I would think, in general, that a beginner would want a low-APR, no-fee, credit card. That way, if you get behind on your payments, the punishments are minimal.
Someone more comfortable with paying off their credit cards in full every month might opt for a card with more cashback and "points" rewards. Still, keep in mind that these reward programs will incentivize spending, and you might find yourself being more liberal with the plastic than if you paid everything on a debit card, so stay disciplined.
As far as our "favorite" credit card, we like our USAA AmEx card. USAA is only for people in the armed forces, or their family, but you get one of the most amazing customer service experiences from a financial institution. We get all the usual AmEx perks, plus 5% cashback on gas, grocery and dining (GGD). What we don't like about it is that the GGD program only lasts for 6 months, so that's something we'll have to look into soon.
In searching for a credit card to suit your needs and wants, Bankrate offers a comprehensive and searchable online database to help get you started.
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]]>What about that commercial where the women say, "My man takes Levitra" ? Or the Paula Abdul song, "Forever Your Girl."
My boyfriend sometimes refers to me as "his girl." As a woman and a feminist, I'm not offended. "My bitch," or "My ho" ? Yeah, that might be over the line.
]]>I've never cared what the interest rate was. For me, it's zero. I have a Chase Visa based on those principles. Basically, it's a great convenience and a free 30-day loan deal, with the cost of a stamp a month. All those "rewards" deals and such, run 'em through the shredder. They all cost something extra, even if they say FREE on the headline...
That Chase card, also, is essentially an application-free $18,000 instant loan if something catastrophic were to happen in my life...
]]>If you shop at Costco, by all means get a Costco AMEX card. It makes shopping at Costco much more convenient.
The cashback you get from Discover makes it great for most purchases.
And lastly, if you succumb to your desire to have more stuff than you really need, or have an emergency that puts you under financial pressure and you cannot pay your balance in full, it is a good idea to have a Chase and/or a Citibank card (preferably both). Chase and Citibank give the best long term interest rates on credit card debt. However, you must pay the minimum payment without fail or you are screwed. You can bounce your debt between them and get your interest rate down, but be wary of balance transfer fees.
]]>That aside...
Your first credit card should absolutely, positively, hands down, be a green American Express card. They're easy to get, and you're required to pay the balance off in full every month. As best I can tell, it shouldn't even be possible to rack up unmanagable debt with such a card.
Oh, and the best part, there's no "PRE-SET" spending limit.
What's that? No spending limit? Woo-hoo!
No. There's no "PRE-SET" spending limit. What that means, in practice, is that there IS a spending limit; it's just not determined ahead of time. But, if you try to make a single purchase for $2,000 and your financial records don't indicate that you're actually earning $2,000 a month, the charge won't go through.
In conclusion, AmEx green. It's like a credit card with training wheels.
And tell your woman that mine said hi.
]]>Would anyone have given "my girlfriend", "my significant other", "my fiance" or "my wife" a second thought? So why is "my woman" causing irritation? I'm guessing "the female person with whom I have a relationship, the details of which are no business of the internet at large" would be a little cumbersome for general use...
]]>I second the Fidelity Visa - 1.5% cash back on everything is a very nice perk, no annual fee, and the concierge really is quite good, and free.
]]>Not sure which credit union MissedTheExit uses, but I know my credit union's credit card department (most likely farmed out to a 3rd party) is available 24/7, from what I've seen with my friend's card.
Personally, I still have 2 Wachovia (now 1 of 'em is FIA instead of MNBA) cards. Visa's Signature handles everything I want it to, just like Amex's best cards, but no annual fee, 1.5% cash back on ALL purchases (no limit on rewards), no limit on the card, and an excellent concierge service. Not exactly for the beginner, but something to keep in mind for down the road.
]]>I'm really surprised nobody mentioned a secured / collateralized credit card. They're a good way to build credit and not get you in trouble, and they're not only for people who have gone bankrupt. You can get them from responsible banks who aren't predatory, as well.
I'd highly suggest a $500 secured credit card to build your credit if you've never made a foray into the realm of unsecured borrowing before.
]]>And someone who doesn't recognize that "my woman" is a figure of speech probably is not ready to be on the internet.
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Plus, I get a credit report from them every year, with my score, in addition to not having any weird fees, and a full month grace period.
]]>Bank of America Visa has the "disposable number" feature that I like, but for some reason there's a huge delay between them and my bank - my bank doesn't show posted payments to B of A until several days after the fact.
Discover pissed us off by telemarketing constantly.
State Farm has a Visa card. You earn cash back that you can apply toward your insurance premiums = good. Customer service via rep, via phonebot and via website = bad, VERY bad. Stay the hell away from them.
Someone always brings up credit unions during these discussions. Ours is only open during business hours, so I wouldn't want them as my backup plan if my car died in the middle of the night and I needed a sudden credit increase.
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Had one for years, still my main credit card. I use it to pay all my bills then pay one big bill at the end of the month. Only works well if you pay it off monthly though, otherwise any cashback reward gets offset by interest.
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