With the recent rash of questions from the BMW crowd on forums about "should I buy this?" or "I just got offered a $20K line of credit, I think i'm going to invest in my 20 year old car". I have to ask what everyone thinks this credit history is? About myself: 29, married, with a child, 1 car owned $15k, other car is company car, house is mortgaged with 20 yr, refinanced from 30 year, wife has 6k in school debt, no cc debt. 15k in savings in all forms. No external help financially from family. So no you know all about me. WTF does every young person obsess about building credit history? Credit is a bad thing okay. The only good thing about credit IMO is being able to buy a house. Family grows much faster than savings does and most can pay for it. Here is the shocker: with 5% down payment or more and the total cost being less than 4 times your yearly income your mortgage would likely be the same cost as mine. DISCUSS! :hitler:
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i'lldoitforacaravan -
Do it for you country...you wanna help get this economy going again? let go of the purse strings and start spending! -
Seriously. If I had just bought an E30 instead of financing my g35 I would be in a different spot right now. I will never finance another car, EVER. But thats easy to say because I will have my e30 forever. If you want to build credit get a small credit card and keep it at %25 balance. Make payments on time. Done.
And am making my life with you guy too. ;)Originally posted by StewStewIloveyouyouComment
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Call Dave Ramsey. See what he thinks.Comment
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Im 25. My credit card debt looks high but its not that bad. Maybe 3 grand across 4 credit cards. I could do overtime and pay them off. But stupid shit keeps coming up. I own my car. I messed up a lot tho when I was 18/19 so my score is only 580ish.Ma che cazzo state dicendo? :|Comment
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yea, 24 here. I did the same and messed mine up when i was 18. Its slowly coming back up.
I am married with a kid as well. I own all 4 of my cars and Rent. Id like to eventually buy. So ive been trying to buy things here and there using payment plans. Its actually boosted my score alot. All without having any credit cards.sigpicComment
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If you aren't spending money you don't have to spend, your credit score won't matter.Comment
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Yea but I dont have 200k in the savings for a house. As it is our budget to save up 20% of that is going to take a few years.Ma che cazzo state dicendo? :|Comment
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If you walk in to purchase a home with 20% or more down and have a job with steady income you won't need a good credit score. The home mortgage should be your only debt if any.Comment
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But why would anyone want to pay the interest of keeping 25% of the balance? I wouldn't keep 4k on my cards to build credit. My original question is what is everyone building their credit for?? It's like planning to punish yourself. Yes please, I'd like to be raped in the future, but for now just charge me a couple thousand to be apart of your gang rape mentality.
Gotta go fix a gas well fools, I'm out.i'lldoitforacaravanComment
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I got into a home for 5000$ in 2008. You don't need alot. First time home buyer program kicks ass. Also I got a $7500 tax credit, the entirety of which was spent on marijuana. Not really. But a lot of it was. I was such an idiot back then.
And am making my life with you guy too. ;)Originally posted by StewStewIloveyouyouComment
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Building your credit is a very smart thing to do. If you do it right it can save you thousands of dollars in your lifetime. For example, I got a 6.5% interest rate. My broker showed me a graph and said, if your credit score was 10 points better I could get you 5.5%.
So for a $130,000 dollar house I'm paying
@ %6.5 $165,807.83 in interest alone
@ %5.5 $135,725.25 in interest
I could have saved 30,000 just in interest.
Not to mention all of the other things people finance.
And am making my life with you guy too. ;)Originally posted by StewStewIloveyouyouComment
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721 score here, 1 $500 limit visa, on which i never carry a balence. just refinanced my car loan, currently $8,000@ 4.99% for 48 months, pymt is 180 something/month. I want to get rid of it though, im currently saving for a range rover classic. (1990's)Comment
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Payment plans are a line of credit, just without the card.
My wife and I have an amazing credit score. Think 800+. And we have "debt" on said cards. It's nice if everyone could not have debt. Credit is what this country runs off of. You want a house? Get that score up. Unless you can bank $240,000 + you're very unlikely going to come up with "no debt" in life. It happens, and people have done it, no mistake about that. It's not the majority or the average.
It's good to have. It's not great to HAVE to spend. It CAN be a useful tool just like anything else.Need a part? PM me.
Get your Bass on. Luke's r3v Boxes are here: http://www.r3vlimited.com/board/showthread.php?t=198123Comment
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Credit itself isnt bad, its the misuse.
You need some history if you ever plan on using credit, which most have to in some form or another. Unless you can buy cars/houses on cash you are going to need to be able to prove to the bank that you honor your word.
You can do it without wasting money though. I use my CC as a cash card basically. I use it all month long, let a statement hit and then pay off the entire statement. I avoid interest and when a report is run it shows an account that is long time in good standing, which looks good to someone who is planning on loaning you $200k.
Just dont get carried away. We do have a couple of those line of credit cards like best buy and the like but that is because we can slowly pay off $3000 in appliances and collect interest on the cash that is in the bank waiting to pay it off.Im now E30less.
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