I just got my first credit card!!!

[magomago]

Yosh! Now its time to establish credit Yes and I'm not stupid enough to buy something I can't afford and just pay "monthly". I know you should pay it all off...basically you have the cash but instead of buying it wish cash I'll buy it with my credit card instead because then I can build credit...so I won't abuse the privledge because its been nailed in my head by so many adults already

But what I want to ask is whether I should sign up for paypal? i do a lot of auction buying(well...more transacations occur for me on the FS/FT forums and that is where I wanted to use it) and it would make things easier...BUT I don't to do paypal because I'm worried that I would be a "victim" and they would screw me over and what if they take out more money than I have and that won't be good because they'll be f'ing up my plan to establish credit.

So...what to do you guys say?

P.S. - I have a starting credit line of 250

 

[Angrymarshmello]

Regarding Paypal - I'm paranoid like that too. I'll send Paypal but I don't accept it unless it's for a very low dollar item, or the buyer is established

 

[thraxes]

PayPal is pretty usefull... I use it now and then but I have to borrow the CC from my parents.

Just don't go overboard with it as you have said. Buy only what you can afford and just watch your bills. I am not sure if I would have that amount of self-control that's why I don't want one, anyway it's not really necessary where I live (Germany)... oddly CC never really took off here due to a really good direct payment card system. in the US where I guess you live a CC is almost a necessity on the other hand. Just watch yourself with it.

 

[dman]

I wouldn't worry about it. I'd be more worried about the tying into a bank account, and you can minimize risk there by keeping the balance low and not have any tie-ins to other accounts (no 'overdraft' protection). Then they can only get so much from 'ya...

The credit card will have buyers protection, so if something happens you just report it and fill out a form basically.

Use a strong password and don't give it out to anyone.


Just my opinion. I don't really like paypal either, but it's really no less safe than any other banking institution. It's probably the most popular so you are going to hear more horror stories related to it, but I think percentage wise it's gotta be low enough. And by now (I hope to god) they've gotten their security pretty well ironed out.

 

[RossMAN]

Congrats, make sure to watch your credit closely and make all your payments on time.

CitiBank approved me for my first VISA credit card back in 1994, almost 10 years ago for $300.

Now I routinely get offers for $10,000 credit limit which I don't accept because well I don't manage debt that well

 

[magomago]

Thanks guys you are awsome! (I'm kinda dissapointed cause I wanted a 500 or 1000 dollar credit line and thought I would get it b/c they asked for my parents info and my parents have always mangaged stuff like that well so they have perfecte credit)


But as for the card it isn't tied to my credit card (is that good?). But i thought paypal could charge 100 dollars and I'm absolutely powerless to do anything?

EDIT:

What type of Paypal account should I sign up? Basic or Preimer? It seems the only difference is that in premier I can accept money from a credit card but it costs money?!?

If I choose free can I accept payments from paypal? I don't care for customer service...

 

[RossMAN]

Your credit card is tied to your credit card history as long as you applied using your name, social security number and address.

Forget about Paypal.

Use your credit card, buy stuff but don't spend beyond your means.
Payoff your credit card in full every month to avoid interest.
Do not apply for any more credit or request an increase for at least 12 months.
Again make on time payments.

After 1 year, request an increase probably up to $750 and apply for your 2nd credit card.

 

[magomago]

Originally posted by: RossMAN
Your credit card is tied to your credit card history as long as you applied using your name, social security number and address.

Forget about Paypal.

Use your credit card, buy stuff but don't spend beyond your means.
Payoff your credit card in full every month to avoid interest.
Do not apply for any more credit or request an increase for at least 12 months.
Again make on time payments.

After 1 year, request an increase probably up to $750 and apply for your 2nd credit card.

What if they approach me and offer me an increase? Should I turn it down? (I'm worried I might move a little fast - my brother was just about to buy those z640s @ newegg and he said he'd use my credit card and then give me the money...but that would take off ~60 dollars...)

Also if I bought something on the FS/FT forums do I give them my credit card number and expect they charge it properly? Isn't that somewhat hazardous or am I misunderstanding you?

 

[magomago]

Uhh I was just looking around b/c I made an account and it I was seeing how to add money just so I know...and it says "transfer funds from bank account"...

there isn't a way to go straight from a credit card to paypal? I must use my bank account (and that is what I don't want to do - give them access to my bank) because you guys are telling me I can use a CC

 

[RossMAN]

If they offer you an increase and it's been 6 months, I would consider it but I still think waiting 12 months is better.

DO NOT give your credit card number to another AT'er.

You should still pay for things with good 'ole cash or your checking account, don't use your credit card for everything.

If you want to buy something from an AT'er, send a money order, the credit card shouldn't be used for EVERYTHING!

 

[magomago]

all right thanks about the 12 month warning...I'll follow that and tell my bro to use my dad's credit card


Really? I was thinking of using the credit card when I'm at the gas station to buy gas instead of using the money in my pocket and then save that money and pay for it....or my brother likes to buy a gatordae when we are at a gas station and I'd make him give the money and then give him the credit card to pay.

Actually my frist reason to use paypal was that i owe a friend in Ohio 5 bucks and I asked him if I could try to send it that way and he consented

 

[chin311]

congrats, use it wisely, i wish i could get one :\

 

[magomago]

hey guys - I just added my credit card to paypal in the "profile" area. Now if I try to send money to someone it says i have a sending limit of 2000....I went to the "send money" and it doesn't ask for how I'm going to pay for this - will it automatically charge my credit card since its the only form of payment I have let paypal access?

 

[magomago]

b00mperoonie

 

[Angrymarshmello]

Originally posted by: magomago
hey guys - I just added my credit card to paypal in the "profile" area. Now if I try to send money to someone it says i have a sending limit of 2000....I went to the "send money" and it doesn't ask for how I'm going to pay for this - will it automatically charge my credit card since its the only form of payment I have let paypal access?

It will automatically deduct from your existing Paypal "cache", and if you have no existing Paypal funds, it'll charge your credit card. You'll be unverified, however, until you add a bank account. I for one had a bank account tied into it and took it off because quite honestly I don't trust Paypal. Hell, they went half a year with an expired SSL certificate even after being acquired by eBay. That's pretty $hitty.