and have just found out that as i have no previous credit history i cant get credit, so no history no credit, but i cant get a credit history because i cant get credit, any ideas?
2007-03-17 07:58:10 · 12 answers · asked by Anonymous in Business & Finance ➔ Credit
You need to apply for something small, maybe a J.C. Penney's card or even try a Visa from Orchard Bank. Use the card and pay it off every single month when the bill comes. Never be late on a payment and whatever you do, don't charge a bunch of stuff that is going to take you forever to pay off. Charging up to your credit limit on a card hurts your score. You want to keep it paid off or at worst, no more than 30% of your credit limit.
Do that for six months to a year and you'll have a history and probably a half-way decent credit score.
2007-03-17 08:03:54 · answer #1 · answered by Faye H 6 · 1⤊ 0⤋
You can get a credit card. ANYONE can get a credit card, I don't care what people say. You have to start small. Make your regular purchases each month but just use your credit card. Don't go overboard like a lot of people and think that you now have extra money so you can buy bigger and better things because you still have the exact same amount of money. If you do this each month and pay off the balance IN FULL you will build up credit. It shouldn't take that long to do. Maybe a year or so.
2007-03-17 08:02:49 · answer #2 · answered by k_hart100 3 · 1⤊ 0⤋
I would say go for one of the non mainstream credit cards. This may mean your credit limit is low and the APR is slightly higher but as long as you pay it back it wont make any difference.
This doesn't mean you will get a loan straight away due to the fact you have applied for so many loans and these will show up on a search, so as long as you are paying your credit card when you get it I would say leave for a minimum of 6 months before applying for another loan.
2007-03-17 08:07:21 · answer #3 · answered by shayd 1 · 1⤊ 0⤋
Its tough to establish credit, but you will find, as another person mentioned, to obtain retail credit cards like Sears or JC Penny is easier, as long as you are buying something. My first card was a Sears card which I was able to get when buying a small microwave years ago. It had a whopping $400 limit, but it was all I needed and got me started.
Once you have that card established you need to use it, even if you don't need to. Buy something, then pay it on time and pay it off in a few months or 6 months, whatever. Then use it some more, continue to pay on time. This will build a small credit history of having credit, using it, and paying it on time. That is how it is done.
Once you at least have a little history you will find it easier to obtain other credit down the road.
The other way to establish credit, and faster, is to get someone you know, usually a family member, is to get them to cosign a loan of some kind for you. You will use their credit to qualify for the loan or credit card, but it will show up on your credit report just as if you did it all yourself. But remember, if you make late payments it will ruin their credit too, not just yours. And in addition, any credit you use in conjunction with them will reduce their credit availability until you pay it off.
I hope this has been helpful
2007-03-17 08:10:44 · answer #4 · answered by GK 3 · 1⤊ 0⤋
Try getting a secured credit card, or having a friend or family cosign a small loan with you so you can build a credit history. (You could also get a joint credit card with someone, and let them keep the card so you can't use it, but you get that on your record)
In my sources are a page that talks about credit scores and how to increase them (there will be a page up on that site soon specifically for people like you who don't have a credit history at all) and another page that lists credit cards with guaranteed approval (try to get the ones that have no annual fee)
If you don't already have a savings account at your local bank, open one; they'll be a lot more willing to work with you if you have a history of keeping money on deposit with them.
2007-03-17 08:05:04 · answer #5 · answered by William S 3 · 1⤊ 0⤋
try applying for a store card, even if the interest rate they offer is sky high take the card, use it, make sure you pay it off in full when the statement arrives so you don't pay any interest.
If you have your wages paid direct into your bank account I would be surprised that your bank would not give you a credit card, same advice as above applies.
Slowly you will build a credit history
2007-03-17 10:33:53 · answer #6 · answered by Martin14th 4 · 1⤊ 0⤋
Apply for a credit card through your bank or another reputable company. One with a small credit limit should be easy to get. Start using it wisely. You'll probably need to have it for a while and you'll need to carry at least a small balance from month to month in order for it to do you any good.
2007-03-17 08:06:37 · answer #7 · answered by mycornerofbrickheaven 3 · 1⤊ 0⤋
Spend less than you earn and pay CASH. No credit history required. This method is guaranteed to avoid bankruptcy as well. You will never have a late payment on a debt you don't have.
2007-03-17 10:01:39 · answer #8 · answered by STEVEN F 7 · 0⤊ 1⤋
Try a website like prosper.com
This is called peer to peer lending where people lend to people, cutting out the middleman. You will need a detailed background about yourself to get a loan there but its possible.
2007-03-17 08:03:23 · answer #9 · answered by Mark H 2 · 0⤊ 1⤋
First you have to be on the register list for voting,this helps,because they know you live in a permanent address.
I gather you are over 18?
Try for a credit card,if you get one you,ve started your history.
2007-03-17 08:05:24 · answer #10 · answered by ? 4 · 0⤊ 1⤋