I signed up for an American Express preferred Blue card and got approved for a limit of $25,000. I have a 830 credit score. I realized that the places I shop don’t accept that card and you have to pay for it yearly so I canceled it.

Then I decided I was going to get a Costco Visa. Once I signed up the credit limit was only $5,000. So I canceled that one. So I stupidly signed up for a Wells Fargo Visa and that was $4,000.

Don’t leave yet and please don’t make fun of me but I’m not done being stupid. I decided I wanted a different American Express card and when I signed up for it the credit limit was $2,000 so I canceled that one.

Again I know I’m fucking stupid but how bad did I just fuck up my credit?

  • jacksilver@lemmy.world
    2·
    6 days ago

    There are a couple of benefits to credit cards (in the US at least).

    • Protection: If some steals my credit card info, I can fight the charges with the credit card company (and am not out any money while sorting it out) . With debit cards the money is gone and you’re fighting to get it back.
    • Rewards: most offer good cash back or point rewards. It means I save 2-3% on average compared to using a debit card
    • Persk: Many cards will add coverage for car rentals or discounts just for using them for the purchase.

    If you pay off the card each month you get all of those persk at zero cost. While technically credit card companies charge stores 2-3% for each swipe, in the US at least there is no price difference for the customer for cash/debit/credit.

    Edit/TLDR: In the US it’s cheaper and safer to use a credit card (if you can pay the balance every month).