my first credit card?

Question

I am 25 and I have virtually no credit and I am looking into getting a credit card. what do you think is the best card to start out with?

Answer 1

You mention that you have "virtually no credit" in your post. Is this because you have not established credit or that you have misused it in the past?

If you have not misused your credit, then I would advise getting an account at a local credit union and talking to them about your options. They will be able to give you good answers and best of all- in person. When you get your card it is imperative that you use it responsibly. Charge small amounts and pay them off early if possible. One late payment will put you right back on track to nowhere. Never charge more than you can pay back in one month. Remember, you are trying to establish credit, not create a mountain of debt you will never get out of. Keep this up for a year, and likely your credit score will have improved greatly.

There is a big difference between someone with no established credit history, and someone who has been irresponsible. Both scenarios present a risk to a lender, so don't expect the best interest rate in the world. Keep your eyes peeled for hidden fees, and read everything completely before you sign. If you pay your balance every month, interest will not be a real factor anyway.

Good luck, and be responsible!

Answer 2

Open a bank account – savings or checking.
Apply for a charge or credit card. Try to get a department store or gas charge card (ones without a Mastercard or Visa logo on the card); these are easier to get than a bank Mastercard or Visa card at first. Charge some purchases you know you can afford and make payments on time. After a period of time of making payments, say three months or more, apply for a Mastercard or Visa.

Don’t give up if it doesn’t work the first time! It takes time to build a credit history. Just keep paying on time and apply for a credit card again.

I used the savings agent on creditcardclients.com to compare and find a good card to transfer balances. Check their credit card offers to see which is the best credit card for you. They pull all kinds of offers that best meet your needs and you can find 0% APR, cash back and all kinds of benefits. Watch out for hidden fees. There is no need to pay an annual fee. There are hundreds of cards out there that don't charge set-up fees and such.

Remember, even if you have a million dollars if you don't have credit-you don't have anything. Work hard to protect it.

Answer 3

Talk to the bank(s) about a *Secured Card.*

This is like a phone card - if there is still minutes (money) on the card (in the account), you can make calls (buy things).

Once yoyu've had it for a couple of years, you can change over to an Unsecured Card (an actual "Credit" card). Keep you limit low, and avoid cards with fancy extras, clubs, points, etc...they simply cost more out of your pocket to use. Each "perk" increases the cost of the card based on how much it costs the bank. Generally a card with "perks" can cost you twice (or more) than a simple card with no perks.

As for the limit...start at $500, and over the next few years, grow it to the point where it is half your monthly salary (no more). However, keep a couple of things in mind...the credit company will have a detailed list of your purchasing habits, and will start sending you targeted mailings, sell your name to companies selling "widget 'z'" because you bought "Widget 'x,'" etc. The credit company will "graciously" up your credit rating (without you asking them to) when *they* think it should be - you have to explicitly order them not to.

Answer 4

Choose any CC, but get used to paying the bill "in full" when it comes. Do not use the credit card and pay the minimum, you will never pay it off and you will accrue a lot of interest card debt. If you can't pay the bill when it comes, then don't get a CC until you can afford one. They will hurt you more than help your credit line if you fall behind. American Express, Visa or Mastercard are good ones, get the kind that accrue Air Miles for travel for each dollar spent. Good Luck.

Answer 5

Whatever you --- don't go crazy like I did. I had it under control from like 1986 until 2004. I paid it off several times! But in 2001, my granddaddy died and I started paying for groceries with credit! Bad idea! I ended up missing a payment and the interest flew up to 25%. You know I'd never get THAT paid off...so I filed bankruptcy. I agree that you need to start somewhere because you'll want to buy a house soon! Just pull the reigns on yourself and don't go wild like I did! Remember, I'm your friend & I've been there before you!

Answer 6

Try at your bank. You have a history with them and they may give you a Visa or Mastercard.

If they turn you down, try for a store card, use it and pay it off every month for about 6 months. Then you should be able to get a regular major credit card.

Answer 7

No!! Don't Do It!! Turn back now while you have a chance!!!!
lol

My husband and I had to start out eith a captiol one Visa card to get our credit going from not so great to good. We started with a card that had a very low limit ($250) and we had to pay some kind of sign up fee or some such. Just be careful because they can really screw you up depending on the company.

Answer 8

Try Orchard Bank or the Imagine Master Card. I just got my first card with Imagine. I had to pay 4.95 activation fee and I will have to pay about $155 in other fees on my first bill but I got a $300 credit limit and I am using it only for $20 in gas a month and paying it off. A great way to build your credit!

Answer 9

American Blue Express Credit Card; Apart from no annual fee feature of the American Blue Express it also gives cash returns on specific purchases. Users of the American Blue Express also enjoy protection against fraud for online credit card transactions. This card tries to right the various wrong notions about the American Express credit cards, one of which is that it is a credit card only for rich or those who have money to keep a credit card.http://www.complete-debt-info.com/category/American-Blue-Express-Credit-Card.html

Answer 10

DON'T PAY FEES----If they want you as a customer then why should you pay. I would start with Visa, MasterCard, or discover. I use discover because I get 1% back. I pay it off every month, get a great credit rating too.

Interest will kill ya with these mothers, be careful!!!