how do you get credit?

Question

if your 18 and have never used anything involving credit before (loans, credit cards, ect...) how do you get credit?

Answer 1

If you are willing to wait a little bit, here is the way I did it.
First, sign up with a music club like Coumbia House, BMG etc.. (A book club or something like that would also probably work.)
Second, take out a secured credit card with your bank. To do this, you basicly deposit $500 to $1000 dollars with the bank, then get a credit card with that amount. Your money acts as a deposit for the account. Then you buy something with that card, and immediatly pay that amount to the credit card account, thereby keeping a zero balance. Do this for about a month, and you will recieve a "Pre-Approved" app from some company or store. This card will have an extremely high interest rate. Again, buy something and immediatly pay the card off. Within a month or so, you will begin to recieve some legitimate credit offers with viable interest rates. Sign up for one of these and cancel your other credit card accounts. The bank will refund your despoit (sometimes with interest if you signed up with a good bank) and fulfill and cancel your contract with the music club. Your credit rating will be about 650, and you can easily boost it from there by making your payments each month.

Answer 2

I did not start applying for credit cards until after I finished undergrad. By then, I was in a "catch 22" situation (i couldn't get credit because I had no credit history). Start with small stores (home depot; office max, etc.). Even if you don't use them; once a month, purchase something INEXPENSIVE and pay it completely off when the bill is due. This will help you establish a good track record. It's not the amount you owe, it's how fast you pay it back. :-)
Once your credit rating is established, you will begin receiving offers from big card companies.
good luck!

Answer 3

You can't just "get" it - you have to build it over years. You can start by getting a credit card. Take one of those pre-approved applications you get in the mail all the time, make sure there's no annual fee, and send it in. Despite what people might tell you, you don't have to carry a balance on it (meaning, you don't have to go into debt using your credit card). I don't even know if you have to use it. But just having one will start building your credit history. This will be necessary once you go out in the world and try to rent an apartment. A lot of landlords will check your credit history before they rent to you, and if you don't have one, you may have to get a cosigner or lay down a big deposit.

Answer 4

Good credit takes a while to establish. The first step is a steady job and usually for a year.Establish a savings account if possible as well as a checking account Once you have that you can apply for credit with a company like sears or walmart or even visa or MasterCard. Pay your balance down every month and use them wisely.