Add myself as auth. user to wife's card vs trying to get 2nd card right now?

[dman]

I'm living near work. If I moved somewhere where the housing is less I would also make less. This isn't really a discussion on where to live but more on reasons to rebuild credit. Getting a mortgage, Auto loan, etc. are reasons to get your credit score up and some of the critics need to realize that some people live in expensive areas and are not moving because someone thinks they're paying too much for rent or a mortgage.
Logan

Yeah, but the discussion veered off a bit, and then it was said (I'm paraphrasing) that a cheap house meant you were living in a backwards place with no modern conveniences. My >$25k house which is less than an hour's drive from decent size cities (and 5-10 minutes from smaller towns that still have grocery stores, restaurants, etc.) disproves that. Paved road right next to our house, all utilities, decent sized yard, etc.

This thread has gone so far off topic...there's no hope of it going back on topic. Might as well continue the current discussion

Sure, if you moved somewhere with cheaper housing, you may get paid less (not always...but still). How happy would you be there? How much extra money would you have left over each month? Getting a job that pays $2,000/mo less, with bills that are $2,500/mo less, is a win-win (all else equal).

And yeah, a trailer in Malibu will be expensive...but probably cheaper than a similar-sized site-built home. Both are in Malibu, both are near the same shopping, beaches, restaurants, etc. So, if you HAVE to be in Malibu, check out those really expensive trailers...probably cheaper than the house next door.

[tobee43]

Current house = under $20,000. 3 bedroom, 2 bath. Nearly an acre. With repairs, cost still under $25,000. Wal-Mart 30 minutes away. Big city (with three of them thar Wal-Marts) 45 minutes away. City water (and electricity, and phone, and DSL, and...). We don't grow our own food or knit our own clothes (but we do have a gas fireplace). We can live lean on $1,000/mo, $1,500/mo has us living comfortably.

No, it's not for everybody, but it sure works for us!

that's US...LOL!!! do you live next door???

[Amy26]

Yeah, but the discussion veered off a bit, and then it was said (I'm paraphrasing) that a cheap house meant you were living in a backwards place with no modern conveniences. My >$25k house which is less than an hour's drive from decent size cities (and 5-10 minutes from smaller towns that still have grocery stores, restaurants, etc.) disproves that. Paved road right next to our house, all utilities, decent sized yard, etc.

LOL... its actually amazing how people can misinterpret something and then go off and run with it. My comment was more of a play on what is "debt" and not in the slightest about where people lived and if they were hillbillies etc...

I'll try again to explain, people here speak very adamantly about how all debt is bad and have even given us grief when we say we charge things on our cards and then pay it off immediately... "that's still going into debt!". And my point was utilities are "debt", rent/mortgage is debt and I was actually making reference to days when there weren't things like electricity and running water and if we could all live somewhere without ANY debt then wouldn't that be nice. I wasn't even trying to veer the conversation towards housing and what we pay and what is reasonable etc... lol.

But everyone took this as I was saying you can't live anywhere cheaply unless its in the middle of nowhere with absolutely nothing. It is lovely to know however that people are able to live cheaply a little off the beaten path and still enjoy themselves.

[dman]

that's US...LOL!!! do you live next door???

Maybe, maybe not. I may not be paranoid and put my real state in my profile...or I may have been so paranoid that I picked a state at random. Or maybe I'm SO paranoid I picked my real state, since everyone knows I'm too paranoid to do that

[dman]

LOL... its actually amazing how people can misinterpret something and then go off and run with it. My comment was more of a play on what is "debt" and not in the slightest about where people lived and if they were hillbillies etc...

Yeah, it is very easy to misinterpret this:

It would all be well and wonderful for us all to go live in a big corn field with no running water and a big gas stove and grow our own food and knit our own clothes... (maybe some of you do?) but that is not life (at least not the one I wanna live).

Anyways, back to the off-topic discussion...

It's good to educate yourself, to want to learn what a credit score is, what effects certain things would have on it, etc. But it's also important that people don't become a slave to their credit score. If you're living a cash lifestyle, it really doesn't matter whether you have a score of 500 or 800. Some may say...but the employment checks...and the insurance checks...they don't get your CREDIT score. Insurance companies get a different score that's supposed to assess your risk of being in an accident (so it's not as simple as, this guy with no credit is a higher risk than this other guy with a 520). For employment, same thing...if they look at your actual credit (often the checks are just to verify identity), then they're looking more for things like lots of late payments, collections, etc.; they're not looking to see if you have a good mix of credit (credit cards, charge cards, auto loan, mortgage, etc.).

And so what if you end up paying more for insurance because of your credit? Paying an extra $100/yr or so is a small price to pay to NOT pay tons of interest on a bunch of charged-up cards.

I don't view things like electric bill, phone bill, water bill, etc. as debts. As long as I have enough money in the bank to pay the bill when I get it, I'm fine. Some of my bills come with a "Don't pay, credit balance!" but I pay 'em anyways.

I'm torn about whether to get a "real" credit card again. There's times when it'd come in handy (credit cards are just better for some things than debit, like renting a car). But I started with a card that I kept paid off pretty often. Then it was a rewards card that I'd just charge up and pay off each month to earn points. Then I was in deep doo-doo (and not just from the cards, a lot was from so-called "good" debt). If I got a card again to slowly rebuild my credit...I might end up in the same situation as before. But perhaps I learned my lesson and would use the card responsibly. I know this much...if I don't try, I won't find out...and that'd be fine with me!

[Amy26]

If the insurance company pulls your credit they do get your score... my car insurance went up by 300 dollars a year just because I filed for bankruptcy. Also, I almost didn't get my top secret clearance because of my bankruptcy but my positive history after my bankruptcy saved it. And sure 300 a year may not be a lot in the grand scheme of things... but it doesn't hurt me in the slightest bit to obtain new credit, use it wisely and have my score go up. And, if I don't let the balance carry over...wow...I don't have to pay any interest either. Its a win win. I'm not in debt anymore AND I'm rebuilding my credit. I mean, I still owe 100k in student loans... so I guess I am still in debt... but I don't have any credit card debt... but yet, I have credit cards. On top of that, I can still live on a cash basis and STILL work on my credit. I really don't understand why everyone is so against that. But what works for some doesn't work for others... totally respect and understand that just want everyone to respect everyone else's opinions.

And yes, that is what I said... but it also had a context.

Why wouldn't you view those things as a debt? Those are things you use, sort of on credit, that you must pay for and if you don't pay it, they can come after you for it. Technically anything you owe money on is a debt. So, along the same logic you used... if I have the money in my bank account to pay a credit card balance, I should be fine too.

I mean using a credit card should be no different than if you paid cash... if you can't afford it, don't charge it. If people don't have the discipline to do this then yea perhaps they shouldn't use credit at all but that doesn't make credit the devil and none of us should use it. I personally think credit is stupid and agree with what tobee said earlier that you can get denied credit cause your shoes are the wrong color... but its part of our society and if you know how to use it to your advantage then it can come in handy for more than just getting a card with a high limit.

[dman]

Yes, the insurance company will get A score, but not THE score. A person with a credit score of 600 could have a higher insurance score than a person with a credit score of 620. The score is based off the same information, but the scoring model is different. What that scoring model is, no one knows for sure.

You know what they say about good intentions. You have the best of intentions with that credit card. You will NEVER carry a balance. But then one month you do, then you pay it off the next. Then you carry a balance for a few months. Then you're completely maxed out on all your cards and don't know how you got there. Doesn't mean that WILL happen...but if you don't have a card at all, then there's no slippery slope to navigate, right? One must be careful, know what they're doing, and why. It's not good enough to say "I need this card so I can improve my credit." WHY do you need to improve your credit? To possibly get a lower insurance rate (why not check multiple companies to see if you get a lower quote first)? To buy a new car (have you thought about saving up and buying a used car instead)? To buy a house (this has a whole lot of questions you'd need to ask yourself first)?

You can view utilities as a debt if you want. They don't HAVE to be a debt though (per my bills declaring that I really should not send in a payment). And true, I could go on an electric spree (wee, 50degrees in summer, 90 in winter!), but at least for me, it'd be easier to get thousands in debt with a credit card than with my electric bill.

[ValleYum]

[Logan]

You know what they say about good intentions. You have the best of intentions with that credit card. You will NEVER carry a balance. But then one month you do, then you pay it off the next. Then you carry a balance for a few months. Then you're completely maxed out on all your cards and don't know how you got there. Doesn't mean that WILL happen...but if you don't have a card at all, then there's no slippery slope to navigate, right? One must be careful, know what they're doing, and why. It's not good enough to say "I need this card so I can improve my credit." WHY do you need to improve your credit? To possibly get a lower insurance rate (why not check multiple companies to see if you get a lower quote first)? To buy a new car (have you thought about saving up and buying a used car instead)? To buy a house (this has a whole lot of questions you'd need to ask yourself first)?

No dman, obviously you cannot handle credit because you say "you will NEVER carry a balance. But then one month you do,.................". There are some of us who will NEVER carry a balance and we use our credit cards. There is no slippery slope for me and most likely for Amy. That's what many of you don't get.
Like Amy said, this is the rebuilding credit section. I agree there are some here that are paying interest and other things to improve their credit--I disagree with them. You should never pay interest except for a car, house or student loan. If using a credit card is a slippery slope for YOU then just skip these topics because there are many of us who want credit cards who will NOT go back into debt.
And dman, I just got a target card a couple of weeks ago because when you use it at Target you get 5% off instantly. That card will SAVE me money yet I've been criticized on this board for using cards like this. I find that unbelievable that people actually criticize some of us for SAVING money because THEY cannot handle THEIR credit.
Logan

[tobee43]

Maybe, maybe not. I may not be paranoid and put my real state in my profile...or I may have been so paranoid that I picked a state at random. Or maybe I'm SO paranoid I picked my real state, since everyone knows I'm too paranoid to do that

bk has a tendency to do that. i think it took about two years before we felt someone wasn't watching our every move! LOL!! after a while though, it does start to go away.


back to the topic at hand.

i think we need to remember many people who filed bk, even on this forum wasn't because they charged and charged and charged. personally, from what i have read, and i'm just throwing this out there, it seems to me, most people file because of a job loss, mounting medical bills, change in employment agreement ( cutting hours, benefits, etc.) and, as a result of those situations, used their charge cards for necessities. now, i'm not implying that's true with everyone, but it does seem to be a common thread in many discussions of a stories of a job lose, illness etc. and then someone having to use their cards to keep their lights on heat on etc. i really don't recall anyone said, i'm filing because i went to the islands and europe to many times and i needed a new lexus every year.

i have to be honest and say, i only got my credit scores once in the past almost 3 plus years. again, really because it's where we are in our lifetime. i don't think having a credit card is evil or a bad thing, i think the banksters are, and HATE to have them have any of my money if i fall into a situation that i would have to pay interest.

as for living in a corn filed with no running water and a big gas stove NOT!!! but downsizing from a 4500 sq foot house, to a 2000 sq foot house, i tried to knit once but everything turned into hats???? i wouldn't waste my time growing a tomato and spending a fortune on pestisides to keep the bugs off of it, when i can go to the store and buy one for 35 cents, nor wash my clothes on a scrub broad!

i agree with dman in the respect that one should not be a slave to a credit score! it will drive even the saniest of persons crazy.

i also have to be honest and many of you know, we purchased a house after bk, but did it my owner financing at 100%, slipping right past those darn banks and the credit nightmare, and..nope, it's not a 20k house, but it is what we can afford and not have to worry about where our next dime is coming from. no the house is not in the middle of no where it was the "last of the housing boom" area in this location, unfinished newer homes never selling, so plenty inventory available... it's just 20 miles from everywhere that one would need to go . however, compared to NYC area...it's very different, but now we are finally saving money. we have a lovely home, with a beautiful pool area, it's just not where we would have chosen IF we had the choice. so, i 'm not saying everyone has to move to a corn field to be successful in rebuilding their credit or future.

look i totally understand your postion amy, i just spoke with my daughter last night, attempting to encourage her to go with the FDA mortgage loans and she's saying i can't live in the sticks, which is the only place they will allow them to get a mortage, and she said with my career and hopping the kids from daycare, and gas and this and that. i get it. it's not out of greed, it's also to do with the quality of life, which in the end is the most important thing.

[dman]

No dman, obviously you cannot handle credit because you say "you will NEVER carry a balance. But then one month you do,.................". There are some of us who will NEVER carry a balance and we use our credit cards. There is no slippery slope for me and most likely for Amy. That's what many of you don't get.

If you EVER carried a balance, then I'd consider it a slippery slope. If you NEVER did, even before a bankruptcy, then it's still a slope...but perhaps not quite as slippery. I think the fact that I'm leery of having even a single card, means I HAVE become more responsible with credit. If I do get one, hopefully I'll be so scared of using it that I'll only do so when it's actual useful (i.e. renting a car).

And dman, I just got a target card a couple of weeks ago because when you use it at Target you get 5% off instantly. That card will SAVE me money yet I've been criticized on this board for using cards like this. I find that unbelievable that people actually criticize some of us for SAVING money because THEY cannot handle THEIR credit.
Logan

I guess you do the vast majority of your Target spending online and/or don't have a checking account? For someone like me who has never spent a dime at Target.com and has a checking account, the Target Debit Card gives me the exact same benefits.

[dman]

i think we need to remember many people who filed bk, even on this forum wasn't because they charged and charged and charged. personally, from what i have read, and i'm just throwing this out there, it seems to me, most people file because of a job loss, mounting medical bills, change in employment agreement ( cutting hours, benefits, etc.) and, as a result of those situations, used their charge cards for necessities. now, i'm not implying that's true with everyone, but it does seem to be a common thread in many discussions of a stories of a job lose, illness etc. and then someone having to use their cards to keep their lights on heat on etc. i really don't recall anyone said, i'm filing because i went to the islands and europe to many times and i needed a new lexus every year.

Ok, BUT...a job loss would be an indirect cause of bankruptcy. Job loss leads to charging up your cards, leads to bankruptcy. If you can lead a cash lifestyle...if you think a bit harder about buying the latest and greatest gadget, about buying the biggest and most convenient house, etc...you'll have some money saved up for such a rainy day (and your monthly costs will be less, so your savings would last even longer). If you don't ever use credit (yes yes, more important is that you don't carry a balance), then think of all the interest payments that you're not making...that can go towards savings, a better house, or a new-ish and still great gadget.

Plus, I think a lot here already had big balances on their cards before a major event (job loss, hours cut, medical bills, etc.) happened. It just made a bad situation worse (or perhaps, it made a manageable situation bad).

as for living in a corn filed with no running water and a big gas stove NOT!!! but downsizing from a 4500 sq foot house, to a 2000 sq foot house, i tried to knit once but everything turned into hats???? i wouldn't waste my time growing a tomato and spending a fortune on pestisides to keep the bugs off of it, when i can go to the store and buy one for 35 cents, nor wash my clothes on a scrub broad!

Just a quick point...if one lives out in the boonies, then the chickens will eat those pesky pests for you. No expensive pesticides needed, plus free eggs!

look i totally understand your postion amy, i just spoke with my daughter last night, attempting to encourage her to go with the FDA mortgage loans and she's saying i can't live in the sticks, which is the only place they will allow them to get a mortage, and she said with my career and hopping the kids from daycare, and gas and this and that. i get it. it's not out of greed, it's also to do with the quality of life, which in the end is the most important thing.

BUT...did she seriously consider it? Checked nearby jobs (and if taken to the extreme, see if she could telecommute from her current job, if that would even be an option)? See if there was daycare nearby? See if she could get reduced hours to make up for the extra commute? Crunch all the numbers (money saved due to lower costs of living, minus lost pay due to reduced hours, etc. etc.). If she did, and has decided the best course of action for her is to stay in the city...more power to her! I just see soooo many people stuck in the same place for their whole life...they keep doing the same thing because it's what they've always done, it's all they know, it's "safe."

I think if everyone sat down for one full day and fully evaluated their situation, a lot of people would say "Hrm, so this $100k I've been saving up for a down-payment could BUY a house in {insert location here}? And it'd cost under a thousand a year in property taxes? Wait, I'd save HOW MUCH on my homeowner's insurance? Let's see...only slow DSL and a bit expensive, but HOLY COW THOSE ARE CHEAP ELECTRIC RATES!! Hrm, some cow farms nearby, that could be smelly but OH MY GOSH WHERE'S THE SMOG??!! Hrm, nearest major city is 45 miles away but wait...Google Maps says that it'd only take 50 minutes to drive that far? IT TAKES ME AN HOUR TO DRIVE 15 MILES TO WORK!!! Looks like there may be no cable out there, wonder how much a satellite dish would cost....{couple hours pass} Alright, looks like I better start watching some NASCAR to familiarize myself with the natives' culture."

[Amy26]

I don't see anything wrong with the arguments presented really but again its how it works for YOU. My choices in my life are not strictly surrounding money. Like where I want to live, who I want to live close to, what kinds of jobs I want, the atmosphere I live in.... I do not pick where I want to live strictly based on how much it costs and I do not pick the job I want strictly based on how much salary I get. Did I evaluate my current living situation properly? Well only I can be the judge of that. And if I didn't like it or it was causing financial problems, then I'd probably take care of it. There is nothing wrong with being in the same place your whole life if you like it there and you get by. And you talk about "safe" like its a bad thing... you're not using credit at all because you think its "safer". I don't personally believe that being responsible with credit means you don't have it. Being responsible with credit would be using it properly.

People keep saying on here they people should not be a slave to their credit score...totally agree. I also believe they should not be a slave to pinching every single penny they possibly can. Now, that's just me...and I know its not popular opinion.

In regard to reasons for filing... tobee is correct that a lot of people didn't get here because of wild and crazy spending. I have also said this before that I got there because of being laid off from a foreign company with no way to get unemployment in the states. I lived, for 12 months, on my cash and paying my bills... yes, I had that much money saved up and a little help from family... but guess what...the savings run out at some point! Whether its 3 months, 6 months or in my case 12 months. I couldn't pay my bills after 12 months with no income. So, only solution was to file. It was not because I couldn't manage my finances or I had outrageous debts... aside from my home that was upside down by 150k... which made BK a no brainer. BK is a tool and I used it. I found a new job shortly after I filed and now life is back to "normal".

I dunno maybe I'm wrong, but you guys that are "cash only"... how long could you survive without any income whatsoever? What exactly is the breaking point for someone doing everything perfectly in your eyes... I know the economists say you should have enough saved to live without money for like 3 months... but what happens after 3 months or more? At some point, in bad times, everyone needs a bit of assistance.

And I totally agree with Logan ... there is no slippery slope. Its just like living cash only... if you don't have the cash for it...don't charge it. Now, if having the credit card is just too much temptation and you're not disciplined enough to use them wisely, then ya don't use them. Like Logan, I have rewards cards... I actually MAKE money on them. My Navy Federal rewards visa gets me lots of cash... like last night... I bought 119 dollars in groceries, put it on the credit card and then when I got home I made a payment on my credit card of 119 dollars. Easy peasy Japanesey... I was going to purchase the groceries regardless of which account it came from... and being that I bank with Navy Federal its so easy to just move the money from one account to another. I typically run about 3,000 to 5,000 dollars a month through this card and the rewards add up. But again, nothing goes through this card that I don't already have the cash to pay for it with. So, there is no slope... I am disciplined enough to only charge things I would normally be buying with cash. Is this strictly frowned upon just because we filed for bankruptcy? Or would non bankruptcy citizens have the same stigma put upon them if they were "using credit to their advantage" as well?

Oh, and LOL at Tobee knitting everything into hats.... haha.

[Logan]

And I totally agree with Logan ... there is no slippery slope. Its just like living cash only... if you don't have the cash for it...don't charge it. Now, if having the credit card is just too much temptation and you're not disciplined enough to use them wisely, then ya don't use them. Like Logan, I have rewards cards... I actually MAKE money on them. My Navy Federal rewards visa gets me lots of cash... like last night... I bought 119 dollars in groceries, put it on the credit card and then when I got home I made a payment on my credit card of 119 dollars. Easy peasy Japanesey... I was going to purchase the groceries regardless of which account it came from... and being that I bank with Navy Federal its so easy to just move the money from one account to another. I typically run about 3,000 to 5,000 dollars a month through this card and the rewards add up. But again, nothing goes through this card that I don't already have the cash to pay for it with. So, there is no slope... I am disciplined enough to only charge things I would normally be buying with cash.

Amy, have you checked out Perkstreet Financial. I used to get 1.25% back for purchases with USAA but now use Perkstreet because I get 2% back. It's a debit card so everyone here should be happy (sarcasm) but you do need 5k in your checking to get the 2% otherwise it's 1% and they have monthly perks that you get 5%. Next month it's at Apple stores and Amusement parks.
logan

[tobee43]

Amy:Ok, BUT...a job loss would be an indirect cause of bankruptcy. Job loss leads to charging up your cards, leads to bankruptcy. If you can lead a cash lifestyle...if you think a bit harder about buying the latest and greatest gadget, about buying the biggest and most convenient house, etc...you'll have some money saved up for such a rainy day (and your monthly costs will be less, so your savings would last even longer). If you don't ever use credit (yes yes, more important is that you don't carry a balance), then think of all the interest payments that you're not making...that can go towards savings, a better house, or a new-ish and still great gadget.

Plus, I think a lot here already had big balances on their cards before a major event (job loss, hours cut, medical bills, etc.) happened. It just made a bad situation worse (or perhaps, it made a manageable situation bad).

you're most likely correct. although, i also think some did get into the mess not from just buy luxury items. (be still my heart, i know there are people out there like that!)

Amy: Just a quick point...if one lives out in the boonies, then the chickens will eat those pesky pests for you. No expensive pesticides needed, plus free eggs!

ROFL!!!! no, chickens don't eat the buggies on the tomatoes...wish they did!! food chain out in the boonies doesn't always work that way. chickens...you really made me laugh, we had them when we were in college and i would feed them veggies and get green eggs. i'm NOT doing that again!!

Amy: BUT...did she seriously consider it? Checked nearby jobs (and if taken to the extreme, see if she could telecommute from her current job, if that would even be an option)? See if there was daycare nearby? See if she could get reduced hours to make up for the extra commute? Crunch all the numbers (money saved due to lower costs of living, minus lost pay due to reduced hours, etc. etc.). If she did, and has decided the best course of action for her is to stay in the city...more power to her! I just see soooo many people stuck in the same place for their whole life...they keep doing the same thing because it's what they've always done, it's all they know, it's "safe."

I think if everyone sat down for one full day and fully evaluated their situation, a lot of people would say "Hrm, so this $100k I've been saving up for a down-payment could BUY a house in {insert location here}? And it'd cost under a thousand a year in property taxes? Wait, I'd save HOW MUCH on my homeowner's insurance? Let's see...only slow DSL and a bit expensive, but HOLY COW THOSE ARE CHEAP ELECTRIC RATES!! Hrm, some cow farms nearby, that could be smelly but OH MY GOSH WHERE'S THE SMOG??!! Hrm, nearest major city is 45 miles away but wait...Google Maps says that it'd only take 50 minutes to drive that far? IT TAKES ME AN HOUR TO DRIVE 15 MILES TO WORK!!! Looks like there may be no cable out there, wonder how much a satellite dish would cost....{couple hours pass} Alright, looks like I better start watching some NASCAR to familiarize myself with the natives' culture.

oh yes, and she does some remote work, but she runs a large agency besides seeing clients in mental health. she is a PhD with her mba, and is really the sole support since her husband for six years as been unable to keep a teaching job for more than a year at time. she has meetings with the state, and such, she must attend, she has to oversee billing, all the clinical side and the business side of this company, so, it's very hands on. he's unfortunately has a double masters and no one wanted to pay him. so then moved to NC where there was teaching openings, she found a job in a second and so did he, prior to their move. so...what happens at the end of the school year???? he gets laid off AGAIN. as it is, she's been going 90 miles one way and leaving at 8 in the morning and getting home at 7. he JUST got another job in the durham area, (she was smart, i wanted her to buy asap when they moved down there last aug, but she said NO, i need to see if his job is stable and...it wasn't). so now her job and his are both in the durham/raleigh nc area. so she KNOWs that's where they want to go. FDA will not finance near the city. and of course, we can't help.. otherwise in the "old" days we would have been able to co sign for her.


ROFL!!!!!!!! you are way to funny!!!! i like cows, but here we have armadillos...can you eat those???

like possum stew??? armadillo stew...

Amy:Oh, and LOL at Tobee knitting everything into hats.... haha

that was when i was attempting to do some "woman" type bonding experiences..LOL!!! didn't work very well for me..