A
female
age
30-35,
anonymous
writes:What are the benefits of having good credit? I always use cash for personal expenses, and my parents' credit cards for big expenses such as tuition and textbooks. My parents are encouraging me to start using a credit card under my name, although they will be paying. They want me to build good credit. I've always used cash as a good habit to pay on the spot and not have any debt. What are the benefits in life of having a credit card and good credit? I'm 21 and I want to prepare myself with life facts. Thank you!
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female
reader, So_Very_Confused +, writes (6 July 2012):
 you will need good credit to buy a house
you will need good credit to buy a car
you will need good credit to get a good job in many cases.
your parents are very correct.
we have a credit card we use with reward money... we pay it off every month... you do not have to carry a balance on your card...
my son at 26 finally was able to get his own cell phone account.. when he tried at 24 when he was out of college he had no credit rating and they wanted a 500 dollar deposit to open the account. we waited a few months and he tried again and by then his credit score had gone up enough for him to get his own account with out a deposit.
utilities will also waive deposits if you have good credit.
A
female
reader, person12345 +, writes (6 July 2012):
 Pretty much everything. If you ever need to apply for a loan, get a mortgage, buying a car, etc... Everything YouWish said. It's a great idea. Don't use the credit card as a loan, use it the same way as a debit card. Don't buy anything you can't pay for!
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A
female
reader, YouWish +, writes (5 July 2012):
 The benefits are greater now than they were in our parents' time.
1. EMPLOYMENT: Many employers are taking credit history as part of the reasoning for hiring someone.
2. LONG TERM: Want to buy a house or a business? You have to start small and work your way up. A good car with a modest payment, credit cards you pay off in full every month, student loans, need to show integrity in those things before people loan you lots of money for houses, business ventures, patents, etc.
3. MONEY SAVED: Down the line, with a great credit history, you will pay lots less for a home or car. Interest rates will be a lot lower. What would $500/month less for a house for 12 months over 30 years be like? $18,000 right in your pocket, and I'm being very conservative!
4. Government jobs: The police, the CIA, the FBI, the secret service, government contractors don't allow people with tarnished credit to do business with them or be employed by them, as bad credit is seen to make someone more vulnerable to corruption and bribery.
Start small, don't charge anything to the card you don't pay back in full, and you'll build opportunities for yourself down the road and even today. You don't need to go into debt. I'm with you, I despise it, which is why I'm 100% debt free (mortgage paid, cars paid, zero balance on credit, business paid off and debt free). But you need it. You can build credit without being in debt.
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