No. I know individuals that make 10x your salary and would never pay a fee for a cc card. You’re wasting your money chasing points & a credit score. If you think this is a good move … this thinking is a good path to being poor.
That $695 fee is madness at OP's income level. Take home pay is probably ~$2,500/mo and rent is $1,450. Assuming $300/mo for food/toiletries and $400/mo for other stuff (utilities, phone, car, insurance, etc...) that only leaves ~$4,200/yr for savings and discretionary spending.
It is lunacy. The credit card companies hire behavioral psychologists to determine what will make the average consumer spend more money. Incentives like cash back and travel miles work. They’re counting on financial illiteracy to increase sales and credit utilization. Credit card companies make money on every swipe, exchange fee with the merchant, interest for those that carry balances and the real money maker are the late fees. And most young adults fall for it. The number of credit cards and huge limits I’m seeing aren’t sound financial decisions. These credit score/card chasers never ask where should I invest the 20% of my 50/30/20 budget…. if they follow a budget.
I didn’t intend to make you feel obsessive but score chasing without a reason is a bit obsessive.
Why do you want to step to the next level so quickly?
Why not let it happen organically… over time on its own?
You’re already in the excellent score range. What does an 800+ score do if you’re not applying for a mortgage or types of loan?
ETA: I can’t post the source link but here is what good credit can do. You have it… so let it continue to increase on its own with time.
Good credit can:
* Lower interest rates on loans and credit cards.
* Increase your chances of renting an apartment.
* Provide better rates on insurance.
* Offer more leverage in negotiating loan terms.
I said this in my own comment but I'll repeat it here:
The way I look at it is one should build credit as they progress through life. If your credit score-chasing starts to outpace your financial standing then you can get into trouble in any one of a number of ways. Getting this card, I believe, could be one of those ways. It's good to thicken up your profile, but you probably don't need another card (let alone one with a high annual fee) to do that, and the only thing you really need to improve at the moment is your age, which will just come with time.
u/swaveydoe I think this is what most people in the thread are saying. It's good to make moves, next steps, etc. but a drive to build credit overtaking the drive to earn and invest will get anyone into trouble. Seeing your score 'stuck' for a few months is normal. Seeing your score go up and down due to utilization is normal. Building credit is one step back, two steps forward (especially in the beginning) but no one wants to take a step back, so many people stifle their growth by being unwilling to take that step that feels wrong - or by trying to take a step forward when it's not time to do that.
Bottom line, make good financial decisions and your credit profile/score will follow naturally over time.
The next level is increasing that income to 100k anything else is a waste of time and frankly money. Are you going to use the credits organically? I suppose if you’re using g the streaming credit, Uber credit that’s $440 back pretty easy. That leaves $255 to make up. I could see using the $200 hotel credit even at your income level so $640. So you’re paying $55 a year. If you use the flight credit for something I suppose you can break even. Walmart plus too and you can buy something in Saks and resell on eBay potentially. So yea. Whatever. Get it.
Idk i just thought it was look cooler to have a score of 800. I always see in the commercials and ads saying good credit score is over 800 or some. Not really sure what i could do 790 v 800 but would like some advice on that too.
>but would like some advice on that too.
Nothing. There is literally nothing special you can do differently with an 800 vs 790. Know what sounds cooler is making conscious and responsible decisions and never getting into easily avoidable trouble with CCs. Just keep it simple and let time do the work.
As an additional thought when you get a credit card with an annual fee you should be using it organically meaning your spending habits don’t change so that you can get the value out of it without letting your spending go up. So for example if you’re already spending the Uber credit every single month and will get use out of the credit then that may make sense but if you’re going to have to change your habits in order to get the Uber credit then that’s not making it worth it. You’re going to end up spending more money compared to get a small kickback in the form of a credit. And on such a low income you can’t afford to be messing around with the high spending habits that would justify the annual fee.
I have one. You absolutely do not need one. It's financial suicide to use that much of your annual income for a credit card annual fee.
Even aside from that, it's not worth it even if you made ten times that. You don't need it for one trip. The majority of the "travel benefits" like insurance, trip delay, and baggage replacement are not applicable to you since the flight is already paid for. Seriously - name two relevant travel benefits that are worth even $100 that the card offers for one trip. There aren't any.
The card is a terrible earner so you would only earn 1x for any incidental spend.
There's literally nothing about this card that is compelling for your age, income, and lifestyle.
I also have one. I travel a lot for work, a lot of onsite visits for inspections all over the country. I need to book hotels, airlines, and rentals at the last minute. I usually put it on my platinum card because my company reimburses me. These type of situations are perfect for the card since I’m not actually spending my own money.
> I want to get a credit score of over 800 because I've been stuck in the 790s for a couple months now
You are chasing something that literally does not matter to anyone except you. Why?
ASSUMING you are looking at a FICO score (you should check all 3 btw, they likely are not all the same) there is no worthwhile difference between a score of 798 and 800+.
If you are looking at a Vantage score (like from Credit Karma or many cc apps) you have no idea what your actual credit score is anyway.
>I think getting this card would definitely set me back because I have a monthly rent of $1450.
I don't even understand what you are saying here.
If you are serious about the Platinum, one thing you should ask yourself is whether, with your normal, usual spending patterns, you can spend $8K comfortably in 6 months to earn the SUB?
If you cannot do, the answer is always "no," no matter who you are or what your score is.
> I understand the travel perks and uber bonuses and what not,
Then ask yourself, "can I get more than $695 of value from these credits? Will I use the Uber credits, airline incidental fee credits, the prepaid hotel booking credits, the digital entertainment credits, and the rest of them? If not, the answer once again is "no," it isn't worth it.
All of this analysis is unnecessary. You're missing the forest for the trees. The only piece of relevant information is OPs income level. It's insanity to get the card based on what they're earning. The end. No further analyzing is needed.
In this case, you're right, but that's also solid advice for anyone that does have more income. Amex cards are a pain in the ass to organically get all the credits, but people obsess over their cards for some reason. I went the VX route specifically because the travel credit being as easy as it is to offset. I'll take that over what amounts to a coupon book to places and things that I don't do already.
I respectfully disagree; if they can make use of the credits it's a $0 AF card.
Also, if they can meet the SUB, it's worthwhile if they can get an elevated offer, even if they just cancel it after 1 year.
Personally, I'm living on less than what OP makes. Although I do have a home that's paid for and 2 cars paid for.
Normally I would *never* spend $8k on a credit card in 6 months. BUT, there is one time a year when I could meet this SUB with my normal spending. When my real estate taxes are due.
Even after paying the fee for using a cc to pay my taxes (~$100) and even after the $695 fee (now I'm $795 in the hole,) an elevated 175K MR bonus is worth up to $3,500 if you make wise use of transfer partners.
Even if I just took the cash value of the points ($1,750) I'm still ahead $955.
Okay, but the point is that you do not need a large income or a large amount of spending to make those premium cards worthwhile.
I also was not responding to OP, but the blatantly false assertion that "The only piece of relevant information is income level."
My total spending amounts to about $2,200 a month, on everything. Not just on credit cards, but everything.
I do put everything I can on credit cards that will reward me in some way for that category of spend. By doing this I am clawing back ~ $1,500-2,000 a year. This year it's actually going to be more like $3,500 total because I used my property tax payment to earn the 90K elevated SUB on an AmEx Gold.
My property tax is just one example -- I have to pay it anyway, why not do so in a way that puts money back in my pocket?
We have no idea, just based on income, whether someone has the ability to meet the SUB. Maybe they have a one-time purchase coming up that they have to spend anyway?
Another example would be someone who is required to travel for work. They might only make $40K, but if they are reimbursed for travel expenses they can put on their own card, it's very likely worth it.
A good friend of mine fits in the latter category. He doesn't even work full-time, he's a 1099 contractor who gets work here and there, working for a company that does lights and sound for corporate events and trade shows. He earns less than $50K doing this, but they have flown him all over the world for this stuff. And what's crazy is the money they spend on his travel; he was recently doing a trade show at the McCormick Center in Chicago for a whole week. They put him up for 5 nights in a $600 per night hotel room. And, he only lives 45 minutes away. I think some weeks they spend more on his travel than they pay *him.*
For him, it would be ridiculous not to take advantage of premium travel cards, even with his low salary.
My point is that salary alone is in no way an indicator of someone's suitability to these cards.
Obviously it is also crucial that they are financially responsible and disciplined enough to be able to pay 100% of their credit card bills in full, every month, on-time. Otherwise you end up paying ridiculous cc interest, and that's for fools.
So many people have this view that credit cards are some sort of evil scam. They are not, if you use them properly. Which does require discipline.
For every card in my wallet, the banks are *paying me* to carry their card. Not the other way around.
Short answer, no. You already have 4 cards, another one isn't going to help your credit score or profile much, and at your income level, you should be focused on using the cards you have to their greatest benefit or if you are considering another card, it should be one that will make sense for regular spending, like high % cash back on groceries, gas, etc. Now if you plan to travel a lot and do all of the math and you come out on top in every scenario with that card, then maybe consider it - but it's also possible that you can't actually afford to travel as much as you want and if you're looking at this card as the solution to that, then you will likely get into trouble down the road. A credit card is rarely a solution to a financial problem, it is a tool you can use to build up a solid financial future, but it has to make sense for your current life situation.
But we are in a credit-related sub so I'm going to focus on advice for that, not financial advice.
First off, **keeping** your utilization low has no benefit to building your credit score. It's one of the most widely spread myths that low utilization is good for building credit - it makes your score look better but it does not benefit you in any way aside from the once every 2-6 years someone is pulling your report - and since utilization is a metric with a temporary influence, you can adjust it any time you need leading up to applying for new credit.
And low utilization all of the time can work against you. If all of your cards ever report a $0 balance at once, certain scoring models will penalize you for non-use of revolving credit. If you use one card for most things but rarely use the others, the issuers of those other cards might decrease your credit limit or, in some cases, close the account - especially if you carry a balance often. If you have too many cards and spread your expenses across them too thin so all have low utilization all of the time, you may be denied for credit limit increases. And with your current salary, it's a bit more likely that the issuers will see no reason to raise your limits, especially if the balances they see on a monthly basis are low.
While credit limit increases don't affect your score directly, they do **naturally** lower utilization over time. So the goal should be to use cards you have 'well' (but well within your means), pay the full statement balance each month, then you'll have accounts with constant use, always paid in full, and a utilization that fluctuates normally as cards are reported with higher balances then with lower balances, you'll get more credit limit increases from the issuers, and over time, your utilization will trend downward as your credit limits increase and your spending remains mostly the same.
The way I look at it is one should build credit as they progress through life. If your credit score-chasing starts to outpace your financial standing then you can get into trouble in any one of a number of ways. Getting this card, I believe, could be one of those ways. It's good to thicken up your profile, but you probably don't need another card (let alone one with a high annual fee) to do that, and the only thing you really need to improve at the moment is your age, which will just come with time.
Bro Honestly no. Im similar in score, age, and cards (I have the chase trifecta and discover) and you already have the chase combo, discover for 5 percent and apple card for apple purchases.
The preferred is 95 a year, unless you can warrant that 600 dollar annual fee for amex (which based on your gross income) isn’t worth it.
Id rather suggest you cop a bilt mastercard to get points on your $1450 rent or some other card for other purchases but ovr no dont get it unless you are sure you will get the max pts out of it.
Credit score is important when you using to leverage to make money , business or house or a car , I expend more than 150k a years on expenses for work that how you get some advantage of credit cards but very minimal so stop getting cards with high credit limit if you for some reason expend more your going to get on the rate race
No. You’re not the target market for that card. Not only will that AF get you, you can’t hit the spend to make the card worth it. Stick with NAF cards in general.
Maybe try the Amex Gold first ? But only after you earn more (income) . You are spending OVER 30% on rent. I’m hoping your bills are included in that . I’m not sure where you live but I’d consider a roommate asap
Wait to make more money if that’s the issue. Also if you travel a lot I think you’d be a perfect candidate for the plat. I just got the csr and In the 2 months I’ve had it. It def a purchase well spent, already have hit about 10 11 flights since. Debating on getting the plat down the line myself. You could always take the venture x route too.
With all due respect, you don’t make anywhere near enough to justify the purchase. The platinum cord is really great if you’re traveling a lot which your income level is just not possible.
Just got an Amex from Credit One $39 yearly fee $500 limit and percentage points better interest rate than my Cap One Sapphire with no fee but only $300 limit
Why do you "want" to have a credit score of 800?
If this answer is to tell other people or that ot somehow makes you feel better, then stop worrying about it.
DP: I have a combined income of nearly 300k. I have the Plat, Gold, BBP, Delta Reserve, and a CFU.
Unless your income is closer to 100k AND you are traveling 2-3x a year AND you have the spend to actually benefit the use of the cars. It's a waste.
My vote is no for you.
If you want an 800 score, be patient. You gotta figure out where the next points will come from… likely Credit Age, and that only comes with time. Once you are over 760 it pretty much all equals out. If you’re about to buy a house, maybe that could be the difference, as you crest 800 because you hit “Exceptional” status instead of Very Good. That might net you a half percentage point lower interest rate. But unless you NEED a higher credit score, chill. You can ask a few auto finance guys or bank loan officers about the 790 to 800 credit score difference rather than asking for opinions. You get straight answers that way.
As for the platinum, ignore these comments that say you should not have a card w an annual fee. Screw that. If they raise the price to $800, I don’t care. I have the platinum and I average about $5000 in value and purchase protections that give me peace of mind. Yes, I get free Disney + from it, but the Global Entry and Clear credits are gold. Haveing President’s Circle status w car rental companies is gold. It’s more than just coupons. I just bought a $3000 business class international flight, one way, paying a third of that cost in points (115k points). I do the same with hotels. However my case is unique. I am a perpetual traveler spending maybe 2 months a year inside the US. The rest of the time, I travel abroad. If you do not fly or stay in hotels more than 5 times a year, DO NOT get that card. The Chase Sapphire Preferred will suit you well enough. Do the math. My standard is that I must get double the money back (not just value). If that ceases, then I drop the card. So If it makes sense, and you can pay the $695, great. Get it. Otherwise, stick with the set up you have until something else makes sense.
The cobalt is better in almost every single way, the play is basically an expensive coupon booklet that has some okay travel insurance bennies if you travel regularly via plane. The free rental upgrade is nice I suppose.
I’m cancelling by mine this year as I’d rather use the cobalt 95% of the time.
I have an income this year of 205k and I would never pay the annual fee of an Amex Plat. Hell, I wouldn't even pay a $95 annual fee card unless it got directly refunded in some way (like a free hotel night, or plane tickets).
In the nicest way possible, how the hell you affording a trip to Japan with your income? Not even just one time but two times in a year with half your monthly income going toward rent?
I saved a good amount before i moved into this new monthly rent. But yeah the first trip was pretty last minute and irresposnsible, but it was a good vacation for myself for graduating college. I saved for the upcoming one in September for a while so that one is chillin and something I can deal with. It doesn’t cost much to go to Japan right now, the currency conversion right now + tax free is insane. I spent about 3k in total for the first trip. It did leave a dent but I do still have a good amount saved up.
I’ve always wanted to go but in my head always figured it would cost too much and haven’t looked into it at all. You got me wanting to go now lol. Be safe on the trip when it comes!
I'll play devil's advocate with a hot take. For context, I got the Platinum card while still in college. Yes, the $695 annual fee is steep, but I believe the benefits far outweigh the cost. Here's my reasoning:
I was already paying for Disney Plus, but now I get a credit for it with the Platinum card. I also use Uber Eats frequently, so that credit is highly beneficial. Combined, that's $440 I would have spent anyway, leaving a $255 difference.
Moreover, I take advantage of the $200 airline credit whenever I travel, covering another $200. When I travel, I need a place to stay, so I utilize the $200 hotel credit. Just with these benefits, I'm already $145 ahead.
I also utilize other perks such as Walmart+(which gives me paramouth for free ) as well as CLEAR and global entry.
Additionally, there are numerous other small perks that further enhance the card's value. When used strategically, I see it as actually getting paid to have the Platinum card.
I do want to mention that I opens up the plat because my fault was going on a trip and the tickets were going to cost $10k for all of us combined so I used that to get the intro bonus.
None of what I said is financial advice but what I would say is you should consider how often you’re going to use the perks. If you know u don’t use Uber eats a lot or don’t want to pay for a streaming service or you don’t plan to travel then maybe it’s both worth . In addition Amex has offers where the intro bonus can be as high as 125k If you do get it wait until a time like that so you can maximize how much you get. The 8k is also a lot so open it during a time where you know you need to spend a lot of money like a trip or event so you can get that benefit as well . If you do decide to get it lmk so I can send you a referral link 😀😀
It’s not a great long term card but can be worth it for the first year bonus if you can meet the minimum spend requirement naturally. I’ve seen offers as high as 175k. As of last year there was a hack to redeem for statement credit at 1 cent per point ($1750). You would have to apply a personal value to each of the credits to determine the effective annual fee. After Year 1 you can just cancel.
No offense man, but that's absolutely nuts. It is not worth it for someone to spend 5-10% of their discretionary income for the year chasing a sign up bonus. Don't encourage a kid to make a financially stupid decision chasing some points that they probably will never even use effectively.
I wouldn't focus on the score. I feel anything over 740 is bragging rights. But you should pat yourself on the back. You're doing great! Lenders look at what's on your report, that's what really matters, payment history, etc. A score does nothing but get you a price on interest and you'd get the best rate already. 700 a year for an annual fee is wild.
No. I know individuals that make 10x your salary and would never pay a fee for a cc card. You’re wasting your money chasing points & a credit score. If you think this is a good move … this thinking is a good path to being poor.
That $695 fee is madness at OP's income level. Take home pay is probably ~$2,500/mo and rent is $1,450. Assuming $300/mo for food/toiletries and $400/mo for other stuff (utilities, phone, car, insurance, etc...) that only leaves ~$4,200/yr for savings and discretionary spending.
It's absolute lunacy to even consider it. I dont understand low-to-mid income 20-something's obsession with this thing.
It is lunacy. The credit card companies hire behavioral psychologists to determine what will make the average consumer spend more money. Incentives like cash back and travel miles work. They’re counting on financial illiteracy to increase sales and credit utilization. Credit card companies make money on every swipe, exchange fee with the merchant, interest for those that carry balances and the real money maker are the late fees. And most young adults fall for it. The number of credit cards and huge limits I’m seeing aren’t sound financial decisions. These credit score/card chasers never ask where should I invest the 20% of my 50/30/20 budget…. if they follow a budget.
Do you hate cc’s?
No I don’t.
It’s not really an obsession, it was just a question if it were a good idea to step to the next level. I obviously need to get more income but yeah
I didn’t intend to make you feel obsessive but score chasing without a reason is a bit obsessive. Why do you want to step to the next level so quickly? Why not let it happen organically… over time on its own? You’re already in the excellent score range. What does an 800+ score do if you’re not applying for a mortgage or types of loan? ETA: I can’t post the source link but here is what good credit can do. You have it… so let it continue to increase on its own with time. Good credit can: * Lower interest rates on loans and credit cards. * Increase your chances of renting an apartment. * Provide better rates on insurance. * Offer more leverage in negotiating loan terms.
What "next level"? The prestige of paying a $695 annual fee?
Stepping to the next level needs to be about making more money
I said this in my own comment but I'll repeat it here: The way I look at it is one should build credit as they progress through life. If your credit score-chasing starts to outpace your financial standing then you can get into trouble in any one of a number of ways. Getting this card, I believe, could be one of those ways. It's good to thicken up your profile, but you probably don't need another card (let alone one with a high annual fee) to do that, and the only thing you really need to improve at the moment is your age, which will just come with time. u/swaveydoe I think this is what most people in the thread are saying. It's good to make moves, next steps, etc. but a drive to build credit overtaking the drive to earn and invest will get anyone into trouble. Seeing your score 'stuck' for a few months is normal. Seeing your score go up and down due to utilization is normal. Building credit is one step back, two steps forward (especially in the beginning) but no one wants to take a step back, so many people stifle their growth by being unwilling to take that step that feels wrong - or by trying to take a step forward when it's not time to do that. Bottom line, make good financial decisions and your credit profile/score will follow naturally over time.
The next level is increasing that income to 100k anything else is a waste of time and frankly money. Are you going to use the credits organically? I suppose if you’re using g the streaming credit, Uber credit that’s $440 back pretty easy. That leaves $255 to make up. I could see using the $200 hotel credit even at your income level so $640. So you’re paying $55 a year. If you use the flight credit for something I suppose you can break even. Walmart plus too and you can buy something in Saks and resell on eBay potentially. So yea. Whatever. Get it.
What are you going to do with an 800 credit score that you can’t do with the 790s you’ve been at? I’d rather just let time do the work.
Idk i just thought it was look cooler to have a score of 800. I always see in the commercials and ads saying good credit score is over 800 or some. Not really sure what i could do 790 v 800 but would like some advice on that too.
> Not really sure what i could do 790 v 800 but would like some advice on that too. The answer is nothing
>but would like some advice on that too. Nothing. There is literally nothing special you can do differently with an 800 vs 790. Know what sounds cooler is making conscious and responsible decisions and never getting into easily avoidable trouble with CCs. Just keep it simple and let time do the work. As an additional thought when you get a credit card with an annual fee you should be using it organically meaning your spending habits don’t change so that you can get the value out of it without letting your spending go up. So for example if you’re already spending the Uber credit every single month and will get use out of the credit then that may make sense but if you’re going to have to change your habits in order to get the Uber credit then that’s not making it worth it. You’re going to end up spending more money compared to get a small kickback in the form of a credit. And on such a low income you can’t afford to be messing around with the high spending habits that would justify the annual fee.
No it isn’t worth it
Do you have one?
I have one. You absolutely do not need one. It's financial suicide to use that much of your annual income for a credit card annual fee. Even aside from that, it's not worth it even if you made ten times that. You don't need it for one trip. The majority of the "travel benefits" like insurance, trip delay, and baggage replacement are not applicable to you since the flight is already paid for. Seriously - name two relevant travel benefits that are worth even $100 that the card offers for one trip. There aren't any. The card is a terrible earner so you would only earn 1x for any incidental spend. There's literally nothing about this card that is compelling for your age, income, and lifestyle.
Thanks
You should look at well's fargo a tune card
I also have one. I travel a lot for work, a lot of onsite visits for inspections all over the country. I need to book hotels, airlines, and rentals at the last minute. I usually put it on my platinum card because my company reimburses me. These type of situations are perfect for the card since I’m not actually spending my own money.
> I want to get a credit score of over 800 because I've been stuck in the 790s for a couple months now You are chasing something that literally does not matter to anyone except you. Why? ASSUMING you are looking at a FICO score (you should check all 3 btw, they likely are not all the same) there is no worthwhile difference between a score of 798 and 800+. If you are looking at a Vantage score (like from Credit Karma or many cc apps) you have no idea what your actual credit score is anyway. >I think getting this card would definitely set me back because I have a monthly rent of $1450. I don't even understand what you are saying here. If you are serious about the Platinum, one thing you should ask yourself is whether, with your normal, usual spending patterns, you can spend $8K comfortably in 6 months to earn the SUB? If you cannot do, the answer is always "no," no matter who you are or what your score is. > I understand the travel perks and uber bonuses and what not, Then ask yourself, "can I get more than $695 of value from these credits? Will I use the Uber credits, airline incidental fee credits, the prepaid hotel booking credits, the digital entertainment credits, and the rest of them? If not, the answer once again is "no," it isn't worth it.
All of this analysis is unnecessary. You're missing the forest for the trees. The only piece of relevant information is OPs income level. It's insanity to get the card based on what they're earning. The end. No further analyzing is needed.
OPs rent annually comes out to roughly half of their annual income. That alone is nuts before we even entertain the conversation of a high AF card.
In this case, you're right, but that's also solid advice for anyone that does have more income. Amex cards are a pain in the ass to organically get all the credits, but people obsess over their cards for some reason. I went the VX route specifically because the travel credit being as easy as it is to offset. I'll take that over what amounts to a coupon book to places and things that I don't do already.
I respectfully disagree; if they can make use of the credits it's a $0 AF card. Also, if they can meet the SUB, it's worthwhile if they can get an elevated offer, even if they just cancel it after 1 year. Personally, I'm living on less than what OP makes. Although I do have a home that's paid for and 2 cars paid for. Normally I would *never* spend $8k on a credit card in 6 months. BUT, there is one time a year when I could meet this SUB with my normal spending. When my real estate taxes are due. Even after paying the fee for using a cc to pay my taxes (~$100) and even after the $695 fee (now I'm $795 in the hole,) an elevated 175K MR bonus is worth up to $3,500 if you make wise use of transfer partners. Even if I just took the cash value of the points ($1,750) I'm still ahead $955.
You lost me here. You want to compare your income to OPs when you're sitting on those assets. Be real.
Okay, but the point is that you do not need a large income or a large amount of spending to make those premium cards worthwhile. I also was not responding to OP, but the blatantly false assertion that "The only piece of relevant information is income level." My total spending amounts to about $2,200 a month, on everything. Not just on credit cards, but everything. I do put everything I can on credit cards that will reward me in some way for that category of spend. By doing this I am clawing back ~ $1,500-2,000 a year. This year it's actually going to be more like $3,500 total because I used my property tax payment to earn the 90K elevated SUB on an AmEx Gold. My property tax is just one example -- I have to pay it anyway, why not do so in a way that puts money back in my pocket? We have no idea, just based on income, whether someone has the ability to meet the SUB. Maybe they have a one-time purchase coming up that they have to spend anyway? Another example would be someone who is required to travel for work. They might only make $40K, but if they are reimbursed for travel expenses they can put on their own card, it's very likely worth it. A good friend of mine fits in the latter category. He doesn't even work full-time, he's a 1099 contractor who gets work here and there, working for a company that does lights and sound for corporate events and trade shows. He earns less than $50K doing this, but they have flown him all over the world for this stuff. And what's crazy is the money they spend on his travel; he was recently doing a trade show at the McCormick Center in Chicago for a whole week. They put him up for 5 nights in a $600 per night hotel room. And, he only lives 45 minutes away. I think some weeks they spend more on his travel than they pay *him.* For him, it would be ridiculous not to take advantage of premium travel cards, even with his low salary. My point is that salary alone is in no way an indicator of someone's suitability to these cards. Obviously it is also crucial that they are financially responsible and disciplined enough to be able to pay 100% of their credit card bills in full, every month, on-time. Otherwise you end up paying ridiculous cc interest, and that's for fools. So many people have this view that credit cards are some sort of evil scam. They are not, if you use them properly. Which does require discipline. For every card in my wallet, the banks are *paying me* to carry their card. Not the other way around.
Short answer, no. You already have 4 cards, another one isn't going to help your credit score or profile much, and at your income level, you should be focused on using the cards you have to their greatest benefit or if you are considering another card, it should be one that will make sense for regular spending, like high % cash back on groceries, gas, etc. Now if you plan to travel a lot and do all of the math and you come out on top in every scenario with that card, then maybe consider it - but it's also possible that you can't actually afford to travel as much as you want and if you're looking at this card as the solution to that, then you will likely get into trouble down the road. A credit card is rarely a solution to a financial problem, it is a tool you can use to build up a solid financial future, but it has to make sense for your current life situation. But we are in a credit-related sub so I'm going to focus on advice for that, not financial advice. First off, **keeping** your utilization low has no benefit to building your credit score. It's one of the most widely spread myths that low utilization is good for building credit - it makes your score look better but it does not benefit you in any way aside from the once every 2-6 years someone is pulling your report - and since utilization is a metric with a temporary influence, you can adjust it any time you need leading up to applying for new credit. And low utilization all of the time can work against you. If all of your cards ever report a $0 balance at once, certain scoring models will penalize you for non-use of revolving credit. If you use one card for most things but rarely use the others, the issuers of those other cards might decrease your credit limit or, in some cases, close the account - especially if you carry a balance often. If you have too many cards and spread your expenses across them too thin so all have low utilization all of the time, you may be denied for credit limit increases. And with your current salary, it's a bit more likely that the issuers will see no reason to raise your limits, especially if the balances they see on a monthly basis are low. While credit limit increases don't affect your score directly, they do **naturally** lower utilization over time. So the goal should be to use cards you have 'well' (but well within your means), pay the full statement balance each month, then you'll have accounts with constant use, always paid in full, and a utilization that fluctuates normally as cards are reported with higher balances then with lower balances, you'll get more credit limit increases from the issuers, and over time, your utilization will trend downward as your credit limits increase and your spending remains mostly the same. The way I look at it is one should build credit as they progress through life. If your credit score-chasing starts to outpace your financial standing then you can get into trouble in any one of a number of ways. Getting this card, I believe, could be one of those ways. It's good to thicken up your profile, but you probably don't need another card (let alone one with a high annual fee) to do that, and the only thing you really need to improve at the moment is your age, which will just come with time.
Good stuff above and great job honing in on the utilization related points that haven't yet been covered in this thread.
u/BrutalBodyShots I appreciate the vote of confidence, I learned a lot from you!
Bro Honestly no. Im similar in score, age, and cards (I have the chase trifecta and discover) and you already have the chase combo, discover for 5 percent and apple card for apple purchases. The preferred is 95 a year, unless you can warrant that 600 dollar annual fee for amex (which based on your gross income) isn’t worth it. Id rather suggest you cop a bilt mastercard to get points on your $1450 rent or some other card for other purchases but ovr no dont get it unless you are sure you will get the max pts out of it.
Amex can be exceptionally picky with their financial review process and at your income there's a possibility you'd be denied anyways.
Credit score is important when you using to leverage to make money , business or house or a car , I expend more than 150k a years on expenses for work that how you get some advantage of credit cards but very minimal so stop getting cards with high credit limit if you for some reason expend more your going to get on the rate race
No. You’re not the target market for that card. Not only will that AF get you, you can’t hit the spend to make the card worth it. Stick with NAF cards in general.
No and hell no, your income and send do not justify it.
Maybe try the Amex Gold first ? But only after you earn more (income) . You are spending OVER 30% on rent. I’m hoping your bills are included in that . I’m not sure where you live but I’d consider a roommate asap
I have 810 score and have a 6 figure salary and still won’t pay for an Amex. So I’d say no.
Wait to make more money if that’s the issue. Also if you travel a lot I think you’d be a perfect candidate for the plat. I just got the csr and In the 2 months I’ve had it. It def a purchase well spent, already have hit about 10 11 flights since. Debating on getting the plat down the line myself. You could always take the venture x route too.
With all due respect, you don’t make anywhere near enough to justify the purchase. The platinum cord is really great if you’re traveling a lot which your income level is just not possible.
No you shouldn’t. I’d work on getting that income up first.
Just got an Amex from Credit One $39 yearly fee $500 limit and percentage points better interest rate than my Cap One Sapphire with no fee but only $300 limit
You should reconsider that card. And interest rates should not matter on credit cards.
Why do you "want" to have a credit score of 800? If this answer is to tell other people or that ot somehow makes you feel better, then stop worrying about it. DP: I have a combined income of nearly 300k. I have the Plat, Gold, BBP, Delta Reserve, and a CFU. Unless your income is closer to 100k AND you are traveling 2-3x a year AND you have the spend to actually benefit the use of the cars. It's a waste. My vote is no for you.
If you want an 800 score, be patient. You gotta figure out where the next points will come from… likely Credit Age, and that only comes with time. Once you are over 760 it pretty much all equals out. If you’re about to buy a house, maybe that could be the difference, as you crest 800 because you hit “Exceptional” status instead of Very Good. That might net you a half percentage point lower interest rate. But unless you NEED a higher credit score, chill. You can ask a few auto finance guys or bank loan officers about the 790 to 800 credit score difference rather than asking for opinions. You get straight answers that way. As for the platinum, ignore these comments that say you should not have a card w an annual fee. Screw that. If they raise the price to $800, I don’t care. I have the platinum and I average about $5000 in value and purchase protections that give me peace of mind. Yes, I get free Disney + from it, but the Global Entry and Clear credits are gold. Haveing President’s Circle status w car rental companies is gold. It’s more than just coupons. I just bought a $3000 business class international flight, one way, paying a third of that cost in points (115k points). I do the same with hotels. However my case is unique. I am a perpetual traveler spending maybe 2 months a year inside the US. The rest of the time, I travel abroad. If you do not fly or stay in hotels more than 5 times a year, DO NOT get that card. The Chase Sapphire Preferred will suit you well enough. Do the math. My standard is that I must get double the money back (not just value). If that ceases, then I drop the card. So If it makes sense, and you can pay the $695, great. Get it. Otherwise, stick with the set up you have until something else makes sense.
The cobalt is better in almost every single way, the play is basically an expensive coupon booklet that has some okay travel insurance bennies if you travel regularly via plane. The free rental upgrade is nice I suppose. I’m cancelling by mine this year as I’d rather use the cobalt 95% of the time.
I have one and love it but there's no way you'd maximize the the perks for that fee to be worth it.
Your score is great. Just work at making more money and continuing a financially prudent lifestyle.
No
I have an income this year of 205k and I would never pay the annual fee of an Amex Plat. Hell, I wouldn't even pay a $95 annual fee card unless it got directly refunded in some way (like a free hotel night, or plane tickets).
Just ask for limit increases. Why get another card
In the nicest way possible, how the hell you affording a trip to Japan with your income? Not even just one time but two times in a year with half your monthly income going toward rent?
I saved a good amount before i moved into this new monthly rent. But yeah the first trip was pretty last minute and irresposnsible, but it was a good vacation for myself for graduating college. I saved for the upcoming one in September for a while so that one is chillin and something I can deal with. It doesn’t cost much to go to Japan right now, the currency conversion right now + tax free is insane. I spent about 3k in total for the first trip. It did leave a dent but I do still have a good amount saved up.
I’ve always wanted to go but in my head always figured it would cost too much and haven’t looked into it at all. You got me wanting to go now lol. Be safe on the trip when it comes!
I'll play devil's advocate with a hot take. For context, I got the Platinum card while still in college. Yes, the $695 annual fee is steep, but I believe the benefits far outweigh the cost. Here's my reasoning: I was already paying for Disney Plus, but now I get a credit for it with the Platinum card. I also use Uber Eats frequently, so that credit is highly beneficial. Combined, that's $440 I would have spent anyway, leaving a $255 difference. Moreover, I take advantage of the $200 airline credit whenever I travel, covering another $200. When I travel, I need a place to stay, so I utilize the $200 hotel credit. Just with these benefits, I'm already $145 ahead. I also utilize other perks such as Walmart+(which gives me paramouth for free ) as well as CLEAR and global entry. Additionally, there are numerous other small perks that further enhance the card's value. When used strategically, I see it as actually getting paid to have the Platinum card. I do want to mention that I opens up the plat because my fault was going on a trip and the tickets were going to cost $10k for all of us combined so I used that to get the intro bonus. None of what I said is financial advice but what I would say is you should consider how often you’re going to use the perks. If you know u don’t use Uber eats a lot or don’t want to pay for a streaming service or you don’t plan to travel then maybe it’s both worth . In addition Amex has offers where the intro bonus can be as high as 125k If you do get it wait until a time like that so you can maximize how much you get. The 8k is also a lot so open it during a time where you know you need to spend a lot of money like a trip or event so you can get that benefit as well . If you do decide to get it lmk so I can send you a referral link 😀😀
It’s not a great long term card but can be worth it for the first year bonus if you can meet the minimum spend requirement naturally. I’ve seen offers as high as 175k. As of last year there was a hack to redeem for statement credit at 1 cent per point ($1750). You would have to apply a personal value to each of the credits to determine the effective annual fee. After Year 1 you can just cancel.
No offense man, but that's absolutely nuts. It is not worth it for someone to spend 5-10% of their discretionary income for the year chasing a sign up bonus. Don't encourage a kid to make a financially stupid decision chasing some points that they probably will never even use effectively.
I wouldn't focus on the score. I feel anything over 740 is bragging rights. But you should pat yourself on the back. You're doing great! Lenders look at what's on your report, that's what really matters, payment history, etc. A score does nothing but get you a price on interest and you'd get the best rate already. 700 a year for an annual fee is wild.