It has begun: Yesterday I received a notice of an annual fee from Citi for a credit card I don’t even use. Today I canceled it.Let’s take a moment to remember its sleek silver life. It was my first credit card, so I feel slightly nostalgic—but what a weight off to chuck some plastic that isn’t my primary card. (Although it was rotting away in a coin purse with other useless cards, there hadn't been a reason until now to throw it away.) I signed up for that Citi card in order to receive a free T-shirt that said something lame like “got college?.”
In fact, my credit card saw so many trends: It was there when credit card companies were actually allowed to schlep out free junk for stupid college kids to take. (I recall how one of my colleagues at the student newspaper used made-up Social Security numbers in order to receive free Quiznos several times from credit card representatives—he believed he thwarted the evil schemes of credit card predators.)
The card was also there the time I needed my parents to loan me $500 to pay it off. Thank you, Citi card, because I learned an important, low-impact lesson early about not spending more than I earn.
Finally, the card (almost) lived through the great government crackdown on credit card companies, which have to come up with a legitimate way to make money now that they can’t be shady. People like me who enjoy free T-shirts and pay off their bills on time can’t just coast along on the house anymore.
I would pay that $60 fee, by the way, for the credit card I actually use (especially since many cards, including Citi, will offer to waive the fee if you spend a certain amount each year). It's worth it to me to know that my credit card won't charge me exorbitant fees or entice naive young people into debt. But, since I don’t use that ol’ Citi card anymore, it’s better off as shards of plastic in my shredder.
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5 comments:
I heart this post, EPB! (And your wordle, too.) I don't remember how I got my first credit card, but I do know that I got lured by the promise of reward points by my second one. ...ultimately that tshirt is probably more valuable, har har.
Why thank you!! I actually am addicted to rewards points, once I received my first $50. It could get dangerous though:)
Some debit cards offer rewards, too, which is a better alternative for the dangerous addiction to credit card points. Last fall I flew to LA and Vegas for free using points from my Chase Continental debit card, which I accumulated just by using it regularly for budgeted purchases that came right out of my checking account. The card has a $35 yearly fee, but that's a far cry from the exorbitant APR of a "rewards" credit card.
Great point. I don't think I realized you could get many good rewards from a debit card. My system works pretty well because I use my rewards credit card for everything and then my checking automatically pays the bill each month, thwarting interest. However, I can still see how much easier it would be to mess that up and spend more than you earn at some point. A debit rewards card might be a more worry-free route. Man I wish I could link the rewards points of a credit AND a debit. I wonder if that exists.
if you are eager to acquire a credit card you have to be wise in choosing better offers. You should consider the basic factors such as the interest rate, the benefits and rewards you can get from these credit card companies. Once you obtain a card you should learn how to manage your finances wisely to avoid debt problems.
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