Hey Guys,
I'm just wondering what's the use of Credit Cards?
What's the pros and cons?
Do you guys think its necessary to have a credit card?
Also, the best place to apply for credit cards?
I have a friend suggested to me that I should apply for a credit card and just use it for bills. As this will help increase my credit rating up for better loans.
If you ain't got no black Amex. This cash flash is king. Dazzle the opposite sex with the excess cha-ching.
Pros:
Cons:
I'm sure there's other pros and cons too.
I definitely recommend the AMEX platinum edge. It has a $200 annual fee but you get a return flight for that which you can sell on the OzB classifieds for more than $200.
This deal is good too for a no-fee card: https://www.ozbargain.com.au/node/263992
Don't forget the (not insignificant) risk associated with carrying (and losing) cash (assuming that physical cash is used in lieu of debit cards).
Plenty of resources already on here. Use the search function. Click it…type 'credit card for students' and voila, read away.
Or Dr google can answer a lot of your questions too.
Is it necessary to have a credit card for a student?
no. i suggest you worry about credit cards when you get a job, if at all. it is easy to end up in debt, paying off horrendous interest rates
Pros: You look good whipping out a Platinum credit card on dates
Cons: A big credit card bill at the end of the month that you can't pay off
I have a HSBC Visa Credit card with $1k limit. Used effectively it will allow you to accrue interest in other accounts and you also build credit rating with it. Because it has few perks, there is no annual fee, and I'm not tempted to spend money frivolously just to get points. Since it has none..
I could get the HSBC Platinum Qantas Credit Card, with the 60,000 Qantas points deal and get 1x FF points every dollar I spend, but the amount I spend each month is not much, so it was not worthwhile paying the 199 or so annual fee.
I use it for everything now from bills to payments at the counter, because it's safer than using a Debit card, as there is a daily limit,
This depends largely on the individual.
If the Cardholder is spendthrift, then a credit card facilitates as an accelerator of spending.
If the Cardholder upholds Ozbargain principles, then a credit card can be a helpful tool to buy things online for example.
Having said that I only had a debit card throughout Uni, I only spent what I had.
If you are a student and have never owned a credit card before, the easiest is get one from a bank at your campus. Since they deal with students all the time, the application tend to be much smoother, especially if you are only on part-time job etc. It is a good way to get used to a credit card and learn about nitty-grittys of it. The assumption is that you are well-disciplined enough and won't spend more just because you can :-), otherwise, it is better not to have one.
Best to start with a Visa or Mastercard for the widest acceptance. And you should get a fee-free one. This can be a learning curve, so later down the track, e.g., when you have graduated etc, you can try getting others, that provide other/different benefits (which you see discussed a lot of in this forum). Hope this helps.
I love paying with cash because the cashier always says "Woah that's amazing" at Woolies and Hungry Jack's