I have no credit and don't want a credit card?

Question

I don't want any loans as well. is there another option for credit?

I have no credit but I want credit in order to buy major stuff such as a house. I however don't want a credit card but I want to etasblish a credit line so i won't get charged with a high amount on mortgage.

Answer 1

If you don't want credit - then no. Loans and credit cards, a home mortgage, that's all there is.

Answer 2

You are in the situation where you want to purchase something and they state that you have no credit, right? In this case bills payed on time keep your credit report in the clear but does not provide actual credit. You can get a credit card (one with no or very low fees) and not use it. I am the same way, hate credit cards...they are a scam and this credit thing is a way to get people to purchase them. If you show that you pay bills and what not on time, then what is the problem?! Sucks

Oh I noticed some are saying to make a seperate large purchase such as a car. That will give you what is called a revolving debt, not credit and they will see that it is a new debt. Do not make any large loan purchases in an attempt to purchase a home.

The more you put down on the home, the better for your monthly payments, do not overdraft your bank account..you will have to explain it, rent is considered a bill not credit but they do check reference to your payments and if they are late or not, a good paying job that you have had for several months is a plus...a raise or a promotion would be very beneficial though not always an option...might be helpful advice to you

Answer 3

Exactly what is your question or exactly what do you want?

Credit and a loan is a tautalogy.

Since you do not want a credit card (a very good attitude BTW)

What are you looking for: You could put money into an on-line bank and gain interest.

Why do you want credit? Despite what the media seeks to teach --- No one has been turned down to buy a home with cash. If you have sufficient cash you could have a skilled lawyer draw up some document so that you could "borrow" the money from your account then get a tax rebate on that "mortgage" but have a tax lawyer do that tax avoidance scheme.

No one has ever been forbidden to buy a car for cash.

Sadly, I had to obtain a credit card for a business trip after 9/11 --- The airport and hotel would not book my flight until they could do a background check -- [America has changed much in my life time (tearful icon).]

Answer 4

You want a good credit score without taking out any credit? Well, that's sort of like saying "I want a good grade in school, but I don't want to take any tests." A credit score is the history of how you pay back money that you've borrowed. If you're not willing to borrow, then you're not going to be able to build a good credit history.

You can try an alternative credit scoring system where you report your own payments for rent, utilities, etc with a company like PRBC. However, it won't show up on your credit reports from the major reporting agencies (Experian, TransUnion or Equifax), where most businesses check (i.e. an prospective employer or landlord). You're better off applying for a credit card and using it for expenses that you normally pay - like gas - and paying it off every month in full.

Good luck.

Answer 5

You should get a secured credit card--this is when you put it in an account and your limit is whatever you put in. Also pay bills on time (cell phone, utilities, rent, etc.) This should help but you have to keep the accounts open and in good standing. Credit cards and loans are used to show how risky it is to lend to you but they only hurt if you don't pay. Try a small loan or minor credit card purchases and pay it on time and in full just so you have a history.

Answer 6

you should have a credit rating, but I do not think you should have to pay for your card, (anual fee...after all they are getting the interest and that should be the fee. It is nice to have a credit card(one) for emergencies only. One way so get a llittle credit is to buy something you can afford and put it on the card and pay it when the bill comes. then if something catastrophic happens you have some credit. Abusing the credit is where you get the problems. My Mother found that she had to use a credit card when we took a vacation . she hated that. but she had one. that is the only time she has used that and she is 81

Answer 7

Find a bank that does manual underwritting. You dont have to have a credit score. It's done the old fashion way. They look at the person and not the score. Now if you have bad credit that's a different story. But, if you dont have any credit you can do it with manual underwritting.

Debt Free is the way to be.

Answer 8

most of your utilities do not report credit unless it goes to collections even then it does not always happen. So unless you are willing to prove your lending worthiness you wont get a good rating unless you have a ton of money or own a house. It is like a video game you can not earn points unless you play.

Answer 9

Pay utility bills on time every month usually helps and your SMART for not wanting credit cards or loans because they are bad news and they seem to get you into debt really quick.

Answer 10

No, if you have credit you are taking a loan one way or another.