Hello I am a 21 year old and I am barely learning about credit cards recently I got a new CC from Capital One and I got 0% APR for 15 months with 3% back at every purchase and a $3,000.00 limit. And I probably have 2-3 months with the card the question is I own around $1,100.00 recently paid $500.00 and it’s due until the 20th and I was thinking on paying another $500.00 next week and the rest the week after. Instead of the full $1,000.00 but if it will in a future affect my credit score then I can go ahead and pay the full amount that I own before the due date. Any opinions or advice?
Capital One doesn’t have a 3% back on everything card
Jane said:
Capital One doesn’t have a 3% back on everything card
ummm yes they do and I have one?
Jane said:
Capital One doesn’t have a 3% back on everything card
ummm yes they do and I have one?
The SavorOne is 3% on select categories. Maybe you have some unique promo that temporarily gets you 3% on everything for all I know.
People are asking because a 3% on everything card is a major unicorn that doesn’t exist at the moment and would be a very big deal.
@Tariq
Robinhood card exists
Just not people’s favorite issuer
Just not people’s favorite issuer
Oh I know it exists, but specifically excluded it because one has to pay a gold membership to get a spot to maybe get the card one day. Anecdotal data points if RH weaseling out of 3% cash back on this sub, too.
It’s typical Fintech trash, and is effectively guaranteed to be nerfed. There’s a reason no real bank offers it.
@Tariq
BILT is fintech
So is Aven
It’s not trash. I think it’s arguably the best card for a young person that wants to learn how to invest and eventually become wealthy
I do kinda wish they would make tiers. 2% base, 3% if you hold $10k with them, and 4% if you hold $100k+.
The only negative is those fringe cases of the card not being accepted
@Keelan
Robinhood is for people who want to YOLO crypto or impulse purchase individual stocks based on what influencers get paid to pump or rugpull.
I think it’s arguably the best card for a young person that wants to learn how to invest and eventually become wealthy
I’d myself suggest the Fidelity card set to auto invest based on the Boglehead approach (I’d suggest Vanguard if they had a card, of course) for anyone truly looking to learn and invest for their future.
Jane said:
Capital One doesn’t have a 3% back on everything card
ummm yes they do and I have one?
What’s the name of the card then
No, there’s nothing wrong with taking advantage of 0% APR, with some caveats. It’s free money if used correctly.
With that said, it won’t meaningfully affect your credit as long as you’re paying the minimum due with each statement. Your utilization impact will fluctuate, as it always will each month anyway.
The caveats are that lenders rely on you messing up and getting used to floating balances, which will put you in the mindset of paying interest after your promo period. The ideal practice is to 1) not use the promo as a mechanism to spend more than you can pay back, 2) ensure you have the funds in some form to pay the balance back, 3) put that amount in a high yield savings account, and 4) pay off using those earmarked funds before the promo ends.
@Tariq
TYSMMM.
what capital one card gives 3% back on everything?
Tilden said:
what capital one card gives 3% back on everything?
yes if the orange credit card (savor) if i am not mistaking!
Tilden said:
what capital one card gives 3% back on everything?
yes if the orange credit card (savor) if i am not mistaking!
That doesn’t give you 3% on everything… only on restaurants, entertainment, groceries and streaming. Everything else is 1%
@Jane
Those are probably “everything” to a 21 year old with no real expenses to speak of.
I’ve done this, I just got a new card to continue doing this. I have the money to pay it off, just want to have cash on hand. Nothing wrong with it. No lasting effects on score once you pay it off.
Just make sure you can pay it off. Don’t get yourself into a hole.
@Brennan
this is so smart no cap lol!
No, just make sure when the time comes you have the money to pay off the card.
I’ve been sitting on a balance on my 0% card since I opened it last year. November ends the 0%, but I have the cash sitting in a HYSA. I’ll pull out and pay it.
@oddah
HYSA? what’s the meaning of that?
Mckinley said:
@oddah
HYSA? what’s the meaning of that?
High yield savings account - put your money in one of those and you’ll make money on the balance you’re holding.