Coming right out of school and heading into the job market, is now a reasonable time to start a line of credit?

Hi Kayla,

Congrats on entering the job market! Exciting times ahead.
The first question I guess would be what has made you consider a line of credit?

It would be my recommendation & personal suggestion to not start with a line of credit straight out of school.
If you have some expenses like moving costs for you Jon then I would suggest a credit card with a small limit
Or perhaps speak with the bank that you do your lending with to see if they can offer you a small temporary overdraft that you use for emergencies.

Hope this helps happy to discuss further.
Rebecca from Awesome

Hi Kayla,

Great that you are being mindful of your finances so early on in your career! Awesome stuff!!

A "line of credit" is typically secured against a property. There are a couple of lenders that have a credit card facility titled line of credit.

Whilst I am unable to give advice as to what would be the best financial decision for you, personally if you don't need a credit card or any credit then don't get into any bad habits early.

If you are disciplined with money and can pay your credit card monthly and pay no interest then you can make a credit card work for you with frequent flyer points but that shouldn't be the main reason to have a credit card.

Just be mindful to see if you really do need to get yourself into debt.

I hope that helps you in some way!
Nicole :)

Hi Kayla. What would you be doing with the Line of Credit (LOC)?
If you're buying property, I'd seriously suggest a good chat with a mortgage broker first, as LOC may not be the solution. A broker will discuss with you the pros and cons of such a product.