My sister's 21 turning 22 in December. She wants a credit card now and I'm going to lead her through the hoops, but she doesn't know where to start.
I can't give her typical first timer credit card advice because she actually does have credit. In August '07 she co-signed with my Dad (who actually has a fair credit, bankruptcy probably 5 years back) to buy an '07 Camry. Every payment has been made on time.
She plans to pay it off every month so I think she'd benefit from a Chase Freedom card, but I don't know if she'd be accepted. I just want to know if it's realistic for her to go for one. I'd hate to for her to get rejected multiple times before realizing that she doesn't have the credit level for it. She's one of the most responsible people I know, so I'm sure she's not a credit risk at all.
Many big banks want 18 months of credit history before they will issue one of their better cards. She would definitely be able to pick up a credit card, but perhaps not the rewards card of her choice. I too suggest she try a few of the pre-approval sites and see if any good rewards cards pop up. If not she should be eligible for many in 5-6 months.
I'd go the credit union route. I doubt she'd get accepted for the Chase Freedom. In addition, hard inquries hurt more if you're new to credit, which wouldn't improve her odds of being approved were she to reapply for another card after being denied for the Chase Freedom.
I'd say have her pull her FICO scores first though. After that it's up to you as to whether or not to apply for Chase Freedom. If she gets denied, I'd say go with a credit union card or maybe a Discover card. If she's a full-time student, applying as a student improves your odds of being approved for the Discover. The only caveat is that the interest rate will be a bit higher. That shouldn't matter though if she plans to PIF each month.