Q Talk

[Lynnster67]

QVC raised my credit limit twice in the first year w/o asking.

Having an increased limit actually helps your FICO score, b/c you will have a lower utilization rate, which counts for ~1/3 of your score.  Would you believe I got dinged on my FICO for not having sufficient diversity of debt (i.e., auto loan paid off and never had student loans or a home equity line).  My late grandfather had no credit cards and paid for his Crown Vic in cash, so I'm sure he probably didn't even have a credit rating.

I got a MBNA America visa shortly after graduating.  Over time, my credit limit rose to $50K!  Not sure how I would ever use that -- it's not like I'm going to buy a new car and charge it.  But then during the Great Recession, my credit limit was cut in half.

I'm a transactor, not a revolver.  It's pretty rare for me to owe more than $1K unless I had a major auto/home repair.

[Lipstickdiva]

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@tototwo wrote:

@Katcat1 - Don't cancel any credit cards.  It's a big "ding" on your credit rating.  Keep it, put it in a drawer, and don't use it.  Having a card you don't use doesn't affect your score.  Cancelling one does. 

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Actually it's really not that big of a ding at all.  I've closed accounts before and it didn't impact my score even 1 point.  I am planning on canceling a couple of mine that I never use.  I'm not planning on buying anything anyhow. 

[febe1]

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@elated wrote:

I don't get the big deal. Credit cards are raising my limit all the time. If I used the limit, I would be in deep trouble. I just find it a positive sign that I am worthy of that increase.

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I've never asked for credit "increase." However, the more credit you have the better off you are. Companies only give to the "worthy." And it does increase your FICO score. You want to be able to purchase cars with yours. Be able to, but never use the limited amount. CC's only expect you to use l/3 of their limit. If you use it all, you won't have a very high max.

[febe1]

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@Shanus wrote:

Re: Q Card. It seems instead of perks for using/acquiring a Q Card, like cash back, it would be nice to receive some recognition for long time shoppers who have that card or not.

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I don't use a CC that doesn't give me something in return. Even when I pay off monthly, the CC still makes money off of me.

[febe1]

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@SeaMaiden wrote:

@software  Why does it make a difference? Are you going to spend more because they offer you more credit? Huh? I do not understand.

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Exactly. The higher your credit limit, the better your standing.

If you spend the limit, watch how fast your limit is taken away.

[febe1]

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@Q4u wrote:

I had a QCard for many, many years but paid it off prior to our big move across the country.  Best thing I ever did and honestly don't miss it......  

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I've had CC's all my life and have never paid a dime interest. They work for me: they give me my money for 28 days longer; they settle disputes for me; they give me cash back on each and every item I purchase.

CC's are a win/win for many.

[qvcaddition]

L finally paid off EP.   THEY will kill you, even when you pay off card every month.  Your,'re always paying.  Finally done.  No more Q CARD.  

[Shawnie]

Dont have dont need dont want a QCard.  I have two Visas. I use one for online purchases and the other for day to day purchases.  My limits are ridiculously high.  I ignore them.  They are trying to suck you into debt.  I spend what i am comfortable in paying each month.  

[katiescarlett]

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@millieshops wrote:

Sometimes having the credit card company raise your limit works well because you don't ever have to use the increase, but having access to increased credit can increase your FICO score. 

Counterintuitive, but sometimes that's how it works: the more credit you have and don't use, the higher that score can be. 

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That is true now, but I recently read where they are changing how your credit score is computed.  Right now, they say don't cancel cards you don't use because they look at how much credit you have available vs. how much you use, so you can get a higher score if a lot of credit is available but you don't use much.  The new way will "penalize" you for all the unused credit cards because they will look at it from the standpoint of the "potential" for getting into a lot of trouble with debt - at least that is how the article explained it. 

[Swissguy]

I love the Q card as long as you pay the full balance each month!! Otherwise the horriblly high interest kicks in