is having no credit like having bad credit?

Answer 1

I don't believe that statement at all. I mean it will be hard for you to establish credit with non, but it is better than having TONS of bad credit.

Tip: If you are looking to establish credit try starting with your banks credit card. Many of them are willing to work with you starting a card if you have had some established checking with them.

Answer 2

No. Having no credit means you haven't established a credit history. You can't get a credit score unless you use credit.

Lenders might have a hard time judging your ability to repay. However, you are not carrying the stigma that bad credit carries. In that case, lenders know that you are not a good credit risk.

Having no credit might mean having to pay a bit more at first, but once you establish good behavior, your credit score will be set and should be quite high.

Answer 3

No. It is better to have no credit, as it takes 7 years for bad credit to be removed from your credit record. It takes time and effort to establish good credit, but it is a lot harder to get rid of negative credit.
Most companies understand no credit history, but are not interested in granting credit to someone who had abused credit in the past.

Answer 4

no! No credit means a clean slate but it also means that you have no history. This can work against you because often when you want a loan people want to see a solid credit history, or even when you try to rent an apartment.

however, bad credit will almost definitely always work against you. So, try to apply for a couple of credit cards and charge some things on it. Remember to always pay bills on time and try not to just pay the minimum. Always try to pay the full amount each time. If you forget to pay, your credit report will be affected and will stay on there for a minimum of seven years.

Answer 5

Definitely not. Having no credit is having no history of credit. Once you establish credit your profile will change accordingly and without and prior marks causing a problem.

Having bad credit shows established payment character that will follow you for 7 years.

Here is some additional info. Hope this helps.

Answer 6

Credit, in a nut-shell, shows money-lenders whether or not you are responsible with money. They want to know if you are a good investment with their money. Therefore, lending money to someone with no credit is a very high risk investment; a risk most lenders won't make.
Most people establish credit by paying off student loans or with store credit cards and paying them off. I believe a checking/savings account at a bank helps, too.

Answer 7

*** ya, it is. u need to get a credit rating established, otherwise they have no idea what kind of a credit risk u might be. they wanna see that you have the discipline to actually make payments and timely ones at that. u know how to GET a credit rating for yourself? go to a financial institution and get a SECURED credit card. A $500 visa will usually cost you $600, and they'll just put a hold on that $600 in case u don't make payments they can get their money back. Otherwise, after about 6 months or so they'll release the hold, and you can have your money back plus you'll have a regular visa that's no longer secured.

Answer 8

Of course there is a difference…when you have no credit you can try and try to apply for credit until someone nice accepts you...capital one master card is a great place to start…bad credit is “hell”, doomed forever…you can never get credit until you pay off ALL your dept.

Answer 9

It is sometimes worse. If you have bad credit, you can always get someone to give you a credit card to repair it. If you have no credit they just assume you will screw it up.

Answer 10

No if you are financially free. If you pay cash for everything, then you don't owe anyone. If you save for the things you want to buy then you will own them.

If you are tying to get a house, get a mortgage company that does manual underwriting. Even though house mortgages are loans, the house usually goes up in value and not down. They look at your job, your income and the size of down payment you are going to make.

AND, they will more than likely think you are going to pay off your mortgage than the average person with car payments, student loans and tons of consumer debt.