I do the same. The key is to treat your credit card like a debit card. Don’t spend what you can’t pay off immediately! Too many people use credit cards like short term loans.
Yes please make a video about how you started building your credit at 16, I’m 18 rn and don’t have anyone to teach me… I’ve always been told credit cards are bad so this is very helpful info. Thank you.
it's honestly as easy as getting a credit card and paying it off every month in full. If you have to keep a balance for some reason make sure it is less than 10%. the longer you hold credit, and stay consistent with your payments the quicker your credit will grow. However 1 missed payment and a utilization rate that is too high can set you back months of good behavior.
Good video. I also use my credit cards for everything. All Amex charge cards do have a limit though but it's flexible and based off how you spend. The annual fee on the Platinum is $695. I have 8 Amex cards and 18 cards total but most people probably shouldn't have that many and high annual fee cards are not for everyone.
Tarek! I've recently switched to Visible and thank you for lessening my financial burdens! Second, UGH LOVE LOVE LOVE this financial series.. you don't know how you're impacting the WORLD! Financial literally was not taught to me properly so to say and watching it from my fav black content creator is just always refreshing! Love you & keep creating
So glad you're doing this series and shedding light on how credit cards are not bad. I do the same thing and every year I rake in 1.5K just from my everyday purchases. Add-on Tip: every year most of the major credit cards have a $5-10 back offer for paying your TurboTax with them. So that's the original price - cashback offer + 1% because it's a purchase. Please use it folks!
Could you also talk about when to apply for a new credit card (or when is too soon) and how to add variety to your credit lines in this series? I have a couple credit cards, but I know people whose credit has decreased after applying for a new line of credit. I learned so much just from hearing how you like to organize your money. tysm ❤️
Your credit will drop a few points due to the credit inquiry, that’s with any hard inquiry. It’ll go back up quickly though. And after two years when those inquiries drop off of your credit report, your score will increase as well. Sometimes if you apply for more than one line of credit in the same timeframe, it’ll only hit once. However, it’s best to wait a bit between credit card applications. Apply when your credit is at its best, as in you don’t have a lot of debt or your utilization is low.
this video literally taught me so much about rewards bc i have a credit card and i didn’t even know that you had to physically add the “discounts” for cash back. i was also wondering if you can do a video on like buying your first car. like how car loans work, how credit comes into play and etc.
Thank you for this. I also think it is important to spend your credit card purchases when you are positive that you can pay it back. I want to work on my attitude towards credit cards. For me its smart for me to consider them again once I am working... but I do wan to practice boundaries of "yeah I can purchase this with my debit card so I will buy it with my credit card and pay off the purchase in segments with the money on the debit card."
19 years old and literally this morning just opened my 1st credit card.. my main goal is basically just to build credit in the smartest way possible.. current score is 641 atm and I can’t wait for your video going more in depth on how to actually use it
A good tip since this is your first card is to use it to pay monthly subscriptions (Netflix, Spotify, etc) and pay it off by the due date. Hope this helps!
Great video, I love when RUclipsrs talk about finances openly and spread their knowledge. I have seen some people say they do their spending the opposite way if they have a harder time keeping their shopping in check. So instead of putting bills on the debit and other charges on the credit card they'll put fixed expenses/necessities on the credit card and everything else on the debit. If you are new to credit cards or find yourself struggling to stick to your budget every month this tip may be helpful for you too.
This is definitely one of the most insightful videos I’ve ever seen on credit cards. I’m always learning more about credit and finances and what to be as knowledgeable as possible.
I love this video. My family always told me how important credit was but never taught me anything about it. I had to learn the hard way in college….after making several mistakes. I am now at a great place in life to where I have repaired my credit and I’m able to use my credit card as a debit card. I learned the hard way to never spend what ya don’t got. I will never ever make that mistake again. I love being able to use my credit card and earn something for what I spend , it’s a great feeling!
I have done the same thing since I turned 18 (so the past year). And my credit score is already doing good !! and the money back is a plus you stay giving amazing advice
There’s something about your aura, I’m so interested in everything you have to say. I swear you were meant for this career! Love your videos and podcast🥰👏
thank you for this video. my partner and I don't use credit cards because we're nervous about ending up in debt, since we always hear horror stories from people who didn't understand how credit cards work. but my dad always listens to hyper-capitalist rich people who say they never use anything but a credit card. my dad highly recommends it. I guess I'm still a bit hesitant, but it's something I should definitely look into, and listening to you talk about it eases some nerves.
I’m apologize if you mentioned this but how do you pay your credit card off? Would you use your debit card in that case? Since that’s what you use to see your bigger payments such as your bills
I don't believe he mentioned it but since I follow a very similar process I can say I do use the money in my checking account (aka debit card) to pay off my credit card before the bill becomes due
What I’ve also learned is that if you don’t pay off your balance each month, pay until you have have 1-3% of your limit and don’t carry more than 10% of your balance.
What I took away from this video is that you really should stay away from credit cards if you don't have an adequate income. If you're struggling, it's best to stay with debit cards only unless you absolutely need to use a credit card for an emergency one day, and even then, that should ONLY be if you're responsible enough to not let yourself get into debt. Not only that, but the rewards are not going to amount to anything substantial unless you're spending a significant amount of money.
If you want to make money, investing long term is the best way to do it. 2% of $100 is $20. Credit cards are not a recipe for wealth building. I'll concede that if you have a high monthly spend and are extremely wealthy, it becomes a nicer 'perk' than the average person, lending some credence to Tarek's argument. I enjoyed the video overall, even though I don't carry any debt, including credit cards. It's a gross, predatory system. I was always someone that paid the balance off in full like most of the people in the comments say, but when you look at how many don't statistically, someone's lying. That said, I enjoyed your video, Tarek! You're adorable and I love your energy. It seems like this works for you, to me, it would be extremely stressful.
This is such a fun and nice video and I’m glad I found it! Finance is truly taboo with some people but I love how the millennial and Gen Z generation has been making it less taboo especially with videos such as this. Only 5 minutes in but I’m gonna watch all of this. Love longer format videos!!
can you do a budgeting video? what your structure and systems where when you were first starting out in your field & in adulting vs what systems you use now
i was literally searching for this video today because i was watching all your tesla content and i was hmmm he doesn’t have one alright nobody and look at thisss!!!! 😆😆 just got my credit card today too!! God is goooddd!!
After I calculate my bills and rent I usually pay off my credit card balance like as much as possible sometimes the whole because I’m going to use it for most of my purchases anyway. And I feel guilty for using my cash because once its gone it’s gone . Credit cards are a revolving door when your responsible, that moneys always there.
i try my best to watch all the ads in your videos tarek! (i say try cause sometimes i get impatient and wanna skip to see your content 😅). but i watch the ads because although your information is free, you definitely deserve to be monetized and paid for giving it to the public ❤️
I love this because I been trying to do my research about it before getting one. And also for the next video what if you want to close the account down ? What’s the cons of that?
Thank you so much i been figure out if getting another credit card is even a smart decision I been watching The Money Plug too maybe you collab with them
I can’t wait until I make it to American Express status!! I started building credit pretty late and I’ve already got some debt to pay back due to the inconsistency of my paychecks. I’ll be working to steady my income and pay off this balance much sooner than later 😮💨
Can you make a video on how to apply and get approved for a credit card as a college student? I have been trying to get one but have not been approved.
Credit cards are great for large purchases and emergencies. Every day Rewards cards are great as well for groceries and gas. However, spending solely with credit isn’t very feasible for most people. Especially if the goal is to not carry a balance/ keep utilization low. It’s very easy to carry debt and get into a debt cycle this way. I have excellent credit and I never carry a balance but I also tend to pay a lot of money off in one setting.
The best way is to at least spend 1k via several credit cards to pay some bills and pay it all of via checking account the same day. 0 balance at the end of the day/month
riiiiiight on time! i was just debating on not using my debit card anymore & primarily use my credit card instead. i’ll take this as a sign. THANK YOU 🙏🏾
Heres a added gem is the reason i use my credit card vs debit is that if u have a suspicious charge on your card its way easier to get refunded vs money coming directly out your checking account! Peace
Yes!!! I will always use my credit card first because I feel like I'm being rewarded for spending. Whenever I have to book, pay a deposit, or cover a check I will always put my card down first to get those points!! Pay me back within the month tho because I always pay it off before the due date.
You definitely gotta have discipline with them. I was using it during my last semester of college and I was broke and I ran the tab UUUPPPP. Definitely pay off your ish ASAP because interest rates are where they kill you
Thank you for shedding light onto this topic Tarek!!!! I could related to a lot of this. I just got my first credit card last month! This is all very helpful! Love you :"^)
I'm currently 34 years old. When I was 18, technology was not as advanced as it is today. RUclips was not widely popular, and I had no one to teach me about credit. Smartphones were not yet available, so I couldn't just look up information anywhere-I needed an actual computer or laptop to access the internet. Social media was not as prevalent as it is now. I've come a long way-I've built credit and learned by studying on my own. I used to rely on libraries to find books about credit. Nowadays, kids and young adults have no idea how much easier they have it.
My platinum Amex is my baby! 😆 The looks you get when you use it alone are worth it. Credit card hacking is how I built my credit. Never spent more than 10% of the limit, paid the balance in full each month. That's it. Changed my financial life.
I do the same. The key is to treat your credit card like a debit card. Don’t spend what you can’t pay off immediately! Too many people use credit cards like short term loans.
Bingo!
Yes please make a video about how you started building your credit at 16, I’m 18 rn and don’t have anyone to teach me… I’ve always been told credit cards are bad so this is very helpful info. Thank you.
ignore that comment. it's a scam
it's honestly as easy as getting a credit card and paying it off every month in full. If you have to keep a balance for some reason make sure it is less than 10%. the longer you hold credit, and stay consistent with your payments the quicker your credit will grow. However 1 missed payment and a utilization rate that is too high can set you back months of good behavior.
“I love to spend money and know I’m being rewarded for it” 💀 Honestly same
Good video. I also use my credit cards for everything. All Amex charge cards do have a limit though but it's flexible and based off how you spend. The annual fee on the Platinum is $695. I have 8 Amex cards and 18 cards total but most people probably shouldn't have that many and high annual fee cards are not for everyone.
Tarek! I've recently switched to Visible and thank you for lessening my financial burdens! Second, UGH LOVE LOVE LOVE this financial series.. you don't know how you're impacting the WORLD! Financial literally was not taught to me properly so to say and watching it from my fav black content creator is just always refreshing! Love you & keep creating
So glad you're doing this series and shedding light on how credit cards are not bad. I do the same thing and every year I rake in 1.5K just from my everyday purchases.
Add-on Tip: every year most of the major credit cards have a $5-10 back offer for paying your TurboTax with them. So that's the original price - cashback offer + 1% because it's a purchase. Please use it folks!
Could you also talk about when to apply for a new credit card (or when is too soon) and how to add variety to your credit lines in this series? I have a couple credit cards, but I know people whose credit has decreased after applying for a new line of credit. I learned so much just from hearing how you like to organize your money. tysm ❤️
Your credit will drop a few points due to the credit inquiry, that’s with any hard inquiry. It’ll go back up quickly though. And after two years when those inquiries drop off of your credit report, your score will increase as well.
Sometimes if you apply for more than one line of credit in the same timeframe, it’ll only hit once. However, it’s best to wait a bit between credit card applications. Apply when your credit is at its best, as in you don’t have a lot of debt or your utilization is low.
this video literally taught me so much about rewards bc i have a credit card and i didn’t even know that you had to physically add the “discounts” for cash back. i was also wondering if you can do a video on like buying your first car. like how car loans work, how credit comes into play and etc.
I love my Amex gold. I’ve had it for 4 months and already have 85,000 MR points which I’ll be using to travel 🥰
Thank you for this. I also think it is important to spend your credit card purchases when you are positive that you can pay it back. I want to work on my attitude towards credit cards. For me its smart for me to consider them again once I am working... but I do wan to practice boundaries of "yeah I can purchase this with my debit card so I will buy it with my credit card and pay off the purchase in segments with the money on the debit card."
19 years old and literally this morning just opened my 1st credit card.. my main goal is basically just to build credit in the smartest way possible.. current score is 641 atm and I can’t wait for your video going more in depth on how to actually use it
A good tip since this is your first card is to use it to pay monthly subscriptions (Netflix, Spotify, etc) and pay it off by the due date. Hope this helps!
Great video, I love when RUclipsrs talk about finances openly and spread their knowledge. I have seen some people say they do their spending the opposite way if they have a harder time keeping their shopping in check. So instead of putting bills on the debit and other charges on the credit card they'll put fixed expenses/necessities on the credit card and everything else on the debit. If you are new to credit cards or find yourself struggling to stick to your budget every month this tip may be helpful for you too.
I love you so much! You don’t understand how refreshing you are. To share this and spread information and wisdom is beautiful!
This is definitely one of the most insightful videos I’ve ever seen on credit cards. I’m always learning more about credit and finances and what to be as knowledgeable as possible.
“1,2,3,4,5,6,7 and I got more in the other room”. Yesss Ik that’s right. I started to question if I had too many credit cards. Love this video!
I love this video. My family always told me how important credit was but never taught me anything about it. I had to learn the hard way in college….after making several mistakes. I am now at a great place in life to where I have repaired my credit and I’m able to use my credit card as a debit card. I learned the hard way to never spend what ya don’t got. I will never ever make that mistake again. I love being able to use my credit card and earn something for what I spend , it’s a great feeling!
I have done the same thing since I turned 18 (so the past year). And my credit score is already doing good !! and the money back is a plus you stay giving amazing advice
Yesssss turning your credit into cash! So happy you mentioned this
There’s something about your aura, I’m so interested in everything you have to say. I swear you were meant for this career! Love your videos and podcast🥰👏
As someone who used to work at a bank I can agree to everything in this video
thank you for this video. my partner and I don't use credit cards because we're nervous about ending up in debt, since we always hear horror stories from people who didn't understand how credit cards work. but my dad always listens to hyper-capitalist rich people who say they never use anything but a credit card. my dad highly recommends it. I guess I'm still a bit hesitant, but it's something I should definitely look into, and listening to you talk about it eases some nerves.
i really love this as someone who just graduated from colege. its really nice to hear this as I get started on credit soon.
I’m apologize if you mentioned this but how do you pay your credit card off? Would you use your debit card in that case? Since that’s what you use to see your bigger payments such as your bills
I don't believe he mentioned it but since I follow a very similar process I can say I do use the money in my checking account (aka debit card) to pay off my credit card before the bill becomes due
What I’ve also learned is that if you don’t pay off your balance each month, pay until you have have 1-3% of your limit and don’t carry more than 10% of your balance.
What I took away from this video is that you really should stay away from credit cards if you don't have an adequate income. If you're struggling, it's best to stay with debit cards only unless you absolutely need to use a credit card for an emergency one day, and even then, that should ONLY be if you're responsible enough to not let yourself get into debt. Not only that, but the rewards are not going to amount to anything substantial unless you're spending a significant amount of money.
If you want to make money, investing long term is the best way to do it. 2% of $100 is $20. Credit cards are not a recipe for wealth building. I'll concede that if you have a high monthly spend and are extremely wealthy, it becomes a nicer 'perk' than the average person, lending some credence to Tarek's argument.
I enjoyed the video overall, even though I don't carry any debt, including credit cards. It's a gross, predatory system. I was always someone that paid the balance off in full like most of the people in the comments say, but when you look at how many don't statistically, someone's lying.
That said, I enjoyed your video, Tarek! You're adorable and I love your energy. It seems like this works for you, to me, it would be extremely stressful.
I wish the platinum AMEX was still $550 annual fee. Now it’s $695 I believe. But I love the card too and mainly use it for everything!
This is such a fun and nice video and I’m glad I found it! Finance is truly taboo with some people but I love how the millennial and Gen Z generation has been making it less taboo especially with videos such as this. Only 5 minutes in but I’m gonna watch all of this. Love longer format videos!!
This is why I’m dumping my debit! Appreciate you sharing the knowledge.
I really like this video! Thank you. Also, girl, get into credit unions - Navy Federal >>>
Miss you and your good energy. This video really help my 21yr old twin sons. Thank You Have a Blessed Day
can you do a budgeting video? what your structure and systems where when you were first starting out in your field & in adulting vs what systems you use now
I am so excited you started a podcast, can’t wait to listen!
This is such an amazing video. I can’t wait to see the whole series.
i was literally searching for this video today because i was watching all your tesla content and i was hmmm he doesn’t have one alright nobody and look at thisss!!!! 😆😆 just got my credit card today too!! God is goooddd!!
Thank you for this! I just applied for a new credit card yesterday and I’ve been loooost
After I calculate my bills and rent I usually pay off my credit card balance like as much as possible sometimes the whole because I’m going to use it for most of my purchases anyway. And I feel guilty for using my cash because once its gone it’s gone . Credit cards are a revolving door when your responsible, that moneys always there.
❤️ this topic a lot of homes should talk about stuff like this to help build credit and I need a friend like you around because a person can learn
i try my best to watch all the ads in your videos tarek! (i say try cause sometimes i get impatient and wanna skip to see your content 😅). but i watch the ads because although your information is free, you definitely deserve to be monetized and paid for giving it to the public ❤️
another great video babes! definitely going to use this advice 🙌🏾
Thank you so much!!! I needed this 🤧👏🏾🌱
I do the same, I personally like using the points to upgrade my flights to business class.
Right on time because I’m trying to figure out what bank my first credit card will be with
Collab with the financial diet 👀
Same here. I only use a debit card to get cash if I need cash.
We appreciate you Tarek.
I loved this video! Thank you 🤎
Please make a video on how to properly use it!!
Get them points boo!
I recently started this because the rewards on my card is amazing. I make whatever charges for the day and then make a payment that evening.
What's the card?
@@SledgeIncTeam the capital one savor one card
I love this because I been trying to do my research about it before getting one. And also for the next video what if you want to close the account down ? What’s the cons of that?
Spot on, you covered just about everything
Thank you sooo much Tarek 🫶🏾🫶🏾
You you guys have multiple cards?
Thank you so much i been figure out if getting another credit card is even a smart decision I been watching The Money Plug too maybe you collab with them
This kid is super smart 🤓
Thank you 🙏🏾
The problem is I’m too broke to do this 😭
The annual fee for the American Express is $500 a year.
Yes Tarekkkk !!!!!
I love your personality 😅
I travel for free with credit cards
I can’t wait until I make it to American Express status!! I started building credit pretty late and I’ve already got some debt to pay back due to the inconsistency of my paychecks. I’ll be working to steady my income and pay off this balance much sooner than later 😮💨
uh uh give my boy some views!!!
You better locked those up papi
Can you make a video on how to apply and get approved for a credit card as a college student? I have been trying to get one but have not been approved.
I’m about to get me a credit card tm😭
💯🔥💯👍🏾
❤️❤️❤️
Happy pride month ❤️🏳️🌈!
Tarek you are so fucking beautiful!! Like ahhh oh gosh stunning!! Sorry I just needed you to know
Only idiots have credit cards. I assume you are happy lining the pockets of your bank manager.
Listen to Dave Ramsey and hear some common sense reasons as to how silly your approach to finances is!
Credit cards are great for large purchases and emergencies. Every day Rewards cards are great as well for groceries and gas. However, spending solely with credit isn’t very feasible for most people. Especially if the goal is to not carry a balance/ keep utilization low. It’s very easy to carry debt and get into a debt cycle this way. I have excellent credit and I never carry a balance but I also tend to pay a lot of money off in one setting.
The best way is to at least spend 1k via several credit cards to pay some bills and pay it all of via checking account the same day. 0 balance at the end of the day/month
riiiiiight on time! i was just debating on not using my debit card anymore & primarily use my credit card instead. i’ll take this as a sign. THANK YOU 🙏🏾
Heres a added gem is the reason i use my credit card vs debit is that if u have a suspicious charge on your card its way easier to get refunded vs money coming directly out your checking account! Peace
Watching Zach and Tre podcast. It totally changed the way I looked at my credit card buttttt it’s maxed out now so 🥴
A 16 year old should not be attempting to build credit.
Yes!!! I will always use my credit card first because I feel like I'm being rewarded for spending. Whenever I have to book, pay a deposit, or cover a check I will always put my card down first to get those points!!
Pay me back within the month tho because I always pay it off before the due date.
ANYONE HAVE ANY BOOK SUGGESTIONS FOR CREDIT ? And learning about it
Mr Bryan Nelson is the best, recommending him to all beginners who wants to recover losses like I did
You definitely gotta have discipline with them. I was using it during my last semester of college and I was broke and I ran the tab UUUPPPP. Definitely pay off your ish ASAP because interest rates are where they kill you
needed to see this. im 21 learning how to build my credit and how to do it responsibly
Do you use your debit card to pay off your credit cards or do you use more credit cards???
A debit card.
.mmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmm
M0 ar ar the the e
What an informative video, thank you for sharing Tarek!
first
Thank you Tarek 🙏🏾🙏🏾 this is just validation but and the details here are A1
I like how u explained benefits of credit card i believe everyone can understand monetize your money! Great video!
Thank you for shedding light onto this topic Tarek!!!! I could related to a lot of this. I just got my first credit card last month! This is all very helpful! Love you :"^)
I'm currently 34 years old. When I was 18, technology was not as advanced as it is today. RUclips was not widely popular, and I had no one to teach me about credit. Smartphones were not yet available, so I couldn't just look up information anywhere-I needed an actual computer or laptop to access the internet. Social media was not as prevalent as it is now. I've come a long way-I've built credit and learned by studying on my own. I used to rely on libraries to find books about credit. Nowadays, kids and young adults have no idea how much easier they have it.
Ugh I just love your videos so much no matter what the topic I always get such great wisdom 💗
My platinum Amex is my baby! 😆 The looks you get when you use it alone are worth it. Credit card hacking is how I built my credit. Never spent more than 10% of the limit, paid the balance in full each month. That's it. Changed my financial life.
This video is so timely, THANK YOU🙏🏾
Earlyyyy!!!
Thank you for sharing information on financial literacy.. It really is SUPER helpful ❤️👍.....
this is so informative, thank you!
If you’re active duty military the annual fee for the Amex express platinum card is waived so essentially the having the card is free.
Tarik I literally said “oooofff😮💨” when u said $550 a month chiillee almost gave me a heart attack
Hey Tarek, I was curious on what you thought (or anyone else viewing this comment) on Discover Credit Cards ?