How does one build up a good credit history?

Question

I need to start over and need help! I need steps to to do so thnx!

Answer 1

get a credit report its free only once a yr.. you have three types to get.i will list them below. pay everything off on your credit reports ..it takes six months to start over.pay your bills on time after you payed everything on the credit report..then you will have a good credit again.i have a lot of people telling my that once your credit report is not good it takes seven yrs.that is not ture i had very very bad credit and i did all this and new i have good credit again..here is the numbers to get your report annualy report..

equifax 1 800 525 6285
experian 1 888 397 3742
transunion 1 800 680 7289

Answer 2

If you can stay away from credit cards do so. If you do decide to go with a credit card, but something small like a toaster or a tv and make your payments on time. Don't defer "any" payments, make them each month. You can also go to smaller furniture and appliance companies and but (one) item and make your payments on timeand pay it off before buying anything else. You could also buy a car and make the payments on time. Keep in mind if you get a credit card that a lot of these companies actually add the interest on before the due date and they add it weither you make the payment on time or not, so it is an idea to figure out what the interest is and add that much to your monthly installments. This will keep the payment from going up due to interest and it will save you from paying as much interest in the long run.

Answer 3

Only have one credit card and do not use it for anything but emergency's. Pay the balance off each month and never be late with any bill. If you can get a debit card do so, the money comes right out of your checking account. Being consistent and on time will give you an excellent credit rating.

Answer 4

you could try getting a credit card with a small limit use it for your daily purchases and make the full payment at the end of the month this is a great way to start and build good credit it takes disipline but it could be done. WWW.fastcreditcardapprovals.com has all major credit cards, good, bad or no credit they have the right card for you.

Answer 5

You must pay all your bill on time and not be late. You should also try to pay more then the minimum balance due and you should keep your total revolving credit blance as low as possible. Also, if you don't have any accounts, apply for some store credit cards and use them sporadiclaly and pay them off quickly. That will help build your rating.

Answer 6

Never spend more than you make. Pay all bills on time and never use up to the credit limit on any of your credit cards. Don't buy anything that you can't afford. Ask yourself whether it's a "need" or "want".

When I was 17.5 years old, I opened my first credit card. After I got credit, I continued to open credit cards and end up oweing more than I made. I constantly transferred balances from one card to another to reduce interest rates. I've never had any late payments, but I was only able to pay the minimum balance. As I started to make more money, I met my ex-boyfriend who worked in the financial industry. He taught me how to reduce the interest rates on my credit card. After that, everything went well. After I graduated from college, I paid off my college loan and bought a new car (BMW). One and a half year later, the car was paid off and I was paying my credit card bills in full and on time.

Answer 7

I think the answer above is quite right, credit cards even of the minimum limit help building up a credit history. Try to avoid overdrafts and payments in time is appreciable.

Answer 8

Get a credit card. If your job offers one, that would probably be the easiest one to get. Pay it off EVERY month, and make sure your available credit is within what you can pay. (I used to use mine ONLY for gas.)

Owning a house is a great way to build credit, too. But, unlike many people on here, I know not everyone can afford that.

Answer 9

Hi Mz. Chic,

I know this may sound off the wall, but I started over at age 30, by borrowing $1000.00 from my bank. Placed the money in a savings account and paid off the loan in about 9-10 months from the money in the savings account. You have to be strong & not touch that money for anything else & you need an understanding bank officer. If it all is a go, add a little each month to your savings & you will be in for nice surprise. This helped me get restarted & I hope it helps you.

Repsectfully, Jim P.

Answer 10

PAY ALL YOUR BILLS ON TIME. Don't spend more than you can pay for in 30 days. Remember, it's not a sale if you end up paying interest on it. Don't use credit to refinance other credit cards. don't get excited and sign up for cards with LOW introductory rates and expect them to last forever.
Talk to a banker about credit BEFORE you sign up for a card. make sure you know and understand what the late fees will be. They add up quickly, as they accrue interest too.