J asked:
I’m a full time college student with a part time job. I need a credit card so I can build credit. I want to put some purchases on the card and pay it off every month but I really have no idea where to start with a credit card.
http://1mortgagecalculator.info
I’m a full time college student with a part time job. I need a credit card so I can build credit. I want to put some purchases on the card and pay it off every month but I really have no idea where to start with a credit card.
http://1mortgagecalculator.info
Really, any card will do, if you’re planning to pay it off every month. Just make sure you don’t get something with an annual fee.
I’d recommend Discover… you get 1% back on every purchase.
Most companies will issue credit cards to UNIVERSITY students, not Junior/Community Colleges. If you are having a hard time getting Visa/Mastercards, try department store cards like, Sears, Best Buy, Target, etc. Do it all at once and don’t take the shotgun approach by applying for a whole bunch, as the number of inquiries in a time frame (typically 12-months) AND large number of credit inquiries hurt your credit score. Update any address changes (can do it online) and DON’T BE LATE!!!
If you have never had any credit you will not get approved for unsecured credit cards. I know it is messed up, but you have to have credit to get credit.
If you are unable to get approved for unsecured credit do this, (make sure the bank reports to the credit bureaus, otherwise it will do no good.)
Go to the bank you do business with, ask them if they have a secured credit card, if they do open a new account with $300 – $500 tell them you want a secured credit card against that account. Use the card for small purchases like gas or food and pay the card off entirely each month on time.
Also you can take your savings account and save until you have $1,000. Tell your banker you want to take a installment loan out against the savings account. Take the money you receive and put it in your checking account to repay the loan. Pay it off in 12 months. Lenders like to see a mixture of credit, revolving, installments, personal loans.
After a few months you can try for an unsecured card again. Retail store cards and gas cards are normally easier to get.
It will take 24 months of consistent on time payments to re-establish your credit rating.
Building credit is overrated.
You’re much better off building up a big pile of cash.
Dear ,
Few week ago I was searching on this question for my assgnment and found this one very helpful
Wish you a good luck,
Before you jump into the “building credit” trap, check out this great video from nationally known financial expert Dave Ramsey.