adulthood: how does it?

[etben]

So, okay: I have never in my life had a credit card. This is something that baffles a lot of people, but it's true! My name is technically on my parents' card - it was supposed to be one of those "use it WISELY, pay it off, build credit" things parents do, but I have literally never once used it. Because...idek, paranoia? Being stuck in my ways? Failure to Adult? I have a debit card, I have a checkbook, I am FINE.

Except, okay, I'm 25, having a credit card is not actually an unimaginable thing to do, and possibly actually a good idea. Except...where do I even start? I have five accounts with four different banks (...don't even ask, my family does savings in a way that is the most special), do I talk to one of those? Except the bank that is local doesn't offer credit cards, so that's out. I get mailers from Southwest and stuff, but I feel like that is...somehow not a good plan? AUGH THIS IS SCARY AND BEWILDERING, GIVE ME ADVICE, I seriously have no idea what the fuck I am doing with this nonsense.

Comments

[go-gentle.livejournal.com]

I would say the most important factors in choosing a credit card are:

1. no annual fee
2. rewards (if you don't plan to carry a balance)
3. interest rate (if you do)

I generally find rewards to be weird and opaque and impossible to compare across cards. I suppose that might be an argument to have your rewards be cashback, which is at least predictable. Mine come in points, which somehow get converted to gift card values, which works for me, and I know people who are very happy with earning miles (though they tend to be people loyal to a particular airline).

There are sites that will let you compare all these factors - ie, 'give me all the cards with no annual fee and cashback, sorted by lowest interest.' Unhelpfully, I do not know what any of them are, though google probably does.

This runs contrary to a lot of advice, but if you've got a bank you know and like, and they offer a credit card that isn't terrible, there's probably no harm in taking it if you're feeling otherwise overwhelmed. I think the difference between various rewards programs etc is probably pretty small, especially if you're only putting small amounts on it. (Then again, I am a strong believer in Good Enough for my financial life.)

As for using it, I'd start by putting a small but regular purchase on it, maybe gas or groceries or work lunches, if any of those are predictable for you (or if they're a good match for your rewards), and then pay it in full when you get the bill. (I put basically every single expense except for rent and utilities on my credit card, but I suspect that is a non-standard usage.)

[etben.livejournal.com]

I generally find rewards to be weird and opaque and impossible to compare across cards.

OH GOOD IT'S NOT JUST ME. Now that you say that, I'm realizing that part of my "oh god how do you credit card" damage is my general tendency to want to make the ~*~absolute best choice~*~, and having a really hard time doing that when there are so many different aspects of credit cards to comparison-shop through. Which is in no way surprising, given that I used to regularly get flustered in the Paper Goods aisle, trying to figure out which package of toilet paper was most cost-effective. GOOD ENOUGH, GOOD ENOUGH. *takes deep cleansing breaths*