‘The Points Guy’ has 30 credit cards and a credit score of 805. He let us in on his secrets

[hegemony]

so you don't think a consumer should have over $1,000,000.00 in credit limits without having an income of what?

[wj2005]

Well do you think it would be OK for someone to have let's say $25k income with $1 million in available cl on credit cards?

 

I'm not a bank so I cannot answer what so wines income should be BUT if someone's income was only 2.5% of there total cl in cc's then yes that is too low.

 

Another thing is what if the person also has a car payment... Rent or house payment etc.

 

Maybe this person lives at home and has no other bills other then cc's if they carry a balance.

 

You are completely missing my point of my original post and are now asking me what I think someone should make to have $1 million in credit.

 

So let's put it into perspective:

 

$1 million in cc's and you charge them all up. Based on the minimum payment average of 4%... That's only $40,000 a month! Yep, looks like you can cover that payment with your $25,000 salary since it's only $15,000 more for one monthly payment then you make all year!

[Brandon1008]

what the heck are we talking about here?

[mendelssohn]

Well do you think it would be OK for someone to have let's say $25k income with $1 million in available cl on credit cards?

 

I'm not a bank so I cannot answer what so wines income should be BUT if someone's income was only 2.5% of there total cl in cc's then yes that is too low.

 

Another thing is what if the person also has a car payment... Rent or house payment etc.

 

Maybe this person lives at home and has no other bills other then cc's if they carry a balance.

 

You are completely missing my point of my original post and are now asking me what I think someone should make to have $1 million in credit.

 

So let's put it into perspective:

 

$1 million in cc's and you charge them all up. Based on the minimum payment average of 4%... That's only $40,000 a month! Yep, looks like you can cover that payment with your $25,000 salary since it's only $15,000 more for one monthly payment then you make all year!

 

Why does it matter?

 

Available credit is not debt or income. I'm not sure where you got that idea.

 

Also, limits up to $25K have very little to do with income or assets.

[wj2005]

 

Well do you think it would be OK for someone to have let's say $25k income with $1 million in available cl on credit cards?

I'm not a bank so I cannot answer what so wines income should be BUT if someone's income was only 2.5% of there total cl in cc's then yes that is too low.

Another thing is what if the person also has a car payment... Rent or house payment etc.

Maybe this person lives at home and has no other bills other then cc's if they carry a balance.

You are completely missing my point of my original post and are now asking me what I think someone should make to have $1 million in credit.

So let's put it into perspective:

$1 million in cc's and you charge them all up. Based on the minimum payment average of 4%... That's only $40,000 a month! Yep, looks like you can cover that payment with your $25,000 salary since it's only $15,000 more for one monthly payment then you make all year!

 

Why does it matter?

 

Available credit is not debt or income. I'm not sure where you got that idea.

 

Also, limits up to $25K have very little to do with income or assets.

Ok so what is the pure purpose of have multiple cards with huge limits if you cannot even use them to there full potential if you don't have the income to back them?

 

See, there is the problem right there... The statement that cc with limits up to $25k have very little to do with income or assets. If that'd the case then why the hell even ask what you income is on the application?? And how can that statement even be true? Banks are just letting out huge cl without the appropriate amount of income is basically what you are saying? But it's illegal to say you make $250k a year if you only make $25k?

 

My point was simple... Having multiple cards with high limits but what is the stated income for those applications to obtain such high limits?

 

I know from what I have read that the points guy makes 7 figures so yes he had the income to back what he has but I'm sure not every person is like this that has multiple cards with high limits.

[mendelssohn]

 

 

Well do you think it would be OK for someone to have let's say $25k income with $1 million in available cl on credit cards?

I'm not a bank so I cannot answer what so wines income should be BUT if someone's income was only 2.5% of there total cl in cc's then yes that is too low.

Another thing is what if the person also has a car payment... Rent or house payment etc.

Maybe this person lives at home and has no other bills other then cc's if they carry a balance.

You are completely missing my point of my original post and are now asking me what I think someone should make to have $1 million in credit.

So let's put it into perspective:

$1 million in cc's and you charge them all up. Based on the minimum payment average of 4%... That's only $40,000 a month! Yep, looks like you can cover that payment with your $25,000 salary since it's only $15,000 more for one monthly payment then you make all year!

Why does it matter?

 

Available credit is not debt or income. I'm not sure where you got that idea.

 

Also, limits up to $25K have very little to do with income or assets.

Ok so what is the pure purpose of have multiple cards with huge limits if you cannot even use them to there full potential if you don't have the income to back them?

 

See, there is the problem right there... The statement that cc with limits up to $25k have very little to do with income or assets. If that'd the case then why the hell even ask what you income is on the application?? And how can that statement even be true? Banks are just letting out huge cl without the appropriate amount of income is basically what you are saying? But it's illegal to say you make $250k a year if you only make $25k?

 

My point was simple... Having multiple cards with high limits but what is the stated income for those applications to obtain such high limits?

 

I know from what I have read that the points guy makes 7 figures so yes he had the income to back what he has but I'm sure not every person is like this that has multiple cards with high limits.

 

 

Because you can switch spending from one card to another and have a high enough limit to handle spending without worry about a statement closing that reports the card as maxed out.

 

Your reasoning against someone having multiple high limit cards sound like Dave Ramsey. Again, available credit does NOT equal debt OR income. Most people here on CB with huge amounts of available credit NEVER carry a balance.

[wj2005]

 

Well do you think it would be OK for someone to have let's say $25k income with $1 million in available cl on credit cards?

I'm not a bank so I cannot answer what so wines income should be BUT if someone's income was only 2.5% of there total cl in cc's then yes that is too low.

Another thing is what if the person also has a car payment... Rent or house payment etc.

Maybe this person lives at home and has no other bills other then cc's if they carry a balance.

You are completely missing my point of my original post and are now asking me what I think someone should make to have $1 million in credit.

So let's put it into perspective:

$1 million in cc's and you charge them all up. Based on the minimum payment average of 4%... That's only $40,000 a month! Yep, looks like you can cover that payment with your $25,000 salary since it's only $15,000 more for one monthly payment then you make all year!

 

Why does it matter?

 

Available credit is not debt or income. I'm not sure where you got that idea.

 

Also, limits up to $25K have very little to do with income or assets.

Also I didn't say available credit is debt or income BUT it is available to you and in my opinion the banks should be saying what if this person racks up a huge amount on there credit cards... Do the have the income to support that? That is what I am saying and I think it's pretty clear and makes perfect sense and again goes back to my original question which is what is the income being stated to get such limits?

 

I mean look at when you go to buy a car or a house... They look at dept to income but they don't do it with cc's. There is a huge problem with that imo regardless if you agree with me or not.

 

Even if cc companies aren't looking at dept to income, income should still be a factor as to what your limits should be imo. I know if I was a bank and someone already had $100,000 in available credit on cc's but only made $25k a year I wouldn't extend them more credit. It's still a risk the bank is taking but I guess banks don't really care either way about that and that's why interest rates are what they are to makeup for it. But then again it's a write off for them too

[wj2005]

 

 

 

Well do you think it would be OK for someone to have let's say $25k income with $1 million in available cl on credit cards?

I'm not a bank so I cannot answer what so wines income should be BUT if someone's income was only 2.5% of there total cl in cc's then yes that is too low.

Another thing is what if the person also has a car payment... Rent or house payment etc.

Maybe this person lives at home and has no other bills other then cc's if they carry a balance.

You are completely missing my point of my original post and are now asking me what I think someone should make to have $1 million in credit.

So let's put it into perspective:

$1 million in cc's and you charge them all up. Based on the minimum payment average of 4%... That's only $40,000 a month! Yep, looks like you can cover that payment with your $25,000 salary since it's only $15,000 more for one monthly payment then you make all year!

 

Why does it matter?

 

Available credit is not debt or income. I'm not sure where you got that idea.

 

Also, limits up to $25K have very little to do with income or assets.

Ok so what is the pure purpose of have multiple cards with huge limits if you cannot even use them to there full potential if you don't have the income to back them?

See, there is the problem right there... The statement that cc with limits up to $25k have very little to do with income or assets. If that'd the case then why the hell even ask what you income is on the application?? And how can that statement even be true? Banks are just letting out huge cl without the appropriate amount of income is basically what you are saying? But it's illegal to say you make $250k a year if you only make $25k?

My point was simple... Having multiple cards with high limits but what is the stated income for those applications to obtain such high limits?

I know from what I have read that the points guy makes 7 figures so yes he had the income to back what he has but I'm sure not every person is like this that has multiple cards with high limits.

Because you can switch spending from one card to another and have a high enough limit to handle spending without worry about a statement closing that reports the card as maxed out.

 

Your reasoning against someone having multiple high limit cards sound like Dave Ramsey. Again, available credit does NOT equal debt OR income. Most people here on CB with huge amounts of available credit NEVER carry a balance.

Again firstly I am NOT referring to available credit as debt or income. I never did. I did say it is available and you couod use it, that is what I said. Then if you use it and only make $25k a year you can't pay it back. Again, that is what I said.

 

Yes, I know many people have high limits and basically nothing on the cards BUT again what happens if they use the available credit BUT don't have the income to support it? IMO, it's the banks fault for even extending such a cl of the customer doesn't have the income to support it but in turn it's against the customer for using the available credit since they had it to use.

 

Just because you disagree with my statements doesn't mean you have to try and twist what I am saying.

[cv91915]

 

 

Well do you think it would be OK for someone to have let's say $25k income with $1 million in available cl on credit cards?

I'm not a bank so I cannot answer what so wines income should be BUT if someone's income was only 2.5% of there total cl in cc's then yes that is too low.

Another thing is what if the person also has a car payment... Rent or house payment etc.

Maybe this person lives at home and has no other bills other then cc's if they carry a balance.

You are completely missing my point of my original post and are now asking me what I think someone should make to have $1 million in credit.

So let's put it into perspective:

$1 million in cc's and you charge them all up. Based on the minimum payment average of 4%... That's only $40,000 a month! Yep, looks like you can cover that payment with your $25,000 salary since it's only $15,000 more for one monthly payment then you make all year!

Why does it matter?

 

Available credit is not debt or income. I'm not sure where you got that idea.

 

Also, limits up to $25K have very little to do with income or assets.

Also I didn't say available credit is debt or income BUT it is available to you and in my opinion the banks should be saying what if this person racks up a huge amount on there credit cards... Do the have the income to support that? That is what I am saying and I think it's pretty clear and makes perfect sense and again goes back to my original question which is what is the income being stated to get such limits?

 

I mean look at when you go to buy a car or a house... They look at dept to income but they don't do it with cc's. There is a huge problem with that imo regardless if you agree with me or not.

 

Even if cc companies aren't looking at dept to income, income should still be a factor as to what your limits should be imo. I know if I was a bank and someone already had $100,000 in available credit on cc's but only made $25k a year I wouldn't extend them more credit. It's still a risk the bank is taking but I guess banks don't really care either way about that and that's why interest rates are what they are to makeup for it. But then again it's a write off for them too

 

 

If you think a credit card company isn't looking at your other debt obligations when making credit decisions, why do they pull and monitor your credit report?

[wj2005]

Oh one more thing is income isn't important then why does amex have a income minimum to get one if there cards?

 

And also if income meant nothing then amex wouldnt perform fr either.

[wj2005]

 

 

 

Well do you think it would be OK for someone to have let's say $25k income with $1 million in available cl on credit cards?

I'm not a bank so I cannot answer what so wines income should be BUT if someone's income was only 2.5% of there total cl in cc's then yes that is too low.

Another thing is what if the person also has a car payment... Rent or house payment etc.

Maybe this person lives at home and has no other bills other then cc's if they carry a balance.

You are completely missing my point of my original post and are now asking me what I think someone should make to have $1 million in credit.

So let's put it into perspective:

$1 million in cc's and you charge them all up. Based on the minimum payment average of 4%... That's only $40,000 a month! Yep, looks like you can cover that payment with your $25,000 salary since it's only $15,000 more for one monthly payment then you make all year!

 

Why does it matter?

 

Available credit is not debt or income. I'm not sure where you got that idea.

 

Also, limits up to $25K have very little to do with income or assets.

Also I didn't say available credit is debt or income BUT it is available to you and in my opinion the banks should be saying what if this person racks up a huge amount on there credit cards... Do the have the income to support that? That is what I am saying and I think it's pretty clear and makes perfect sense and again goes back to my original question which is what is the income being stated to get such limits?

I mean look at when you go to buy a car or a house... They look at dept to income but they don't do it with cc's. There is a huge problem with that imo regardless if you agree with me or not.

Even if cc companies aren't looking at dept to income, income should still be a factor as to what your limits should be imo. I know if I was a bank and someone already had $100,000 in available credit on cc's but only made $25k a year I wouldn't extend them more credit. It's still a risk the bank is taking but I guess banks don't really care either way about that and that's why interest rates are what they are to makeup for it. But then again it's a write off for them too

If you think a credit card company isn't looking at your other debt obligations when making credit decisions, why do they pull and monitor your credit report?

WOW!

 

Ok... Never said that. I am saying that cc companies are extending huge limits to people that possibly don't have the income to support it. That is what I said.

 

I know they look at your cr... smh

[hegemony]

Oh one more thing is income isn't important then why does amex have a income minimum to get one if there cards?

 

And also if income meant nothing then amex wouldnt perform fr either.

my individual income is about 10% of my >seven figure available credit. you must hate me.

[Brandon1008]

This is simple... CC companies want you to pay minimum payments each month so they get your interest.

 

See?

 

You actiing like a person would have to pay off the 25k card in 1 month... no, only the smart ones... and there isnt that many.

 

And yes, my available credit is more than my salary... who cares, I pay...

Edited September 21, 2016 by Brandon1008

[wj2005]

Also, limits up to $25K have very little to do with income or assets.

Well from what everything I have read income does play a factor.. but you stated otherwise...

[Brandon1008]

 

Also, limits up to $25K have very little to do with income or assets.

Well from what everything I have read income does play a factor.. but you stated otherwise...

 

 

What have you read? I have CC's 20k, 25k, 10k ect and dont even get asked for proof of my income... I just type it in.

[wj2005]

 

Oh one more thing is income isn't important then why does amex have a income minimum to get one if there cards?

And also if income meant nothing then amex wouldnt perform fr either.

 

my individual income is about 10% of my >seven figure available credit. you must hate me.

No I don't really care what you have. What I am saying yet again is the banks are issuing huge cl and the income isn't there to support it. That is what I am am saying

 

Do you want a cookie or something because of your huge accomplishment of large available credit that you can't even use all at one time since your income doesn't support such a thing?

[Brandon1008]

Whats the minimum payment on a 25k maxed out card? Like maybe 50... 100 bucks?? I mean cmon... smh

[wj2005]

 

 

Also, limits up to $25K have very little to do with income or assets.

 

Well from what everything I have read income does play a factor.. but you stated otherwise...

What have you read? I have CC's 20k, 25k, 10k ect and dont even get asked for proof of my income... I just type it in.

I understand you just "type" it in... I have done cc apps before thank you.

 

Just do a google search and you'll find what I'm talking about. More then one credit site states income is a factor.

[Brandon1008]

No i dont need to do a google search... Im clear on how this all works.

 

Not sure what your clicking on during your google search... but everything you read on the interweb is true so..

 

LMAO

[wj2005]

This is simple... CC companies want you to pay minimum payments each month so they get your interest.

 

See?

 

You actiing like a person would have to pay off the 25k card in 1 month... no, only the smart ones... and there isnt that many.

 

And yes, my available credit is more than my salary... who cares, I pay...

Ok so let's take a look at your logic for a sec...

 

You have $1 million in available credit and decide to use it all. Now, what is your minimum payments on all that debt? According to what I have found its 4% or$40k.

 

Now with the other user stating he has 7 figure cl on cc's and 10% income on that which for simple numbers let's say $100k per year.

 

Now please explain to me how you can afford such a payment???

 

Yes, this logic makes absolutely perfect sense. Smh

[hegemony]

 

 

Oh one more thing is income isn't important then why does amex have a income minimum to get one if there cards?

And also if income meant nothing then amex wouldnt perform fr either.

my individual income is about 10% of my >seven figure available credit. you must hate me.

No I don't really care what you have. What I am saying yet again is the banks are issuing huge cl and the income isn't there to support it. That is what I am am saying

 

Do you want a cookie or something because of your huge accomplishment of large available credit that you can't even use all at one time since your income doesn't support such a thing?

 

I could max all my cards and PIF the same month. I can't imagine ever doing so; you seem to be critical of my cookies, why is that? they are gluten free.

[wj2005]

No i dont need to do a google search... Im clear on how this all works.

 

Not sure what your clicking on during your google search... but everything you read on the interweb is true so..

 

LMAO

So IF income means nothing at all then why even ask what it is?

 

Even bankrate talks about income but I guess they aren't a trusted source either right? And then even own tpg blog lol

Edited September 21, 2016 by wj2005

[hegemony]

of course banks care about income when issuing credit. in fact they are required to determine a person's ability to repay when making decisions on open a new card and assigning a limit.

 

ability to repay is not just income.

Edited September 21, 2016 by hegemony

[cv91915]

 

 

 

 

Well do you think it would be OK for someone to have let's say $25k income with $1 million in available cl on credit cards?

I'm not a bank so I cannot answer what so wines income should be BUT if someone's income was only 2.5% of there total cl in cc's then yes that is too low.

Another thing is what if the person also has a car payment... Rent or house payment etc.

Maybe this person lives at home and has no other bills other then cc's if they carry a balance.

You are completely missing my point of my original post and are now asking me what I think someone should make to have $1 million in credit.

So let's put it into perspective:

$1 million in cc's and you charge them all up. Based on the minimum payment average of 4%... That's only $40,000 a month! Yep, looks like you can cover that payment with your $25,000 salary since it's only $15,000 more for one monthly payment then you make all year!

Why does it matter?

 

Available credit is not debt or income. I'm not sure where you got that idea.

 

Also, limits up to $25K have very little to do with income or assets.

Also I didn't say available credit is debt or income BUT it is available to you and in my opinion the banks should be saying what if this person racks up a huge amount on there credit cards... Do the have the income to support that? That is what I am saying and I think it's pretty clear and makes perfect sense and again goes back to my original question which is what is the income being stated to get such limits?

I mean look at when you go to buy a car or a house... They look at dept to income but they don't do it with cc's. There is a huge problem with that imo regardless if you agree with me or not.

Even if cc companies aren't looking at dept to income, income should still be a factor as to what your limits should be imo. I know if I was a bank and someone already had $100,000 in available credit on cc's but only made $25k a year I wouldn't extend them more credit. It's still a risk the bank is taking but I guess banks don't really care either way about that and that's why interest rates are what they are to makeup for it. But then again it's a write off for them too

If you think a credit card company isn't looking at your other debt obligations when making credit decisions, why do they pull and monitor your credit report?

WOW!

 

Ok... Never said that. I am saying that cc companies are extending huge limits to people that possibly don't have the income to support it. That is what I said.

 

I know they look at your cr... smh

 

 

WOW RIGHT BACK.

[mendelssohn]

 

Also, limits up to $25K have very little to do with income or assets.

Well from what everything I have read income does play a factor.. but you stated otherwise...

Up to about $25K is directly related to FICOs with income playing a lesser role.

 

There's way too much DR in this thread.