(Closed) Credit question!

posted 6 years ago in Money
Post # 3
Member
645 posts
Busy bee
  • Wedding: June 2013

If you are looking to make a large purchase both of your credits will be viewed. It shouldn’t hurt you two too much, especially if he is put down as the primary, but it is never too late to start on your own credit. Seriously, even if it just a $100 credit card (and a $20 purchase) that you pay off every month, it will only help you. 

Post # 4
Member
3314 posts
Sugar bee
  • Wedding: October 2010

I might be wrong for this, but as far as I know the answer is yes your no credit will affect his credit score.  My DH and I have been working on our credit since I haven’t been anywhere near perfect with mine, and he’s here from another country and in the USA credit world he’s got no credit history.  We were told the best thing to do was to have him get a credit card in his name (easier said then done in the case of immigration grrr… that’s another whole story though) and then have him use it and pay it off right away.  That establishes a history fairly fast.

Post # 6
Member
83 posts
Worker bee
  • Wedding: November 2013

It won’t affect his credit directly, but if the two of you apply for a loan together (ie a mortgage, car loan, etc), your lack of credit will affect you combined ability to get financing.  If you have no credit history, I highly suggest getting a credit card with NO ANNUAL FEE, making a few purchases a month with it and ALWAYS paying it off in full, on time, every month!  This is a simple way to start building credit.  Since you have no credit history, you may only be approved for a card with a high interest rate, which is okay if you are sure to pay if off every month and never carry a balance.  It is very important for you to establish a credit history because in addition to obtaining financing, your credit history is also taken into account when you look to rent, and many employers check your credit score as well.  Make sure not to simply rely on your husband’s credit and to always maintain a credit card of your own, not in his name throughout your marriage.  If for any reason you were to no longer be together, you don’t want to be left without a credit history.

Post # 7
Member
1595 posts
Bumble bee
  • Wedding: May 2013

oops I think what I have thought all my life about credit was a myth, carry on!

Post # 8
Member
83 posts
Worker bee
  • Wedding: November 2013

http://www.investopedia.com/articles/pf/08/establish-credit-history.asp#axzz1sMyChlC7

Building a Good Credit History Should Be Free
One somewhat poor piece of advice often given to those with no credit history is to take out a small loan from the bank and pay it back on time. This is a bad idea because it is a waste of money. You’ll have to pay interest on that loan, and no matter how good the interest rateis, why pay to borrow money that you don’t even need? It isn’t necessary to pay interest to establish good credit, and the only debt you should incur to establish credit is the very temporary kind that occurs between the time you charge a purchase to a credit card and a couple of weeks later when you pay the bill in full.

Post # 10
Member
10367 posts
Sugar Beekeeper
  • Wedding: September 2010

I’m not sure what you mean by short term cards. Most just have an upfront credit limit you can’t go over, with no minimum purchase needed. A lot of laws were recently passed that made it so they couldn’t charge you if you didn’t use them in a given billing cycle, so you don’t have to worry about a minimum payment. Prepaid cards are something to avoid – they don’t count towards your credit, they have a ton of fees, and they are a ripoff. If nobody will give you a card, a secured card (similar to a prepaid, where you create a credit line by pre-paying the balance) is an option but I believe they too come with unfavorable fees. Apply for a couple of normal cards, see what happens. You might get approved with a high interest rate and low credit limit – none of which matters if you only use it a little and pay it off each month.

Having utilities in your name, and getting a car loan are also great credit builders.

Post # 12
Member
5118 posts
Bee Keeper
  • Wedding: November 1999

@twiny2005:  I’d pop into the bank and see what they can do. Mr.ND and I went in about a year ago to help build our credit. He got a bigger credit limit since he’s working while I basically got a ‘student credit card’ with the lower limit since I’m in school yet. We use them just for gas, pay them off in full each month, and our credit has started to build. 

Be careful of applying for too many CCs or loans in a close period of time. There is a lot that goes into your credit score, so some things that you may try to do to build it may hurt it (taking out 700 or 800 of your 1K credit card each month, trying to opening multiple cards/accounts within a time period, etc). CNBC and MSN Money are some pretty good places to start looking for info. 

Car loans may be something you could get, but you may be subject to a higher interest rate if you have low/no credit. I’m not sure who you bank through, but our bank was very helpful about getting us on the road to building credit in a smart way. I definitely suggest checking in with one of the personal bankers about your options.

Post # 15
Member
412 posts
Helper bee

@dodgercpkl:  I would see if he can get a store credit card (vs a bank/credit union). I’m a Canadian, so not sure if that makes a difference vs other non-American nationalities, but everytime i go shopping, stores try and convince me to get their credit card (victoria’s secret, macy’s, etc). Even if he just got a macy’s one and bought a chocolate bar or socks every month, that would still boost his credit! 

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