Any catches with the sweetwater credit card?

cantstoplt021

Member
Messages
1,217
I'm thinking about getting a Sweetwater credit card for the 24-48 months of 0% interest. My credit score is around 740. I have one credit card that I pay in full every month without fail. How would getting the sweetwater card affect my score? I know it would initially drop with the inquiry, but does carrying a balance for 48 months (while I pay off a purchase) affect the score? I know if you fail to pay it off they'll charge you a lot of interest, but are there any other catches that I'm missing?
 

Lonnie00

Member
Messages
2,022
I've charged mine up a few times but always paid it off within 60 days. Not sure how it would affect things long term.
 

gulliver

Silver Supporting Member
Messages
9,853
Yes, on most of those (in the fine print) ... if you miss one payment, you owe all of the interest (back paying a new %, replacing 0%).

I just hacked your account and checked your credit score. You're at 742. :D

I wouldn't worry about credit score, it will help it in the long run, as long as you pay it in time.

I personally do not believe in credit cards. If you can't afford it, you need to work for it IMHO. Today, I am debt free. :cool:
 

BearBryan

Member
Messages
2,156
I personally do not believe in credit cards. If you can't afford it, you need to work for it IMHO. Today, I am debt free. :cool:
Dave Ramsey has screwed so many people with this no credit card nonsense. I have had a credit card since 2005 and have never once carried a balance on one. Not a single missed payment. I don't buy things I can't afford. I would have missed out on thousands of dollars in credit card awards if I payed cash for everything. I've got a ton of cash back waiting on one card that is going to take a chunk out of a Les Paul purchase this summer.
 

aussie_owner

Gold Supporting Member
Messages
3,108
Dave Ramsey has screwed so many people with this no credit card nonsense. I have had a credit card since 2005 and have never once carried a balance on one. Not a single missed payment. I don't buy things I can't afford. I would have missed out on thousands of dollars in credit card awards if I payed cash for everything. I've got a ton of cash back waiting on one card that is going to take a chunk out of a Les Paul purchase this summer.
This. We have two cards each, and all get paid every month. I’ve put that reward money to good use many times.

You take a hit on your credit rating when you get the card, but each payment made on time add points back to your score. Once you pay off your Sweetwater purchase, you’ll have an improved debt to credit ratio. I’ve made several purchases with my Sweetwater card, paid all off well ahead of time.
 

rdluft

Member
Messages
41
I currently have a SWEETWATER card, and occasionally use it for the zero interest promotions. I must mention that while it is attractive, you are paying for that zero interest. I work with my sales associate on pricing on most larger purchases, and usually get a ten to 15 percent discount off the listed price. This is got a cash deal. The discount is nonexistent if you use the promotion. You are paying them "interest" in the form of a higher price. There is no free lunch.

As far as changes to your credit score I have found that with these kind of purchases have very little long term effect. You credit score fluctuates naturally within a small range. With a score of 740, you are doing well. Keep it up.
 

poppunk

Member
Messages
773
I'm thinking about getting a Sweetwater credit card for the 24-48 months of 0% interest. My credit score is around 740. I have one credit card that I pay in full every month without fail. How would getting the sweetwater card affect my score? I know it would initially drop with the inquiry, but does carrying a balance for 48 months (while I pay off a purchase) affect the score? I know if you fail to pay it off they'll charge you a lot of interest, but are there any other catches that I'm missing?
If your score is really 740, you're tier 1, but they won't care. The terms on that card (from Synchrony who does sub-prime lending), if you have to pay anything, are 29.99% interest. Like others have said, if you miss a payment you'll have to pay all the interest you would have paid over the length of the original payoff deal. Others have said that on this card they don't do the same if you pay early (which does happen on some of these sub-prime cards as well). Make sure you read the hell out of the terms and conditions on this.

But I'm also in the "if you don't have the money now don't finance it unless it's a house, car, or something else you really need". If you need a guitar for work, and the optimal option is above what you can pay, it makes sense. But I would advise against it for something that is nice to have. Just save.

And again others have stated that you will likely see a drop in your score that won't last that long. If you're planning on securing financing for a vehicle or house soon I wouldn't do it.

I currently have a SWEETWATER card, and occasionally use it for the zero interest promotions. I must mention that while it is attractive, you are paying for that zero interest. I work with my sales associate on pricing on most larger purchases, and usually get a ten to 15 percent discount off the listed price. This is got a cash deal. The discount is nonexistent if you use the promotion. You are paying them "interest" in the form of a higher price. There is no free lunch.
The only time this might offset is if it something you can't really get a good discount on. There are things they have agreements with the manufacturers not to do, even though I think they have squeezed a little out in the past (but not 10-15%).
 
M

Member 222310

Credit scores fluctuate quite regularly. In all 3 reporting agencies I fluctuate between around 810 and 840. I open and close cards to get sign up bonuses regularly. I may see a small hit but I’m entirely not sure, as things don’t go below 810 for me and haven’t for over a decade. Pay on time and don’t max out and your rating will be fine
 

eigentone

Gold Supporting Member
Messages
7,452
No way I would entertain a card with a 29.99% APR. Yeah, I know they have promos but you know… the bank still makes a killing on people who convince themselves it won't happen to them. They aren't just giving away interest free loans -- they know a good percentage of people will mess up at some point. You are not immune. Especially if you live paycheck to paycheck -- 59% of the people in the US do. If the economy takes a turn or you get injured, or if a loved one gets sick and you can't work or you have to cover their expenses and you can't pay your bills then your credit tanks. And that gear you have your eye on probably isn't a "need."

Yes, carrying a balance impacts your Credit Utilization and Available Credit. The percent of credit used has a very high impact on your score. Available credit has some impact on your score.
 

No_Stairway

Silver Supporting Member
Messages
3,881
I'm thinking about getting a Sweetwater credit card for the 24-48 months of 0% interest. My credit score is around 740. I have one credit card that I pay in full every month without fail. How would getting the sweetwater card affect my score? I know it would initially drop with the inquiry, but does carrying a balance for 48 months (while I pay off a purchase) affect the score? I know if you fail to pay it off they'll charge you a lot of interest, but are there any other catches that I'm missing?
It's great, I use it, I had several hundred on it that I just paid it off last week. I've never had anything make the full duration of the promo, my rule is I never buy something I don't already have the money for.

Cool thing is it works on sales and denos and they will usually match anyones price and you can always ask and usually get it.

I currently have a SWEETWATER card, and occasionally use it for the zero interest promotions. I must mention that while it is attractive, you are paying for that zero interest. I work with my sales associate on pricing on most larger purchases, and usually get a ten to 15 percent discount off the listed price. This is got a cash deal. The discount is nonexistent if you use the promotion. You are paying them "interest" in the form of a higher price. There is no free lunch.

As far as changes to your credit score I have found that with these kind of purchases have very little long term effect. You credit score fluctuates naturally within a small range. With a score of 740, you are doing well. Keep it up.
I don't agree, I've used the 0% on price matched items. When I bought my YouDirty Rat GC had it for $80, reg price is $120, my rep said they would match it or do the 24mo promo for $100, thats the one time I didn't get a great deal on the card.

Where I would agree with you is in the form of great sales, when Pryemax does their 25% deals you much bettrr off to have cash for that purchase than trying a SW promo.
 
Messages
4,526
The balance carried over 24 or 48 months is still putting a ding on your utilization score, even if you’re not paying interest on it. Utilization is only one part of a number of factors that affect your score, but carrying a balance isn’t good for it.

The hard credit pull will take you down a few points, but using a credit card properly will increase your credit in the long term.

Though I would strongly advise against getting a Sweetwater card. If you only have one other card, get a 2nd that’s more versatile than something that will encourage you to buy stuff you don’t need.

Get a card that offers cash back. Never exceed more than 12% utilization (if your limit is $10K, never have more than $1200 balance).

Don’t carry a balance across a month. Pay it off every month, 2 days before the payment is due, and don’t use it again until 2 days after the due date.

Our entire financial system is a big game. You have to know how to play it. You put money in the bank to save it. The banks then take your money and lend it to you when you take out something like a car loan. Then they charge you for lending you your money. its hilarious and credit cards are a similar trap. But we’re forced to use them.

Don’t use credit to buy things you can’t afford. Use it to play the game and build your credit score, and only use cash back or rewards cards so there’s some benefit to you.
 
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helrazr84

Member
Messages
643
There is/was an automatic insurance charge they stick on that you used to have to call the CC company and tell them to take it off. They will credit the amount you paid (if you made a payment with it) toward the balance.

Otherwise, there are several schools of thought regarding credit cards. There are pros and cons but yes, they are great to build your credit score. And it is nice to use "house money" to get your amp now and pay if off in a month or 2, same as cash. You obviously want to avoid carrying a balance for too long and paying interest, especially if its high. Overall its good to have a CC for emergencies but the SweetWater card won't help you there.
 

bluesky636

Member
Messages
2,398
I have one. It's the only card I use for Sweetwater. Also have a GC Gear Card.

I pay little attention to my credit score. My wife and I retired last May. Sold our house, bought a new house that needed a fair amount of work. Ran up a lot if debt but paid it off each month. Everyone does credit checks, gas company, electric company, DISH TV, Hughesnet, everything. Our credit scores average 810 each month with a few points variation. Now that most work is done our expenses and score should stabilize. Besides, how credit scores are calculated will be changing later this year. Ours may go up or it may go down. As long as we can buy what we need and pay it off on time, I don't care.
 

dcburn

Silver Supporting Member
Messages
382
I have a Synchrony account for the new Ferris lawn mower i bought last June. I have seven acres to mow! ugh
Anyway, by this June I will have paid that off and I will be waiting for that Gibson 48 months interest free for my new 335. There are rewards. Will still payoff within a year.
 

COYS

Member
Messages
5,526
I'm thinking about getting a Sweetwater credit card for the 24-48 months of 0% interest. My credit score is around 740. I have one credit card that I pay in full every month without fail. How would getting the sweetwater card affect my score? I know it would initially drop with the inquiry, but does carrying a balance for 48 months (while I pay off a purchase) affect the score? I know if you fail to pay it off they'll charge you a lot of interest, but are there any other catches that I'm missing?
A credit inquiry, having more credit issued to you, and carrying a balance that increases the percentage of your available credit that is currently being consumed by balances - all three of these are things that individually could cause the score to drop. Collectively, it seems certain your score would drop if you took out a new credit card and made a major purchase, but it all depends.
 

COYS

Member
Messages
5,526
I have one. It's the only card I use for Sweetwater. Also have a GC Gear Card.

I pay little attention to my credit score. My wife and I retired last May. Sold our house, bought a new house that needed a fair amount of work. Ran up a lot if debt but paid it off each month. Everyone does credit checks, gas company, electric company, DISH TV, Hughesnet, everything. Our credit scores average 810 each month with a few points variation. Now that most work is done our expenses and score should stabilize. Besides, how credit scores are calculated will be changing later this year. Ours may go up or it may go down. As long as we can buy what we need and pay it off on time, I don't care.
Not all credit inquiries are created equal. Some hurt your score, some don't. Checking your own credit does not hurt it, but anything that might indicate you're taking on a new financial obligation (such as a monthly bill) would. But some scoring models consider multiple entries within a certain length of time to be one, indicative of someone who may be rate-shopping for undergoing a life change like moving house.
 

bluesky636

Member
Messages
2,398
Not all credit inquiries are created equal. Some hurt your score, some don't. Checking your own credit does not hurt it, but anything that might indicate you're taking on a new financial obligation (such as a monthly bill) would. But some scoring models consider multiple entries within a certain length of time to be one, indicative of someone who may be rate-shopping for undergoing a life change like moving house.
True. Retiring and buying a new house/moving is a very expensive process for a short period. Between the three credit bureaus our score is currently 804 to 815. Our FICO score is 816.
 




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