I have a credit history but I don't have anything that could give credit. I need to know so I can get a car loan without a co-signer. Are at least, start developing my own.
2006-12-10 03:32:15 · 7 answers · asked by Bubba 1 in Business & Finance ➔ Credit
Maybe with a big-@ss down payment, other than that, if you are short on cheese, they probably won't work with you. I'm sorry. I am in the same situation.
2006-12-10 03:33:30 · answer #1 · answered by Marcus 2 · 0⤊ 0⤋
To start developing your credit you need to get some credit and use it properly. A good way to start is with American Express (that's how I did it, but that was 20 years ago) or with a department store charge. Then use the card and pay it off at the end of the month. In about 6 months to a year you should have some kind of credit history that you can use.
Unfortunately, there is no quick way to do it. Credit requires that you show over a period of time that you can be responsible when someone lends you money. Having said that, I would get the card and then find a car dealer that works with bad credit or no credit. They are out there and very often you can show pay stubs for the last so many months to prove that you have a job. You might have a higher interest rate, but that is another way to build your credit. This is a great time of year for this, as many car dealers are trying to clear their lots of stock and show the best profit they can by year end - so they tend to be flexible is my experience.
Peace!
2006-12-10 03:42:35 · answer #2 · answered by carole 7 · 0⤊ 0⤋
One of the best ways is to deposit money into a savings account, then take out a savings secured loan at the same bank or credit union(credit unions are better). Make the payments on time and pay it off, this will show up on your credit as a paid in full and on time loan. Also store credit cards and gas credit cards are easier to get, but pay the full balance every month as the interest is very high. If the loan companies do not think you can handle the loan, you should reconsider if you are ready, because they loan to people that can't handle it more often than turn someone away. By the way...you don't get a bad rating for early payoff...you just don't get any payment history (because this is none) one payment does not make a history.
2006-12-10 03:38:20 · answer #3 · answered by Mike M. 5 · 0⤊ 0⤋
The best way to build credit is to get a job and maintain a steady income. You can also build credit by having utilities under your name and making on-time payments. Last but not least, you can put down $300 a month for a secured credit card and use it to pay all your monthly bills, gas, and etc. and pay it off immediately, rather than carrying a balance (this helps eliminate interest if you pay before the grace period).
2006-12-12 18:16:07 · answer #4 · answered by Guru Sharma Prasad 4 · 0⤊ 0⤋
Apply for a credit card with a small limit (from 250-500 dollars)
Make a couple of small purchases,but, pay off the balance when you get you bill. This should start you off with a credit history.
2006-12-10 03:35:38 · answer #5 · answered by nuttin'fancy 5 · 0⤊ 0⤋
Oh boy, I tried by getting a small loan, and paying it off early, but then I got a bad rating because the bank didn't make all of their interest on the loan. So now I pay cash for everthing, and use a debit card.
2006-12-10 03:38:17 · answer #6 · answered by timbo44b 3 · 0⤊ 0⤋
Buy something small on credit or get a credit card, secured even.
2006-12-10 03:33:32 · answer #7 · answered by Frank R 7 · 0⤊ 0⤋