For the past week, I have had nothing but problems with NextCard. They initially put a hold on my payment because it was over $500, which I clearly understood why according to the payment terms. But after I was assured the hold was taken off, I tried using the card, and it was declined. To make a long story short, I'm cancelling NextCard, but I need advice from where to go from there? I am enrolled at a 4-year college starting this fall, so I'm thinking that a student card would be the best route. Here's my credit picture: 4 tradelines: 1 auto installment loan (6 mo), 2 VISA(3/4 mo), and a store card (no rating yet). Never late, always paid in full. I also have a full-time job (35K/yr) and checking and savings accounts. What would be a good company to look at? I was thinking AMEX green for students because there is no pre-set spending limit (I called to see exactly what that meant!) and I'm paying the cards off in full anyway. Any suggestions?
NextCard is not a bad company, I don't think you're gonna find anything better. WHy didn't you keep track of your account online? Then you would have known what credit was available. Don't cancel the NextCard.
I did keep track of my account online! I made the payment using their proprietary payment system - ClickPay - on 5/23. The payment was posted to my account on 5/24. My checking account was debited on 5/24, the day which they adjusted my credit limit to reflect the payment. Even though the credit limit was then equal to my available credit, they left a hold on my account, causing me to have no charging power. I'm fed up, and being a student with good money and practically no debt, I KNOW I could find better!
The myth associated with the "no-spending limit" on the AMEX green is a myth. When you first receive the card, they will allow you to charge somewhere in the neighborhood of $1500 depending on your financial status. After a timely payment of the $1500 they will gradually increase what you can spend on the card based on your financial status. Regards, JP
While I can appreciate your frustration with your situation at NextCard, shop around carefully, because rates are at high for the last 5 years and it may be tough to beat Nextcard's rates. Make your decision carefully. Look at Wachovia. Regards, JP
Another Mystery Solved Thanks for the objective look at American Express. I knew something like this had to be true. Obviously, there has to be a limit beyond which they will not approve charges. They just don't tell you in advance what the limit is, so you "leave home" without knowing if you can afford your planned purchases. Now that we have a reasonable solution to this mystery, here's another, bigger mystery: Why would anyone want an American Express green card?
RE: Another Mystery Solved RichGuy, Not sure why a consumer would want to use the green amex. My guess is it a status/prestige dynamic. Or maybe to consolidate all monthly purchases so you have just one bill to pay each month. And to earn rewards on those purchases. In a business, it is a great way to track spending and earn rewards. I have a friend that runs his business on AMEX green, and usually takes a trip to Maine each year, thanks to AMEX rewards miles. If I were to get an AMEX, I'd get the blue or optima version. Carry balances. Peace, Barry
You have not said WHY a hold was placed on the account. Did you go over limit? Did you miss a payment? I assume you did something nasty.
I assumed the hold was put on because of the size of the payment. Hold until they were able to verify the funds were actually in his account and not an NSF.
RE: Another Mystery Solved Two reasons why one would want an AMEX card, one is well-known, the other is a "maybe": (1) AMEX has, along with Federal Express the best customer service on the planet. Nowhere will you get better, faster, more timely information given out by pretty reliable and competent reps. (THIS DOES NOT MEAN THEY ARE PERFECT !!! -SO HOLD THE HATE MAIL) (2) I've read in a couple of places that an AMEX account is weighted differently in your FICO scores, much as a mortgage is (which is a fact). Since Fair Isaac is so secretive, no one really knows if this is true, but it seems reasonable to me. As for the prestige, it is just folly. My wife has a Platinum AMEX, and when she charges a $25 dinner tab, they run it through the little approval machine just like someone who is using a sub-prime VISA with a $250 limit. The prestige factor is pure bullbleep.
RE: Another Mystery Solved My sincere thanks to some intelligent people for some intelligent answers. Strength and Honor, RichGuy
