Should I get a credit card?

Chucky1234

Hi all.

I was wondering whether it is worth me getting a credit card and was hoping for some advice of people a little more experienced than I am.

I'm quite young, not in a particularly well paying job but my outgoings are very little anyway.

I don't have a problem with spending and I'm confident I wouldn't get into debt with a credit card. My bank account always has atleast 1.5x my monthly salary in at a time.

I know I'm in a stronger position if I buy stuff with a credit card if they turn out to be faulty or aren't delivered etc.

Having a credit card would also mean I could pay surprise costs better, for example if I have a car accident or something.

I would probably put most of my purchases during the month on my credit card then paying it off straight away (I believe this would mean I don't pay interest?), would this build my credit score up?

I just wanted some advice really, I could get by without a credit card for the time being comfortably, but I could also have a credit card without risk of getting into debt in my opinion.

What do people think, should I get a CC?

If I do, are there any ones people recommend? And what is the most effective way to use one?

Thank you

PeacefulWaters

If you're young, sensible enough not to increase your spending because you have one and sensible enough to clear the balance fully each month, then yes.

Assuming your bank issues a fee free credit card I'd apply for that. When you've got a fuller credit history investigate alternatives and reward cards.

dresdendave

Chucky1234 wrote: »

I would probably put most of my purchases during the month on my credit card then paying it off straight away (I believe this would mean I don't pay interest?), would this build my credit score up?

If you are looking to build a credit history (not score) then pay off when you receive your statement, not straight away. Either way will negate interest, but you need to have balances on your statement to build a history.

Chucky1234

dresdendave wrote: »

If you are looking to build a credit history (not score) then pay off when you receive your statement, not straight away. Either way will negate interest, but you need to have balances on your statement to build a history.

Thank you. If I have to pay interest is there much point me using a credit card when I can use a debit card with no interest?

dresdendave

Chucky1234 wrote: »

Thank you. If I have to pay interest is there much point me using a credit card when I can use a debit card with no interest?

If you pay in full every month you will not pay interest.


The only exception would be if you used it for gambling or cash advances.

DCFC79

1 tip make sure you set the direct debit up and keep a track of the spending if using it for more than say petrol, that's actually 2 tips.