# newb credit question :|

**URL:** <https://forums.speedlife.net/t/newb-credit-question/42126>\
**Category:** NYSpeed Off Topic\
**Created:** [January 19, 2008, 5:57pm UTC](https://forums.speedlife.net/t/newb-credit-question/42126 "2008-01-19T17:57:59Z")\
**Posts on this page:** 1\
**Showing post:** 13

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**Author:** ![Nikuk](https://yyz2.discourse-cdn.com/flex034/user_avatar/forums.speedlife.net/nikuk/32/7254_2.png) [@Nikuk](https://forums.speedlife.net/u/Nikuk)\
**Post date:** [January 21, 2008, 5:22am UTC](https://forums.speedlife.net/t/newb-credit-question/42126/13 "2008-01-21T05:22:55Z")

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Since it is a first time card, pay attention as to wether there are any monthly / annual fees.

Alot of begginers cards will have a annual fee, that they will breakup & bill you monthly for. So, you may get, say, $6 / mo bill. IF YOU DON’T PAY IT, YOU WILL BE CONSIDERED LATE.

Otherwise, 10.99% is not too bad to start with, believe it or not.

Whatever you do, keep the card open. Keep it at least 2-3 yrs, depending on what else you do. Since you are just starting out, the only thing you can do is fuck it up; or not fuck it up.  
In otherwords:  
\*Use it sparingly, & pay it off. Keeping a running balance on the card is a stupid urban myth. It will make the finance company happy (as you’re paying interest to them), but will not help you credit scores.  
\*DO NOT BE LATE. Evar. I don’t care if you have to setup biweekly pmts through your banks bill-pay service.  
\*Keep the account open. Average age of account is a SMALL percentage of FICO, but since you’re starting out, each month you keep the account in good standing is a positive.  
\*DO NOT carry running balances greater then 60%, even less is better. Ideally, you’ll keep ZERO running balance on the card.

**Here is the actual breakdown of your FICO scoring (as of 6/2007 model):**

35% Payment History (no lates / 30 days+)  
30% Utilization (total credit lines in use as a percentage)  
15% New credit - how recently you’ve taken out credit, hard inquiries  
10% Average age of accounts

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