Quick Questions

[ca_gere]

Noob question:

What on Earth is "getting credit"? Like I've never really thought about that as a concept. No idea what it is/how it works.

Edit: Reading the scrollback it looks like some sort of loan?

I presume 'getting credit' refers to the act of building up one's credit rating by proving that you are reliable in paying back loans and credit cards. Anything that involves a regular payment should count towards your credit rating: phone bills, credit card bills, student loan repayments, etc.

The better your credit rating, the more likely you are to approved for things such as mortgages or large loans. Your credit limit also increases over time (e.g. your first credit card would be like a 500 pound limit, as you continue to make payments, they may then increase it to 1000 and so on)

or something

[FOX]

yeah, it's basically getting goods now, but paying the cost off over a period of time, or like a credit card where you get a bill at the end of the month as opposed to a debit card where you can only spend what you have.

I presume 'getting credit' refers to the act of building up one's credit rating by proving that you are reliable in paying back loans and credit cards. Anything that involves a regular payment should count towards your credit rating: phone bills, credit card bills, student loan repayments, etc.

The better your credit rating, the more likely you are to approved for things such as mortgages or large loans. Your credit limit also increases over time (e.g. your first credit card would be like a 500 pound limit, as you continue to make payments, they may then increase it to 1000 and so on)

or something

Cheers.

It's just, I'm seriously looking into buying an iPad/Nexus/whatever tablet. I could afford one in one go but naturally I'd rather pay for it, say, monthly. I don't know if this is possible though, and I don't really plan on getting a credit card.

[ca_gere]

Cheers.

It's just, I'm seriously looking into buying an iPad/Nexus/whatever tablet. I could afford one in one go but naturally I'd rather pay for it, say, monthly. I don't know if this is possible though, and I don't really plan on getting a credit card.

A credit card is probably your best bet for something like that. Introductory rates will be low/zero so you'd be paying exactly the price of the thing just over a longer period of time. I've never bought anything using a payment plan in-store but I assume the final amount would add up to a lot more than the original price. Whereas with a credit card your transaction with the store is done and you just owe the credit card company.

[Scootray]

He's not 18 though.

[MattJimF]

Cheers.

It's just, I'm seriously looking into buying an iPad/Nexus/whatever tablet. I could afford one in one go but naturally I'd rather pay for it, say, monthly. I don't know if this is possible though, and I don't really plan on getting a credit card.

If you can afford to buy it outright, just do it. The store credit will bump the price of the item up. The Nexus is only £200, the ipad mini is rumoured to be announced next week.

[Soda Jerk]

A credit card is probably your best bet for something like that. Introductory rates will be low/zero so you'd be paying exactly the price of the thing just over a longer period of time. I've never bought anything using a payment plan in-store but I assume the final amount would add up to a lot more than the original price. Whereas with a credit card your transaction with the store is done and you just owe the credit card company.

You get some pretty good interest rates on in-store credit agreements. Some places offer no interest for a certain amount of time, especially for things like furniture and stuff. I'd probably consider a credit agreement for a purchase as outlandish as a 3 piece suite or some appliances, but for a luxury like a gadget or some electronics, I'd rather save up. It feels more like a reward then.

I totally hate being in debt though, of any kind. I bought my amp with a credit card, with a plan to pay it off in 6 months, but I hated the debt looming over me, and the thought of missing a payment for whatever reason and getting stung, so I paid it off in 2 months and lived on knock-off supernoodles and reduced bread for a month. Worth it for tone, I guess. But an all-round bad decision really.

[Paranoid Android]

He's not 18 though.

Still???

[Frosty Jack]

Me and my missus set the limits of £50 for birthdays and £100 for christmas.

Why more at christmas?

That's why.

[Lemonade]

Credit cards are a terrible idea, always. The amount of shit I've got into on the back of them is brutal, and I'm currently (slowly) paying off the guts of 10 grand. I totally admit its my fault for having no willpower but when the temptation is there to get something cool I can't really afford I tend to cave. Save up for things, only buy what you can afford, take it from a guy who loses 50% of his wages every month paying credit cards and bank loans and barely putting a dent in them due to interest.

[FOX]

He's not 18 though.

I'm almost 20, thankyouverymuch!

[FOX]

Credit cards are a terrible idea, always. The amount of shit I've got into on the back of them is brutal, and I'm currently (slowly) paying off the guts of 10 grand. I totally admit its my fault for having no willpower but when the temptation is there to get something cool I can't really afford I tend to cave. Save up for things, only buy what you can afford, take it from a guy who loses 50% of his wages every month paying credit cards and bank loans and barely putting a dent in them due to interest.

[Stroopy121]

I'm almost nineteenandthreequarters, thankyouverymuch!

jimfxxd4u

xx

[The Milner]

Id advise avoiding credit cards as well, not unless you have a strong grip on your finances, ive seen so many people get into thousands of pounds of debt with nothing to show for it, and they spend years paying them off. I've got exactly £0 of debt, i do have a credit card, but i havent used it in about 4 years now, last time i used it was to get emergency dental work in between jobs.

[Paranoid Android]

the majority of times I've used my credit card it has been a sensible decision at the time. My problem is then remembering that I used it a bit and have to pay more than the minimum. Then I come to use it again and I haven't paid off the last thing.

[FOX]

jimfxxd4u

xx

Actually you're exactly right. That's pretty scary. Get out of my house. >

[FOX]

Okay, so I'm not getting a credit card (pretty much the one thing I plan to avoid for as long as possible, except maybe STDs). I'll maybe pluck up the courage to buy it outright. Maybe.

Next question: Google Nexus 7 or iPad (mini?)?

[Stroopy121]

(ibid)

What does that mean...?

Tell me or I won't get out of your house.

xx

[Stroopy121]

Okay, so I'm not getting a credit card (pretty much the one thing I plan to avoid for as long as possible, except maybe STDs). I'll maybe pluck up the courage to buy it outright. Maybe.

Next question: Google Nexus 7 or iPad (mini?)?

Personally, I'd say if you were to go iPad, go full size. Dilbert explains it best.

xx

[The Milner]

Why would you buy an ipad mini, what possible advantage does it have over a normal one.

[Frosty Jack]

Okay, so I'm not getting a credit card (pretty much the one thing I plan to avoid for as long as possible, except maybe STDs).

While your caution is admirable, having a credit card, or at least borrowing in some way can actually be a good idea, if you know what you're doing. Ironically, not having any credit history can in fact make it much more difficult to get credit in the future. Hopefully you won't need a mortgage in the future after your singing career makes you millions, but if you do, then not having any history of borrowing could make the banks wary of you. However if you can show that you have borrowed, and had a certain level of debt but managed it well, then they'll like you and give you what you want. They want to know that they can make a bit of money from you, but you won't be a risk.

I'm sure Officer 'twin' or Mr Spoonie could explain it better than I, or failing that, that Martin Lewis bloke may be a bit of a twat on telly but his site has a lot of good stuff on it.

http://www.moneysavingexpert.com/loans/credit-rating-credit-score

Note: The above advice is NOT the same for STDs.

[Stroopy121]

I'm with Frosty on this. I got a credit card for just that reason - to help build a better credit score. Problem was, I immediately bought a bass I couldn't afford (FUCKING THANKS NEEPHEID ) and very quickly landed in the habit of putting stuff on the card in the "that's future-Stroopy's problem" pile.

Credit card = good.

Fuckwitted impulse-buying = bad.

xx

[Scootray]

I'm almost 20, thankyouverymuch!

My bad! Thought you were still a youngster! It's all downhill from 20.

[FOX]

What does that mean...?

Tell me or I won't get out of your house.

xx

You use (ibid) to mean "that same source again". Although I think that's for when the information is on the same page of the source (could be wrong there).

While your caution is admirable, having a credit card, or at least borrowing in some way can actually be a good idea, if you know what you're doing. Ironically, not having any credit history can in fact make it much more difficult to get credit in the future. Hopefully you won't need a mortgage in the future after your singing career makes you millions, but if you do, then not having any history of borrowing could make the banks wary of you. However if you can show that you have borrowed, and had a certain level of debt but managed it well, then they'll like you and give you what you want. They want to know that they can make a bit of money from you, but you won't be a risk.

I'm sure Officer 'twin' or Mr Spoonie could explain it better than I, or failing that, that Martin Lewis bloke may be a bit of a twat on telly but his site has a lot of good stuff on it.

http://www.moneysavingexpert.com/loans/credit-rating-credit-score

Note: The above advice is NOT the same for STDs.

Never thought about it that way! Will bear in mind.

My bad! Thought you were still a youngster! It's all downhill from 20.

You're forgiven. People do age sometimes though. Even me!

[Jaaakkkeee]

I'm with Frosty on this. I got a credit card for just that reason - to help build a better credit score. Problem was, I immediately bought a bass I couldn't afford (FUCKING THANKS NEEPHEID ) and very quickly landed in the habit of putting stuff on the card in the "that's future-Stroopy's problem" pile.

Credit card = good.

Fuckwitted impulse-buying = bad.

xx

I got one to buy camping stuff / get a better credit rating. Although it hasn't been paid off in full yet, I still make sure I pay more than the minimum payments each month. They're good. And once it's paid off and I can apply for a better rated one I'll be the king of money and I'll buy ipods left right and centre.

Anyway,

Applying, and being rejected for credit gives you bad credit rating, yes? Why?

[DanClews]

I still make sure I pay more than the minimum payments each month. They're good. And once it's paid off and I can apply for a better rated one I'll be the king of money and I'll buy ipods left right and centre.

Oh dear god, I know you're trolling. Please tell me you're trolling us.

I've got a credit card, and we put all purchase on it. Means we have 37K points, half way to a free return flight to New York Business class. Get other bonus' with the credit-card, Insurance & free Airport lounge entry.