Do you always ask for credit card waviers?

There have an article about why companies still charge annual fees when people usually would ask for waivers.

Of course, the most common comment for that article was that there are many people who would not bother getting that wavier as they could be too busy or lazy hence allowing the bank to profit from it.




Some credit card annual fees are also different in that they allow you to clock up miles or points after paying the annual fee.

When I first knew about credit cards, I knew that it was a form of payment, however, I was surprised that an annual fee would need to be paid.

After I went to find out more about it, I realised that most people would actually ask for annual fee wavier where there are some banks that even have a specialized hotline for that.




In the article, it wrote that the waivers are actually not easily applicable to everyone,if an individual doesn't pay his or her bills on time then a waiver might not be granted.

Comments to the article were interesting, with some mentioning that the annual fee is due to them printing your bill statements and rewards so annual fee is actually not too much for the bank to ask for.

Others mention that some cards if you do not reach their minimum spend then there will no waivers given.




I haven't yet have a credit card as I recently just started working. I only have a debit card. I am in the process of applying for one.

So do you guys always call in for a waiver or do you just pay the annual fee for your credit card?

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Having a good credit score

Recently, I came across this YouTube video about this real estate investor from U.S.emphasing about the need of having at least one credit card as early as you can afford to. He starts the video by talking about his family situation since young where his family was very opposed to having debts in cluding credit cards. So his family did not have a good impression of credit cards and everything should be paid in cash. Credit cards also made his parents became bankrupt and so he was really into cash. 

 

As a real estate investor he wanted to purchase a few good properties and needed money to invest in. So he used $200 000 which he had as savings in cash. He then went to a few banks and wanted to use 25% of the $200 000 as down payment. The rest would be a loan from the bank so that he could purchase a few properties. He was rejected by all the banks that he went to. He was very confused as he had ZERO debt and had a huge sum of money in his savings account.

He asked himself, "WHY?" and he later found out it was because the banks had no record of him being able to pay back his bills on time and he had no credibility. Hence he had to build it up by having a credit card set up and showed that he was capable of paying back. 

I find it really interesting for me as I too at first felt that being debt-free is a sign of being able to manage your finances well and that credit cards are actually redundant. But records matter for banks especially if you were to take a loan from them. So credit cards to the bank serve as a form of your capability to pay your bills and manage your finances well.