ok so im the typical 19 year old with not enough establisted credit and nobody wants to approve me. i have 1 credit card with capitol one but it is only a $300 max with a super high interest rate. i have a great full time job making $15.00 an hour so i can afford the payments dont want one with a huge max but about $1000 would be nice. anybody have any advise for me?? i want to gt a different one and pay the other one off and cut it up and never use it again!! help!!
2007-10-19 21:15:02 · 5 answers · asked by Ashley 2 in Business & Finance ➔ Credit
Use the credit card you have now. Charge only what you can afford to pay in full and on time every month. After a year, Capitol One will increase your limit.
You will probably be able to get another card at a lower interest rate then. But don't make the mistake of carrying balances. You save paying interest and stay out of debt.
2007-10-19 21:55:53 · answer #1 · answered by bdancer222 7 · 0⤊ 0⤋
My advise is to not apply for another credit card yet. Everytime that you apply for a credit card you will get an inquiry on your credit report and tto many will count against you. I don't know how you use your credit card but you should max out your credit card with things that you already buy such as groceries, gas, etc. and pay it off each month. Keep on doing this and two things will happen, you will start building good credit and the credit card card company will start raising your rate. After a while, you can apply for another card and get a better rate because of your credit history.
****Do not use one credit card to pay off another*** They will charge you a fee and a higher interest rate.
Also, do not get into the trap of buying on credit when you can't pay it off each month. The credit card companyies love people who do that. Once they see that you are stuck with not paying it off monthly they will start raising your interest rate. I was trapped before with credit cards starting around 10% and getting up to 30%.
2007-10-20 04:57:29 · answer #2 · answered by John 3 · 0⤊ 0⤋
First of all you understand that borrowing money cost you money right? So, why would you what to spend more money than you have to, that's what gets people in trouble. But to answer your question, I recommend people to open a prepaid credit card if you want to build credit. After you show three or four months of steady payments on the prepaid card you will have more credit card applications than you can handle. If your trying to build credit so that you can one day obtain a mortgage to purchase a home. FHA does not require traditional credit. They would just like to see steady payment history. The history can come from a cell phone bill or utilities bill. Hope this answers your question.
2007-10-20 04:25:31 · answer #3 · answered by Anonymous · 0⤊ 0⤋
Is hard to get approved when you are young but once you get approved make sure you pay your bills other wise it will be toughfer to get approved later on in life, here is a great website where they have different options for people with no credit or poor credit is www.fastcreditcardapprovals.com they also have other options for everybody else. good luck
2007-10-20 23:39:05 · answer #4 · answered by GTW 3 · 0⤊ 0⤋
could be cause your a teener, hurting your credit rating check your rating first and apply for a better card with 500 minimum credit line. gop for the bad to average credit rating cards. JOIN THE CRUBB.
2007-10-20 06:07:46 · answer #5 · answered by Anonymous · 0⤊ 0⤋