08-26-2010 07:59 AM
I am a college student with no credit, good or bad just because i have never had a credit card. I applied for the zync card from amex which a lot of people have recommended as great for students. I have a consistent income and am able to pay off any purchases I make. Can someone explain this error I get when I apply for the card? Is there any way around it?
Thanks so much for the help
08-26-2010 08:08 AM - edited 08-26-2010 08:10 AM
Hi, welcome to the forums!
It means that you currently have no credit. In other words you have nothing showing indicating that you've used credit within the last six months. If you had something, but it was disputed, it would have been ignored.
Sounds like you're going to have to start somewhere else. Is your college affiliated with a credit union, one that offers credit cards? If so, ask if they issue secured credit cards to those in your situation, who need to establish credit. A secured card means that you deposit $500, for instance, and receive a CC with a $500 credit limit.
Another option might be a CC marketed specifically to students. But I would definitely call first, tell them that you have no reported credit, an empty credit report, and no FICO score, and ask if will they issue cards to students in your situation.
Once you have some form of credit reporting for six months or so, you'll be in better shape. Lenders are chicken. They want to see that you have a history of managing credit, but no one wants to be the first.
edit to add: if there isn't a credit union available, there might be a locally-based bank that has a presence among students at your school. Ask the same question of them: will they help someone like you get started in credit. Be sure that they say yes, it's OK that you don't have any current credit history before you let them pull your credit. No point in getting a hard inquiry on your reports for nothing.
08-26-2010 08:14 AM
Capital One would be a good place to start among the major banks. You might need to start with their secured card.
08-26-2010 05:32 PM - edited 08-26-2010 05:33 PM
My friend was approved for $100 on Best Buy Mastercard with no file after he turned 21, he had been declined just a month or two earlier when he was still 20. I would open up 1 account somewhere, Cap1 Secured would be great option to as previously posted... Wait 6 months after opening account and then try for the Zync again.
myFICO is the consumer division of FICO. Since its introduction 20 years ago, the FICO® Score has become a global standard for measuring credit risk in the banking, mortgage, credit card, auto and retail industries. 90 of the top 100 largest U.S. financial institutions use the FICO Score to make consumer credit decisions.>> About myFICO