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  • FIRST POST
    • adrienne224
    • By adrienne224 2nd Oct 17, 4:59 AM
    • 1Posts
    • 0Thanks
    adrienne224
    Can I build credit this way?
    • #1
    • 2nd Oct 17, 4:59 AM
    Can I build credit this way? 2nd Oct 17 at 4:59 AM
    I usually get paid every 2 weeks.
    So should I charge everything I need on my credit card and when the bill comes at the end of the month pay it back in full immediately?
    I would not charge any more than $150
Page 1
    • zx81
    • By zx81 2nd Oct 17, 5:32 AM
    • 13,677 Posts
    • 14,138 Thanks
    zx81
    • #2
    • 2nd Oct 17, 5:32 AM
    • #2
    • 2nd Oct 17, 5:32 AM
    Yes. Or at least, by the due date.
    • bengalknights
    • By bengalknights 2nd Oct 17, 11:01 AM
    • 4,146 Posts
    • 1,512 Thanks
    bengalknights
    • #3
    • 2nd Oct 17, 11:01 AM
    • #3
    • 2nd Oct 17, 11:01 AM
    Yes this is ideal way to build record
    • DCFC79
    • By DCFC79 2nd Oct 17, 11:15 AM
    • 30,106 Posts
    • 19,055 Thanks
    DCFC79
    • #4
    • 2nd Oct 17, 11:15 AM
    • #4
    • 2nd Oct 17, 11:15 AM
    I usually get paid every 2 weeks.
    So should I charge everything I need on my credit card and when the bill comes at the end of the month pay it back in full immediately?
    I would not charge any more than $150
    Originally posted by adrienne224
    Do you mean dollars or pounds ?
    Can people stop loaning money/being a guarator to family/friends, it rarely ends well and you lose out as your money is gone or you get shafted with being a guarantor.
    • Anthorn
    • By Anthorn 2nd Oct 17, 1:02 PM
    • 3,160 Posts
    • 812 Thanks
    Anthorn
    • #5
    • 2nd Oct 17, 1:02 PM
    • #5
    • 2nd Oct 17, 1:02 PM
    I usually get paid every 2 weeks.
    So should I charge everything I need on my credit card and when the bill comes at the end of the month pay it back in full immediately?
    I would not charge any more than $150
    Originally posted by adrienne224
    Not necessary to pay off the whole balance every month but you can do that if you want to. The main reason for paying off the whole balance every month is to avoid paying interest, particularly relevant with high interest sub-prime cards.

    What is more relevant is terms of your credit history is that you will be building a financial profile. This is what the different parts of your account(s) in your credit history does. So therefore, if you pay off the whole balance every month prospective lenders will know about it by comparing the history of your balance. Similarly if you only pay the minimum every month lenders will know about that or if you take a cash advance lenders will know about that too, etc., etc.

    It doesn't take a genius to work out that apart from keeping the account in good order, your financial profile an important part of your credit history. Basically lenders use it to decide on whether you are the type of customer they want: In the context of this thread, whether you are paying off the whole balance every month keeping the lender's outlay low or you don't pay off the whole balance every month so earning them pots of money through interest.
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