Another Fucking Credit Card Thread

cardine

cardine

...
Jan 9, 2008
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Yeah I know there's already a lot of them, but my question is a little different.

I'm turning 18 at the end of this week (massive boob post when I do), and I'm going to apply for an Amex card for my AM since I'm currently using 2 of my parents cards. My question is what card (Amex or otherwise) should I apply for that I can actually expect to get accepted for? Cash back and an initially high (and easily increased) credit limit are the only things I want from my card. I know which Amex cards I'd ideally like, but I'll be 18 with no credit history.
 


Good luck.

Apply for: American Express Clear, Citicard Forward. Capital One has some easy credit cards but I've never used them.

Open an LLC. Open a bank account in the name of your LLC. Open a business credit card <---- the fastest way you're going to get a large credit limit.

Don't expect your limit to be anywhere above 3k for your first credit cards.
 
Normal consumer Amex cards are fucked for cash back and AM in general. You know Blue Cash only pays out cash back once a year right? What a fucking joke.
 
I have an LLC that is being held by my parents until I turn 18, and then its ownership will be transfered to me (it's the way my lawyer set it up). However none of my spending or income is going through the LLC so I didn't think it would make a difference. Would getting a business credit card under a mostly unused LLC change my starting credit limit?

If my credit limit is $3k is it easy to increase it by paying on time? I'm spending a hell of a lot more than $3k each month.
 
iPwnNoobs said:
Also, if one was to do this, would it at all negate HORRIBLE personal credit???
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Not unless you had someone else with good credit sign up for your taxid with their social security number. The credit issuer will run the ein and that comes back to whatever social is tied to the llc.
 
eVandals said:
Not unless you had someone else with good credit sign up for your taxid with their social security number. The credit issuer will run the ein and that comes back to whatever social is tied to the llc.
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So if my one of my parents SSN was tied to my LLC would I be able to get a credit card based on their good credit history and then when the LLC transfers to my control I'd have a credit card with a high spending limit?
 
cardine said:
So if my one of my parents SSN was tied to my LLC would I be able to get a credit card based on their good credit history and then when the LLC transfers to my control I'd have a credit card with a high spending limit?
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This is a good question.

To your original question, though, don't expect to get accepted for any Amex on your own. Although here's a tip... Assuming they trust you, get your parents to add you as an authorized user on one or more of their older credit cards. That way, you are piggybacking on their credit and when issuers run your report, your parents' lines will show up. Instant credit history.
 
cardine said:
So if my one of my parents SSN was tied to my LLC would I be able to get a credit card based on their good credit history and then when the LLC transfers to my control I'd have a credit card with a high spending limit?
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Possibly, I'd try it out. Some people purposefully have high fico and credit score individuals help them get credit, so if your parent(s) are tied to it now that's who they will check. Once it's transferred to you it's hard to say whether they will check again and deny you based on the current owner, I've had credit cards become terminated because of changes in my credit score.
 
I just remembered something else. The new credit card act just became law. So it just became a lot harder to get an unsecured credit card if you're under 21. You have to either get a cosigner or be able to document your income now.
 
Are you an authorized user on your parents cards? FICO scoring is still fucked up and will count authorized users so if your parents have a 30 year old card with a large limit and no late payments or anything and they add you it will go on your credit profile and will count in your FICO score. You credit report will show you have a 30 Year old account and whatever limit they have on the card.

Fair Isaac has been unable to fix this loop hole even though they claim to have fixed it several times before.
 
Cardine, even if you get a business card with a high limit and great cashback for your LLC, make sure you also get one for yourself, even if the personal card is a piece of crap. I got my first credit card through Wells Fargo, and because I had no credit history I had to secure it with a cash deposit equal to the line of credit for a full year. About a year later I was looking to get a personal card, so I check my credit score to get an idea of what I can qualify for. Surprise, still no credit history!
So, I call up Wells Fargo and ask them whether they've been reporting all my payments to Transunion, Equifax, or Experian, and they say, "Oh, no, of course not. This is a small business credit card, so we've been reporting it to a business credit agency, Dunn & Bradstreet. Have a nice day fucking yourself!"

It took me another two years of shitty 1% reward cards to build up my personal credit history to the point where I qualified for some decent cards.
 
I had zero credit history when I moved to the states. Here is a rough breakdown of the banks and credit limit:

6 months - $200 capital one card
9 months - increased capital one to $500
12 months - hsbc offered a $500 card, I told them to go fuck themselves
13 months - chase $2,000 shit card
16 months - amex blue $2,000
22 months - chase freedom $5,000
24 months - cancelled capital one
26 months - amex blue upped to $5,000
30 months - amex hhonors card $5,000
36 months - chase $2,000 card bumped to $5,000
48 months - got a new chase freedom $5,000 card and cancelled/combined it with existing $5,000 card for $10,000 limit. also got a second $8,000 card from them
56 months - cancelled worthless hhonors piece of shit card

Left with $18,000 total on chase freedom and $5,000 on amex blue. The total of which is still less than a quarter of my limit on a single overseas card. I also have a nasty credit warning "This SSN is less than five years old" which pisses me off.

Go the LLC route, I'm sure you could get your limit increased much faster.
 
I'll definitely talk to my parents about becoming an authorized user of their card so that I can apply for new ones. I'll also discuss applying under my LLC (which I may end up doing anyway to avoid the bullshit Entrepreneur Tax that I'm paying this year).

Also would current income be able to effect my ability to get a better credit card? I'm making a lot of money with AM, and I could prove it to a credit card company if necessary.
 
also put $125 on a eufora card, they'll fee off $100 but over the course of the year you'll get an on time trade line, which is huge for thin file/no file consumers....you're young so unless you've fucked up already that could really help you.
 
Income level definitely is a factor but it's really about good credit history. Without it you won't get much of a limit without your parents co-signing.
 
You would probably want to apply with your mom or dad as a cosigner. Also, be prepared to send them 2 years worth of tax returns. Even if you filled out an app for the card online and get approved (it takes 10 seconds), they will call and you must send them tax returns or else they will close your account.

edit: this is for amex charge cards from my experience.
 
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