Which Credit Cards Should You Get FIRST?

TL;DR

Your first cards should fit spending you can repay in full, offer achievable welcome bonuses, and support your rewards goals. The creator began with a Discover card, added the Uber Visa Barclays card second, and earned about $500–$600 through cash back, referrals, and welcome bonuses. Read on for the creator’s application sequence, early mistakes, business-card strategy, and future card plans.

Transcript

told my brothers one day we gon make it people's playlists so one day i be stomping on stages but right now we just dancing in the basement right inside the basement set this for it and still wait wait we tweaking bases learning [ __ ] ourselves on my own time i made shifts shooting for them i'm gonna turn this honda to a spaceship show they won't ... Read More

Key Insights

• 💳 Leveraging credit cards for business purposes can provide higher credit limits and separate business debt from personal credit reports.
• 💳 Choosing the right credit card sequence can optimize rewards and benefits.
• 😥 Maximizing point redemptions through travel can provide significant value, with points potentially exceeding their face value.
• 💳 Researching and staying updated on credit card offers and promotions can lead to better rewards and bonuses.
• 💳 Flexibility is key in credit card planning, as needs and preferences may change over time.
• 💳 Business credit cards can offer advantages, such as 0% APR promotions and higher credit limits, particularly useful for financing business ventures.
• 💳 Personal finance goals and preferences should be considered when selecting credit cards, such as focusing on specific brands or travel benefits.

Questions & Answers

Q: Which credit cards should you get first?

The creator’s experience suggests starting with a card whose balance you can pay in full and whose welcome-bonus requirement is achievable. They began with a Discover card and then chose the Uber Visa Barclays card, while budgeting carefully as a college student.

Q: What was the creator’s second credit card?

The creator’s second card was the Uber Visa Barclays card. It once offered strong cash-back benefits, but its categories and redemption options were later changed, making it less valuable to the creator.

Q: How much did the creator earn from the first two credit cards?

The creator estimates earning about $500–$600, and possibly more, from cash-back rewards, friend referrals, and welcome bonuses. Discover cash back was applied to Amazon purchases, while Uber Visa rewards were redeemed for gift cards.

Q: How did the creator avoid credit card debt as a beginner?

The creator limited spending to amounts that could be paid off in full and never encountered a situation where the beginner-card balances could not be repaid. As a college student, the creator also declined meals out when they did not fit the budget.

Q: What credit card mistake did the creator regret?

The creator regretted choosing the Freedom Unlimited instead of the regular Chase Freedom, which they believed offered better cash-back benefits. They also said they initially did not fully understand rules such as the 5/24 rule or how to maximize point redemptions.

Q: How did the creator use business credit cards?

The creator used business cards such as the Chase Ink Business Cash to help fund drop-shipping and Amazon FBA ventures. The cited benefits included higher credit limits, 0% APR promotions, and keeping business-related debt separate from personal credit reports.

Q: What was the creator’s strategy for earning and redeeming points?

The creator focused on accumulating points for travel through strong welcome bonuses and travel-reward cards, including Chase Sapphire cards and the American Express Gold card. They viewed travel redemptions as the best way to maximize the value of those points.

Q: Which credit cards was the creator considering next?

The creator was considering Southwest- or Hilton-branded cards because of preferences for those brands and benefits such as the Southwest Companion Pass and hotel perks. However, they wanted to remain flexible rather than commit to extensive travel plans.

Summary & Key Takeaways

• The content creator discusses their credit card journey, including the sequence in which they applied for cards, mistakes made, and the value they have gained from their cards.

• They emphasize the importance of leveraging credit cards for business ventures and accumulating points for travel.

• The content creator shares their current credit card setup and future plans, including their next desired cards.