topic Re: How to start credit. in Credit Cards

How to start credit.

Anonymous — Sat, 31 Aug 2013 09:09:04 GMT

Hello everyone, I'm new here so I'm not sure how it all works. So I'll just give it a go.

At the moment I don't have any cards and I'm trying to start my credit.
I have applied at Best Buy and Target but have been denied from what I can remember.
I just recently applied for a Chase Freedom card a few moments ago and honestly I just really want to start my credit in any way so I can get it started to help myself out for the future.

I've been working for 6 months and I am more than capable of making payments on time.

Is there any card out there that would be good or should I just try and stick with Chase.
I already have a checking account with them so I'd prefer to have a Credit Card with Chase.

Re: How to start credit.

takeshi74 — Sat, 31 Aug 2013 13:53:54 GMT

Were you approved for the Freedom? If not, you might want to look into a secured card as your first card.

Re: How to start credit.

myjourney — Sun, 01 Sep 2013 04:56:41 GMT

@Anonymous wrote:
Hello everyone, I'm new here so I'm not sure how it all works. So I'll just give it a go.

At the moment I don't have any cards and I'm trying to start my credit.
I have applied at Best Buy and Target but have been denied from what I can remember.
I just recently applied for a Chase Freedom card a few moments ago and honestly I just really want to start my credit in any way so I can get it started to help myself out for the future.

I've been working for 6 months and I am more than capable of making payments on time.

Is there any card out there that would be good or should I just try and stick with Chase.
I already have a checking account with them so I'd prefer to have a Credit Card with Chase.

Welcome to the forum

(1st) dont apply for any more cards just yet

(2nd) have you pulled your CR's and if not pull your free yearly https://www.annualcreditreport.com/cra/index.jsp

(3rd) next step in order to help you after reviewing your report you will need credit scores which can be purchased here?

Question we need answers for

Are you a student?

How many INQ's in the last year? INQ=inquiries also known as HP's= hard pulls?

Do you have any other credit.... car,home, store cards?

Re: How to start credit.

Anonymous — Sun, 01 Sep 2013 12:28:16 GMT

I am about to enroll into school, when it comes to INQ, if it means that when I have applied I never got a clear approval or decline, it has happened 1 time I think.
I don't have any credit cards, home or cars.
I only have a debt card.

Re: How to start credit.

Anonymous — Sun, 01 Sep 2013 12:32:00 GMT

Oh I just looked up the INQ, no I have not. I've never went to a bank or dealer to check my credit nor have I checked it before

Re: How to start credit.

Anonymous — Sun, 01 Sep 2013 14:08:18 GMT

The Discover Card is a great student card and is considered a prime lender- only issue is that Discover isn't accepted everywhere.

My girlfriend was recently approved for the Freedom with no credit history whatsoever and no relationship to Chase. If you get denied, I'm sure you can call recon to get accepted.

From personal experience, I'd stay away from Cap1.

The Citi Dividend also has a student section, which is a good card.

Good luck!

Re: How to start credit.

missjae — Sun, 01 Sep 2013 19:14:30 GMT

@Anonymous wrote:
Oh I just looked up the INQ, no I have not. I've never went to a bank or dealer to check my credit nor have I checked it before

If you've applied for any credit within the last two years (like the Target, Freedom, and other card you mentioned above), you will have inquiries, even if the application wasn't approved. Each time you apply for credit, with a few exceptions, the lender checks your credit and it is known as an inquiry. Inquiries can negatively affect your credit score, that is why you shouldn't keep applying for new credit if you are denied. If you haven't been approved for the cards you applied for, you may want to get a secured card. If you're a student, you may be able to get a student version of the card.

When you check your credit, the inquiry is a soft pull and does not affect your credit. You can check your credit report and scores without being penalized. You should do this to ensure all reported info is accurate.

If you know someone that has credit cards in good standing, you could always ask them to add you as an authorized user (AU) to see if it will report on your credit report (AU's usually report, but not always) . The person does not have to give you the card to use though. Many people do this and I've done it with people to help them along the way. I never give them the card though.

Good luck and welcome!

Re: How to start credit.

myjourney — Sun, 01 Sep 2013 19:29:17 GMT

@Anonymous wrote:
Oh I just looked up the INQ, no I have not. I've never went to a bank or dealer to check my credit nor have I checked it before

Pull your credit reports from the website I gave you then list all INQ's under the section that states "inquiries" here.

Let us know how many it say for each CB=credit bureau

TU ?

EX ?

EQ ?

and the date of each occurrence ?

Since you will have your credit reports also tell us any names that appear in the section under INQ's that say

"Inquiries shared only with you" or something to that effect

This section will help to see if any possible lenders have been reviewing your CR's

We can better help evaluate you credit options at that point

Re: How to start credit.

SunriseEarth — Sun, 01 Sep 2013 19:29:59 GMT

OP, It's frustrating that you need credit to get credit. And it really sounds like you just have a zero score, since you don't have a credit history.

You mentioned you'll be enrolling in school soon. Will you be taking student loans? Those can help get something on record. I definitely think that a student CC is the best path. Many people have mentioned Discover. I believe BofA has one, as well.

Re: How to start credit.

SnackTrader — Sun, 01 Sep 2013 19:39:21 GMT

The OP may not have access to reports since there are NO credit-related events listed on the report except the inquiries. The OP will certainly not have any scores. So there is no reason to advise the OP to pull scores.

Some things we haven't established -

Is the OP 18? What income is the OP reporting on applications? Does the OP have money available for a secured card? Will the OP be taking out loans for school?

There is no reason to rush this process, credit comes as just a normal part of life. For me I had no cards until almost my 24th birthday, but I already had numerous student loan tradelines and a car on my report. Take it slow, establish your credit with a secured card if necessary, and be responsible. Your scores will rise over time, but there is little reason to gain tons and tons of credit until your income starts increasing.

Try to answer these questions and we can advise you further.

Re: How to start credit.

bluesnowman — Sun, 01 Sep 2013 20:16:48 GMT

OP, I suggest you answer these questions so that we are better able to help you. Also, you could start with your bank and see what they have to offer since they probably know your banking history better then we do. A secured card or a student card would be good for you as well.

Re: How to start credit.

daybreakgonesXe — Sun, 01 Sep 2013 23:33:58 GMT

Although everyone has pretty much advised you of these things, check out this post I made: http://ficoforums.myfico.com/t5/Credit-Cards/quot-Start-From-Scratch-quot-Credit-Builders-Handbook/m-p/2330043#M656734

Go through the checklist. Good luck!

Re: How to start credit.

BearsAndTurtlesRtheBest — Mon, 02 Sep 2013 00:26:20 GMT

With you already having a job, Id say have someone add you as an Authorized User. It will really help you.