Early Retiree Credit (Card) Limits?

[Candy83]

We never pay interest on credit cards, but we like the convenience and the cash back like most. We've just begun a full kitchen remodel, that will probably be paid for in three chunks, so I thought why not put as much as possible on the CC for the cash back.

So I called the CC folks and asked to increase our credit limit. Of course they asked what my income is, and since I have no pension or Soc Sec (yet), I have NO wage income. I was a little thrown, as I hadn't thought about it after more than 35 years with income. Fortunately DW still has a small wage income, and they increased the limit on that basis.

But when DW retires in the next year or two, we'll have NO income!

What am I missing, in terms of CC limits in case we ever want another bank CC? Denied for life, or until age 70 with Soc Sec

I am guessing you and your dear husband can keep getting credit-card limits raised even with both of you not having income (social security and/or pension).

Your credit scores matter. Your long-established histories. Your total assets (both you and your husband).

 

[Candy83]

Ok - I get it. It's a bit different in the US than here in Oz. Interest rates on unpaid balances can range fro 13 - 20%, and people who can't manage their finances end up paying through their noses.

On the other hand, all that easy credit in the US does not help the financially unsavvy pay off debt and save for retirement.

There are a hell of a lot of people who won't have a pot to piss in when they come of age for retirement.

That's not a problem in the collective minds of the credit-issuing financial institutions of the United States. Yes. For those who give thought to handling their credit cards very well by paying off their balances in full…you're an absolutely lousy, un-American consumer!