I'm going to get a Credit Card

designMcGee

All,

I'm looking into getting my first credit card. I'm about to graduate from College and the little I've talked about this issue with family and friends hasn't helped a lot.

I know that different credit cards offer different perks, but I truthfully don't know a lot about them. My mom has an Airlines credit card that gives her miles for purchases that she makes. I like that, as the only perk that interests me is air miles because I like to travel.

Is there something I should look for in a particular credit card as a recent graduate? Are some better than others? Visa, MasterCard, American Express? Is there a "best" credit card for me?

jclast

As long as you pay it off every month and are happy with your limit, the only thing different about different credit cards is the rewards program or lack thereof.

That being said, pay it off every month. It makes no sense to pay more for something than the asking price.

Thanatos

Unless you're a much bigger spender than the average college student, you won't get anything out of an airline miles reward program.

I would suggest looking for other perks; I have a card that doubles all manufacturers' warranties, up to a year.

Make sure it has no annual fee.

Reluctant

No annual fee is a good suggestion, if you can get a card that does not require one. With a first card, I'm not certain how picky you can be. (It's been a little while since my first card, and I can't remember the terms of the agreement.)

I think Thanatos is right about the rewards program, if you are as wealthy as I was in college. (Which was not at all.) If you must carry a balance, look for one with the lowest interest rate. If not, then look for one that gives miles; just don't expect to rack up a lot of miles.

MasterCard, Visa, and American Express are pretty much going to offer the same benefits to you. There isn't much of a difference, except...

American Express can be an odd beast. American Express has both revolving accounts (you can carry a balance from month to month) and non-revolving accounts (you pay it off each month). Be sure you choose the one that is right for you. As a student, just in case, I would think you would want a revolving account. A standard Amex card is paid off each month, while a card like American Express Blue is a revolving card. MC and Visa are also somewhat more widely accepted than Amex. Otherwise, I don't think there are large differences between the types.

Thanatos

Reluctant wrote:

No annual fee is a good suggestion, if you can get a card that does not require one. With a first card, I'm not certain how picky you can be. (It's been a little while since my first card, and I can't remember the terms of the agreement.)

I think Thanatos is right about the rewards program, if you are as wealthy as I was in college. (Which was not at all.) If you must carry a balance, look for one with the lowest interest rate. If not, then look for one that gives miles; just don't expect to rack up a lot of miles.

MasterCard, Visa, and American Express are pretty much going to offer the same benefits to you. There isn't much of a difference, except...

American Express can be an odd beast. American Express has both revolving accounts (you can carry a balance from month to month) and non-revolving accounts (you pay it off each month). Be sure you choose the one that is right for you. As a student, just in case, I would think you would want a revolving account. A standard Amex card is paid off each month, while a card like American Express Blue is a revolving card. MC and Visa are also somewhat more widely accepted than Amex. Otherwise, I don't think there are large differences between the types.

Unless you've got bad credit for some reason, you shouldn't have any problem getting a no-annual-fee card. A good place to start is with whoever you bank with currently; they'll usually offer you a good student card.

Also, go with Mastercard or Visa. They're accepted more places than any of the others.

DiscGrace

Congrats on graduation! (What was your major, out of curiousity? I'm an MSU grad myself.)

As Than said, a Mastercard or Visa are going to get accepted in the most places, and that is a big thing to consider. As far as perks go, an Amazon Visa shouldn't be too hard to get if you have not-horrible credit, and: free books. What's not to like?