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It's annoying as I use credit cards ONLY for building credit and cashback. Credit cards for me are a tool, not something that costs me money. If it will cost mo
by testimoney2 14y ago
It's annoying as I use credit cards ONLY for building credit and cashback. Credit cards for me are a tool, not something that costs me money. If it will cost money to use it then I'll just stop using it :(
- testimoney2 14y agoNevermind, this law does not apply in these states: California, Colorado, Connecticut, Florida, Kansas, Maine, Massachusetts, New York, Oklahoma and Texas. I'm in New York, so its fine for me :)
- benmanns 14y agoEven if you don't use credit cards often, they still build credit. Likewise, + or - 1% in cash back won't set you forward or backwards too much, especially for the few merchants who will charge fees, to really justify changing habits. Pay 99% at merchant A (cashback), 100% at merchant B (cash), or 104% at merchant C (surcharge on credit card).
- mortehu 14y agoThe cashback reward programs are funded by the fees merchants are paying. The fact that you are using credit cards to get free money from merchants seems to be an argument in favor of this change.
- testimoney2 14y agoYes I haven't thought of it this way :/. Credit history just shouldn't be based of the amount of usage of credit cards.
- dangrossman 14y agoIt isn't. I had a FICO score of 795 with no credit card utilization at all. I get the best loan terms and was approved for a mortgage of up to a million dollars recently. No credit card utilization ratio is required to have an excellent credit score. Simply having a card and stuffing it in a drawer for a few years, while never missing a utility or loan payment, will hit all the marks that matter.