Best way to learn about and establish good credit?

Question

I want to learn about all the factors considered when a credit agency determines your credit score. I do not have any credit and would like to establish some credit. I do not have any bad credit either. I have already tried applying for a credit card, dell computer card, sams card, and have not been approved for anything.
I do not have any bills that are under my name. I was told by someone to go get a tv or something with no money down, but I do not need any of that. I also do not want to go get a loan and end up paying interest for no reason. I have seen several websites which give some info about this, but not enough. Can anyone give me any suggestions or recommend a book?

Answer 1

if you have time here's a big FAQ and more:
http://credit-cards.ebookorama.com...
and here http://finance.ebookorama.com
if it helps please remember me :-)
good luck!

Answer 2

Get "guerilla credit repair".

Get all three of your credit reports. Contact transunion, experian and equifax. Make sure all the information is correct and that all the accounts on there are in fact yours. If there are any errors at all, get them corrected. This may take a while.

Satisfy any judgements or debts you have.

Go to bankrate.com. They have good articles for starting off your credit. If you have no credit at all or some problems - you might have to get a "secured" card. A normal credit card gives you a line of credit. A secured card is where you put up your own money, pay an annual fee and can't take out any more than you put up. The rates are high, so if you don't pay it off every month you will incur interest charges on the very money you put up! However, if you pay your bills on time for a year you will get a history.

You need to build a history. You need at least 4 lines of credit open that you have paid bills on time for at least 6 to 12 months. You might also try some store and gas cards. The rates suck and you can only use them with one retailer, but they help you build a history.

Once you build a history you can get cards with good rates and cancel the old ones.

Never borrow more than one third of your limit.

Always be on time with your bills.

Never just cut up a card. Call and be sure it is cancelled.

** Years ago I was in your situation. But I put up $300 for a secured card. I paid my bills for a year on time. After 6 months I could get a department store card. Now I can get real cards.

Answer 3

um...no credit is worse than bad credit. The best way to establish a credit is actually by buying a new car. But if you have been turned down for sams cards and cell cards, chances are you're going to get a ridiculous rate. What you can do is this, have one of your parents "add" you to their account as an authorized user. and they use and pay their balances, it will also be reported on your credit as payments made for. After a little while it will establish credit, enough for you to get a card of your own.

Answer 4

go to finance.yahoo.com they have some great articles. You could try getting a secured credit card. It may sound dumb but you send in money and then you can use your money through the credit card.(also called a debit card) Also your credit score looks at your bank accounts. If you have a checking account or a savings account or both. Just getting a checking account and useing it will help establish credit.

The end

Answer 5

No credit is a step above bad credit, but not by much. Follow the link for more information on establishing and maintaining credit. A cellphone is also a great way to start credit.

There really isn't that much to it. Just pay your bills on time and if possible pay a little more than the minimum payment. If you pay off your loans or credit too quickly you will recieve negative remarks because they want you to pay every month.

http://credit.about.com/b/a/007277.htm?terms=good+credit

Answer 6

I would recommend that you go to your bank and obtain a Credit Card with a small limit ($500 or less). Put a few small purchases on it each month, and pay it before the due date. You'll pay zero interest, and obtain a great credit rating. That's the only really good want to obtain good credit, and keep it in check.

Answer 7

Get a gas card if that doesn't work go open up an account in a bank. The longer you have the account the better it looks in the credit. Make sure the bank you go to offers you a credit/debit card.

Answer 8

you need to apply with a co signer, that way you can start establishing credit, eventually, you can remove the co-signer. But you must use the card and pay it atleast double the min. payment every month

Answer 9

I've always heard that getting a gas card helps to start build credit. They give anyone (basically) a gas card.

If anything, it'll help you get your foot in the door & get a wal-mart card, or something similiar.