No Credit :( I don't know what to do

posted 3 years ago in Money
Post # 3
Member
2565 posts
Sugar bee
  • Wedding: October 2014

I have no credit because I just moved to the US and my SSN isn’t even two years old yet.  I just got a secured credit card which is meant for building credit or restoring credit.  I applied online and was approved.  You have to make a deposit and the amount of credit they give you is dependent on the balance.  I use it for gas and groceries and pay it off immediately.  Depending on your spending, you can build credit within months to a year it seems.  I went with Capital One because it had good ratings on Credit Karma.

Post # 4
Member
2576 posts
Sugar bee
  • Wedding: November 2013

@RyuKokoro:  You should be able to get a “start-up” credit card with Capital One. When I was 18, it was my first credit card. I started off with a $200 limit, but was able to use it to build history and over time, they increased my limit. Don’t bother with store credit cards for establishing credit history – I know plenty of my friends with no credit history got denied for store credit cards for that reason. Capital One is your best bet. 

Post # 5
Member
774 posts
Busy bee
  • Wedding: October 2013 - Dalhousie Castle

I had to build credit when I first moved to the usa. I started with a capital one credit card that had a $500 limit and paid it off every month. Do not carry an balance on these type of cards because the interest is ridiculous! Then went on from there, quite quickly my credit limit increased and I got better offers. 

 

Post # 7
Hostess
15072 posts
Honey Beekeeper
  • Wedding: June 2011

Try applying for Amazon or the PayPal visa credit card. My son has a PayPal CC and he had no credit when he got one. It’s extremely easy to move money around with it and it has low interest.

Post # 8
Member
583 posts
Busy bee
  • Wedding: June 2012

I was approved for the PayPal credit card when I didn’t have any credit. My brother recently went to a lending company and just got a loan for a few hundred dollars in order to establish credit. Maybe you could do something like that?

Post # 10
Member
3084 posts
Sugar bee
  • Wedding: July 2014

@RyuKokoro:  can you apply for a regular credit card? Like a capital one? I got approved for one of those when I was 18. 

Post # 11
Member
3077 posts
Sugar bee
  • Wedding: February 2015

My FI was approved for a secured capital one card when she didn’t have credit. Applying online vs in person doesn’t matter at all (well, it shouldn’t!)…I’ve applied to 3 of my credit cards online for the bonus rewards.

Also, what about store credit cards? They tend to be a little more lenient, I think because they want you to screw up =P

Post # 12
Member
1157 posts
Bumble bee
  • Wedding: October 2014

@RyuKokoro:  You can totally apply online or over the phone – google “low credit credit cards” and just get one or two of the entry, high interest ones – and pay it off every month, or keep a small balance month to month!

Getting cell phones in your own name helps also (but not as much).

Store credit cards can be useful for this too but they’re sometimes harder to get than a regular credit card.

Post # 14
Member
10491 posts
Sugar Beekeeper
  • Wedding: January 2011

@RyuKokoro:  I don’t mean to be harsh but when you wrote

never had a reason for a credit card

Isn’t this a reason?  That was one a few reasons why I opened a credit card when I was 18/19.

Post # 15
Member
941 posts
Busy bee
  • Wedding: April 2015

Do you have a checking account? direct deposit through your job? I’d go in and talk to someone at your bank and see if they can help you get started. We all start somewhere. 

Post # 16
Member
2455 posts
Buzzing bee

@RyuKokoro:  Don’t feel too bad, I have student loans (which I pay way more than the minimum each month), a credit card (I’ve carried a balance on but always pay more than the minimum), never been late on rent, and I STILL didn’t have good enough credit to get a car loan without a cosigner (my mother).

Despite what most people think, credit cards and student loans will not HELP your credit, they can only hurt it if you don’t pay.

The only thing to help your credit is to get a personal loan and pay it back. You just may have to take on a higher interest rate for not having credit.

Leave a comment


Sent weekly. You may unsubscribe at any time.

Find Amazing Vendors