I have never had credit..?

Question

How can I build up credit? I've never had a credit card, closest thing to it is my debit card. Help please.

I thought it would be a good idea to build up credit for the future like when I'm going to buy a house or something. Want to have good score. I'm thinking like credit card that I use to buy little things here and there and slowly build up credit nothing major.

I'm good with my money. I know a bit about what I need to do but was just wondering what the best way to start was. I know that if you have a lot of credit cards or a lot of loans out it lowers you score. I just want to get started. Son't give me the run around thats just a waste of points.

My very motto is I don't spend what I don't have its kept me out of debt and in the green.

Answer 1

I had this same problem. The first thing you want to do is go to stores like target or jcpenny's and fill out credit applications. Jcpenny's is kind of hard to get though i reccomend target you should be able to get one of those. For newby credit holders they will give you like a 300 hudred dollar limit. what i did whas max it out and pay it all off at once i did this twice and they raised my limit to 1k dollars then i maxed it out a gain and slowly paid it off and then i never used it again my credit built slowly but it's at a nice score, well it whas until i messed up.
Once you have had a crdit card for atleast 6 months you can apply for the big boys like Visa, Chase bank, Master Card etc..
But let me warn you always pay your bills ontime my credit score whas once 710 and since i whas late and racked up alot of debt it went from 710 all they way down to 606 that is bad really bad if i were to buy a car my interest rate would be at like 14% thats nutz.
Im trying to repair my credit now. Just make sure you dont put stuff on credit that you know you can pay back in a moderate amount of time. Credit rules your purchasing power remember that. Did also know some employers check your credit when your applying for a job, yup they do. Do not go crazy. A good Credit Score determines if you can buy a house rent a aprtment buy a car and so on.
Just remeber Dont Spend what you dont have.

Answer 2

If you have a job and a checking account, getting a gas card or department store card is pretty simple. But here is some wise, wise advice.

1) Never charge more than you can pay off in a month.

2) If you do so, cut up the card and do not ask for a replacement for at least 6 months after paying off the debt.

Eventually, you will start getting offers in the mail from major CC companies. Sign up for the best deal you can find (low APR, no annual fees, etc) and then take the card and put it in a ziploc bag full of water and stick it in the freezer. That way, it's definately a concious decision if you ever decide to use the card.

Answer 3

You need to get a credit card or take out a small loan (maybe for a car) and then pay off the balance in a timely fashion. The only way to "establish" a credit rating is to get a history of paying off a loan or a credit card.

Answer 4

If you are employed go to a department store JC Penny or Walmart, or a home improvement store Home Depot, Lowes and apply. Best way to keep from using the card to often is go someplace you usually do not go. After you have made a couple of payments you will start getting applications in the mail. Resist them. cut them in half and throw them away. Also do not get a visa card right away. Start with store credit cards. That keeps you from using it every time you think you need something.
When you know you are financially sound then get 1 or 2 visa/mastercards for emergencies and vacations.
Good Luck.

Answer 5

most people abuse credit cards and then find themselves in a financial mess. Go to the bank and apply for a small loan, say for example $300. Do not spend the money. Take that money and make your payments for the loan. A good credit rating from the bank is the best you can get.

Answer 6

Get a secured credit card and make payments. Please don't pay off the balance each this does not create a history of credit and a low apr (annual percentage rate) is only for those with a good credit rating. A secured card requires you to deposit the amount of your credit limit check the web but you will likely have a high apr since you have no credit history.

Answer 7

well there 3 kinds of credit like when you have a place your rent that's a form of credit also the credit that your talking the best way to get it theres all kinds of ways one is to go to your bank if you don't have one get one your better yet go to a credit union its just like a bank but better and get a loan from that bank your credit union and pay back the money (loan) on time the way the bank sets the payment up for you to pay back in no time you will start getting credit cards in the mail but be careful and ask your bank how there will to help as long as you have a job

Answer 8

The problem is, you don't have credit, and you can't get anyone to give you credit because you don't have any, right? its a stupid circle you go in. some loans are easier to get than others. Student loans are easier in most circumstances. Also, get someone like your parents, that have credit, to co-sign on a small loan so that you can gain some credit. Express has a student credit card that most people are approved for, as long as you are attending college.

Answer 9

Apply for a credit card and keep a very low balance (dont max it out!) You can purchase a home with 3 alternative sources of credit if you have paid cell phone, utility payments, insurance ect. if you have not paid 30 days late on any of them for a year. Contact me via email if you need help. Aslo, if you purchase a car or get a personal loan you will need a cosignor, but you will get approved if you are employed, or have someone with good credit add your name to their credit card and it will establish your credit too.

Answer 10

Get a creadit card, pay it off on a regular basis and do not pay interest.

A common misunderstanding is that the more creadit cards you own the better, however the truth is the total opposite. One creadit card is better for your creadit then 2+.

I'm asuming your young do to the lack of a creadit card, your creadit will only come into your life when you need a loan, or when making a large purchase.

Creadit cards are amazing as long as you dont get into debt, worst thing out there for sure.

My thoughts.