bitchesgetriches:

little-ball-of-feminist-rage:

capacity:

if-i-am-not-for-me:

tilthat:

TIL a “deadbeat” in credit card terms means someone who pays their credit card balance full every month

via reddit.com

This seems like a good idea, right? Pay off debt promptly and earn a good credit score.

WRONG

Creditors need you to pay interest, that’s how their business works. Paying off your balance before it can accrue interest makes them no profit and actually negatively affects your credit score. Just to fuck you over.

To earn a good score, you want to regularly accrue small amounts of interest. Pay off most of your balance each month, but not all. The unpaid balance accrues a small amount of interest.

The reason it’s important to have a good credit score is that your credit score can affect almost anything in your life. Buying a used car at a dealer? Credit check. Renting or leasing an apartment? Credit check. Trying to take out a loan for anything ever be it a home, a business, or education? Credit check. Trying to get certain jobs? Credit check. Making a large purchase (appliances come to mind)? Credit check.

Even in situations that don’t seem financial credit scores are used as a seemingly objective measure of one’s integrity and ability to handle responsibility.

Just shoot me

This is NOT TRUE. You DO NOT need to pay any interest to have a good credit score. As long as you put some money on a credit card and make your payments on time, you can have a great score even if you pay it off in full every month. Credit card companies don’t like it, but they can’t penalize you for it.

@bitchesgetriches has more great info on credit scores and such

HOLY FUCKING SHIT THIS IS COMPLETELY INCORRECT INFORMATION.

AS @little-ball-of-feminist-rage​ SAID, YOU DO NOT NEED TO PAY INTEREST ON YOUR CREDIT CARD TO HAVE GOOD CREDIT. 

It is basically our holy mission from the powers that be to dispel this bullshit. Just… please fucking read the following:

Let’s End This Damaging Misconception About Credit Cards

Dafuq Is Credit and How Do You Bend It to Your Will?

Yeah, credit card companies hate it when you don’t pay interest. But that does NOT negatively affect your credit score because your credit card company DOES NOT CALCULATE YOUR CREDIT SCORE. It’s calculated by completely different organizations. All you do by paying interest on your credit card is LOSE MONEY. It doesn’t help you in any fucking way.

THE BEST WAY TO IMPROVE YOUR CREDIT SCORE IS TO PAY YOUR BILLS IN FULL AND ON TIME EVERY TIME.

THE BEST WAY TO IMPROVE YOUR CREDIT SCORE IS TO PAY YOUR BILLS IN FULL AND ON TIME EVERY TIME.

THE BEST WAY TO IMPROVE YOUR CREDIT SCORE IS TO PAY YOUR BILLS IN FULL AND ON TIME EVERY TIME.

THE BEST WAY TO IMPROVE YOUR CREDIT SCORE IS TO PAY YOUR BILLS IN FULL AND ON TIME EVERY TIME.