New Credit Card When Retired

[Flying mermaid]

I've just started the serious part of the transition to retirement with about 7 years to go and like many people here we should be in a good position. My question would be why bother with the run around from the banks all for the points which they can and do revalue at any time. Over a year ago I cancelled all our credits cards* and happily just settle any bills upon receipt. This means that the overhead of bills is not sitting on the fridge and then if paid by credit cards I felt I was paying it again on the monthly c'card statement. The non-business household financing on the cards was only about $2k revolving. So for a $4k investment I paid out the cards and keep on top of the bills.

Even these signon bonus don't look like they are free. There is a personal cost to all of the angst and why bother upsetting your retirement cash flows just for the bankers privilege which they outsources to Manila anyway.

Retirement air travel I'll do in Y with nicer hotels each end of the journeys and stopovers.

*Actually I did have to apply for a no fee, low interest card which we use for hotel and car rental deposits.

I like my credit card as it is so easy to pay for everything on it and then once a month make a payment. It’s all very easy with internet banking and bpay. I also have it set up in PayPal so most of the things I buy online I just PayPal.

In retirement there are actually very few bills - private health is an automatic monthly deduction. So monthly is really phone bills and cleaner (not cc) and quarterly rates and energy. Annually rego and insurance. I hardly ever get a bill apart from those.

Most of the rest is buying things and travel and a cc is very convenient for that.

I can’t be bothered with churning cards - we make enough points from using our CC and flying and we only use them for domestic travel and pay for overseas, so we don’t need that many. We are fortunate to be able to afford to pay for pointy end travel, so that colours our decision.

For some people though the churning is necessary- everyone is different and it’s annoying that the banks are so ignorant of retirees!

 

[tgh]

I think a positive attitude is useful..
They are not doing me a favour.. I am doing them a favour by using their card.
If they want fees or want to quibble about my income when offering a new card.. forget it...I will go elsewhere
As the cards earn less and less points that are worth less and less…., I don't really care overmuch if I have a point earning credit card or not.
We get a complimentary card from the bank that is set for direct debit, and use a DJ's amex where it is accepted and a wow card where it is not.
I have an unused Mcq card ..somewhere..
There have been golden periods for cards in the past, and we have had some really good wins like Hilton Diamond
It may all come again , but for the moment it's all a bit pointless and boring

 

[cove]

You could get a credit card as an added member to one of your children‘s accounts. That might be the reverse of what you did when your children were young and they were ineligible for credit cards. That would give your children a chance to trust you.
Retirement planning and advice from a financial planner would be a very good idea.
You might just run with a debit card if all else fails.

 

[Myrna]

You could get a credit card as an added member to one of your children‘s accounts. That might be the reverse of what you did when your children were young and they were ineligible for credit cards. That would give your children a chance to trust you.
Retirement planning and advice from a financial planner would be a very good idea.
You might just run with a debit card if all else fails.

You do know what this means for us
Yes, we will certainly get financial advice when we move back to Australia. At the moment, this prospect seems to be further away. I despair when I saw the photos of 15,000 anti-lockdown protesters demonstrated at Trafalgar Square today. Also the UK government plans to shield people over 45

 

[cove]

You could get a card from your niece as an add on to her cards provided she trusts you.....
There are certainly big groups of dopes across the world.
In PERTH we can do lunch at a riverside restaurant as granny is going out with her grandkids.
The border lockdown has some advantages but it has kept @RooFlyer and @drron from getting to WA.

 

[kpc]

... when we move back to Australia

Waiting patiently to welcome you back to the neighbourhood. Take care in London!

 

[VPS]

The border lockdown has some advantages but it has kept @RooFlyer and @drron from getting to WA.

and moi

 

[11sjw]

and moi

Does this mean an AFF Perth gathering will occur soon after we unlock? Sorry for off topic post.

 

[VPS]

Does this mean an AFF Perth gathering will occur soon after we unlock? Sorry for off topic post.

I doubt it for me - I only wanted to go when it was cooler

 

[ramboflyer]

One strategy could be go for broke and apply for everything out there that looks decent. You may get a bite or two. The impact on your credit rating presumably with not likely to require refinance maybe less of an issue.

Is that strategy reckless - quite possibly!!

Only problem is that there are not too many cards out there with biggish sign on bonus points which I need for Krisflyer miles. For example Amex have slim pickings atm unless you want to pay a $1450 annual fee which I don't.
My credit score is pretty good but it is surprising how much credit card applications have an effect which is the only factor that affects my score even though I pay in full every month.

 

[nickfromeastryde]

banks are so ignorant of retirees!

Lots of discussion but a nice and succinct summary of this whole thread though maybe we should shorten it even more to just read "banks are so ignorant"

 

[DC3]

..The border lockdown has some advantages but it has kept @RooFlyer and @drron from getting to WA.

Although, without being too harsh, some may view that as not necessarily being such a bad thing.

 

[Flashback]

Only problem is that there are not too many cards out there with biggish sign on bonus points which I need for Krisflyer miles. For example Amex have slim pickings atm unless you want to pay a $1450 annual fee which I don't.
My credit score is pretty good but it is surprising how much credit card applications have an effect which is the only factor that affects my score even though I pay in full every month.

I find my credit score (UK) is taking a bit of a hit right now because I'm not utilising my cards enough. I usually pay the balance before the statement generates so it shows £0, my last credit report had a drop because I'm not "utilising enough credit"! You would think that's a good think, but nope, not in the eyes of lenders.

 

[ramboflyer]

I find my credit score (UK) is taking a bit of a hit right now because I'm not utilising my cards enough. I usually pay the balance before the statement generates so it shows £0, my last credit report had a drop because I'm not "utilising enough credit"! You would think that's a good think, but nope, not in the eyes of lenders.

Interesting. So in theory (in the UK at least) you could have multiple cards and not use them and your credit score would go down. Damned if you do, damned if you dont.

 

[Flashback]

Interesting. So in theory (in the UK at least) you could have multiple cards and not use them and your credit score would go down. Damned if you do, damned if you dont.

Pretty much. If you don't have a mortgage that also results in a lower score.

 

[Infrequent traveller]

.... Damned if you do, damned if you dont.

No wonder why the UK bank shares are in such a dismal state...

 

[Myrna]

Waiting patiently to welcome you back to the neighbourhood. Take care in London!

Thanks, kpc. We are trapped / grounded here, waiting for travel restrictions to ease. We look forward very much to be your neighbours and to see your house renos.

 

[Myrna]

You could get a card from your niece as an add on to her cards provided she trusts you.....
There are certainly big groups of dopes across the world.
In PERTH we can do lunch at a riverside restaurant as granny is going out with her grandkids.
The border lockdown has some advantages but it has kept @RooFlyer and @drron from getting to WA.

It will be "payback" time for the expensive education we paid for her high school and university
Lovely that you and Mrs cove get to do lunch while the boys spend time with granny.

 

[cove]

Yes Myrna mostly we think about our two sons paying us back but it is unlikely. We paid private school education for them and our niece and then their university fees. We may have to do grandchildren too one of these days.
Cocos has a view of Perth across the river in South Perth and was lovely.
Credit cards are great for running up lots of frequent flyer points but the planes are almost not running.
Yes it is difficult to get a great credit card when you have retired as retail banks are pretty useless at analyzing who the good guys are.

 

[GSP]

Yes Myrna mostly we think about our two sons paying us back but it is unlikely. We paid private school education for them and our niece and then their university fees. We may have to do grandchildren too one of these days.
Cocos has a view of Perth across the river in South Perth and was lovely.
Credit cards are great for running up lots of frequent flyer points but the planes are almost not running.
Yes it is difficult to get a great credit card when you have retired as retail banks are pretty useless at analyzing who the good guys are.

Probably because they're stuck in their ways shopping at JB HiFi.