debt. Good try though.

2. You hate debt but you are worried to death about your I LOVE DEBT score. Wow.

3. You love savings and you are paying enough interest to banks to service a third world country. Awesome. Good luck with that strategy.

I have to disagree with #1. I use my credit cards mainly for online purchases, International travel and occasional purchases. I have the money to pay for my purchases but I don't want to use my Debit Card mostly for security reasons. My credit card statement is just another bill which is already budgeted for just like my electricity, my cable, my car insurance etc.

Example--I need to keep $2500 in my checking account to avoid fees. I currently have $3200 in the account. I just bought a dog door for $359 and used my credit card since I will be very close to the $2500 limit by the time I get my next pay check. I have the money, I most likely will not fall below $2500 if I used my checking account and this bill will probably be paid early. This is not a debt, just being smart with my money since I want to avoid unwanted fees.

If I did not have the money to pay for these items at the time of purchase then you could consider it a debt.

Logan

[LSUTiger32]

I am not sure why you are singling me out for your judgment LSUTiger. I am done debating this with you. You have hijacked this thread in my opinion.

Yes it is true, that my credit scores are around 680 now. They would not have been that without re-establishing credit.

In any case I think at this point we should just agree to disagree.

Sounds good to me. I am the bad guy, that's cool.

[LSUTiger32]

1) Credit Cards are not debt. You said it yourself right here that if you USE them then you have debt. Credit Card balance is debt; having an open credit line is not; I have an $1800 limit on a Firestone card and I've never been to Firestone in my life...never gonna use the card; I have a gas card from 7 years ago that I never used and still have; it's keeping my history length up and my score higher and is most certainly not debt

2) Yes, because the FICO score affects insurance (not debt), jobs (not debt), utilities (not debt)

So how is having a $1800 open trade line that you will never helping your credit. You show no history of using it and paying so it is worthless. If you have it, you have the ability to go into debt. If you are not going to use, what is the point?

Regardless of what it effects, the only way to get a FICO score and improve it is to use debt. The FICO score is made up of debt age, debt amount, debt utilization and the amount of times you apply for debt. Nothing else goes into the score except debt.

[debtnomore]

Wow, there is so much in here that is just plain scary I don't know where to start.

1. Credit cards = debt. If you use them, you have debt. Whether it is for 10 days or 10 years it is debt. Good try though.

2. You hate debt but you are worried to death about your I LOVE DEBT score. Wow.

3. You love savings and you are paying enough interest to banks to service a third world country. Awesome. Good luck with that strategy.

1) Credit Cards are not debt. You said it yourself right here that if you USE them then you have debt. Credit Card balance is debt; having an open credit line is not; I have an $1800 limit on a Firestone card and I've never been to Firestone in my life...never gonna use the card; I have a gas card from 7 years ago that I never used and still have; it's keeping my history length up and my score higher and is most certainly not debt

2) Yes, because the FICO score affects insurance (not debt), jobs (not debt), utilities (not debt)

[debtnomore]

Yeah I can't handle them, that's why. I backed my statements with FACTS that happened since I have filed. You back yours with what ifs. Enough said.

the plural of antecdote is not data

what happened to you personally isn't the general rule AND you are talking about what your current situation is shortly after bk...i'm talking about long-term

stop trolling