topic Re: Daughter's 1st CC in Credit Cards

Daughter's 1st CC

Cheryla18 — Tue, 29 Apr 2014 00:41:23 GMT

My daughter just turned 18 and i am looking for a good starter card for her. She is working part time at fast food and will Graduate High School next month. She won't be enrolling in college until the Winter semester but I want to get her started on a good credit path now. Any idea on a CC to apply for. She has nothing on her CR. I pulled it this past weekend.

TIA

Cheryl

Re: Daughter's 1st CC

j_casteel — Tue, 29 Apr 2014 00:42:54 GMT

Freedom or IT

Re: Daughter's 1st CC

pizzadude — Tue, 29 Apr 2014 00:43:07 GMT

@Cheryla18 wrote:
My daughter just turned 18 and i am looking for a good starter card for her. She is working part time at fast food and will Graduate High School next month. She won't be enrolling in college until the Winter semester but I want to get her started on a good credit path now. Any idea on a CC to apply for. She has nothing on her CR. I pulled it this past weekend.

TIA
Cheryl

You might consider an AMEX charge card ~ has to be paid in full, also establishes her member since date, which will backdate her future Amex CCs.

Re: Daughter's 1st CC

myjourney — Tue, 29 Apr 2014 00:45:26 GMT

@Cheryla18 wrote:
My daughter just turned 18 and i am looking for a good starter card for her. She is working part time at fast food and will Graduate High School next month. She won't be enrolling in college until the Winter semester but I want to get her started on a good credit path now. Any idea on a CC to apply for. She has nothing on her CR. I pulled it this past weekend.

TIA
Cheryl

None.....sorry

Add her as AU on your cards to

A. Get her file / history started for scores

B. Start her thinking about good credit and the benefits of having and maintaining credit before her first card

Re: Daughter's 1st CC

Josh2942 — Tue, 29 Apr 2014 00:49:13 GMT

I disagree with adding her to your cards as a AU. Of course you can add her so she can acess your funds for spending you approve. But in terms of her getting her own card, a lot of issuers won't even count an AU if it's not with them and that's not even a guarantee. I would go with the Capital One journey card or welds fargo student card. They have grown with me. I'm pretty sure ex wants a FICO score first which takes 6 months to generate. Even a student discover it requires a FICO. Go with capital one or even a secured card with 500 dollars

Re: Daughter's 1st CC

SunriseEarth — Tue, 29 Apr 2014 00:50:29 GMT

Once she's in school, getting a student CC would be a good move (Discover It for Students, Cap One Journey, etc). I do like the idea of AMEX to get her MSD set, but not sure any would match here qualifications or needs right now.

The AU suggestion is also a very good one.

Re: Daughter's 1st CC

msbia — Tue, 29 Apr 2014 00:51:41 GMT

@myjourney wrote:
@Cheryla18 wrote:
My daughter just turned 18 and i am looking for a good starter card for her. She is working part time at fast food and will Graduate High School next month. She won't be enrolling in college until the Winter semester but I want to get her started on a good credit path now. Any idea on a CC to apply for. She has nothing on her CR. I pulled it this past weekend.

TIA
Cheryl
None.....sorry
Add her as AU on your cards to
A. Get her file / history started for scores
B. Start her thinking about good credit and the benefits of having and maintaining credit before her first card

Definitely agree with this! My daughter also works pt and starts college in the fall. I have her as an AU on my USAA MC and Chevron gas card because she drives. Once she gets to college and is able to work a little more steadily I told her to app (in 2015) for the Discover student card. For now, she's set with no debt.

Re: Daughter's 1st CC

Themanwhocan — Tue, 29 Apr 2014 00:52:54 GMT

With no credit history, you pretty much need a secured bank card to build an initial credit history. Or wait until you can get a student card.

I suggest picking a major bank that is in your area and that has good rewards credit cards that will be available in the future, and obtaining a secured card from them.

Re: Daughter's 1st CC

-Wade- — Tue, 29 Apr 2014 02:03:45 GMT

@Themanwhocan wrote:
With no credit history, you pretty much need a secured bank card to build an initial credit history. Or wait until you can get a student card.

I suggest picking a major bank that is in your area and that has good rewards credit cards that will be available in the future, and obtaining a secured card from them.

+1, I think SDFCU Secured Card would be a good 1 for her. I would also do some research on the Discover It Student Card . I really don't know if she can get it without any credit history.Like Pizzadude said you can add her to your Amex card and set a spending limit and in later years she would get all the backdateing

Re: Daughter's 1st CC

CarnegieS — Tue, 29 Apr 2014 02:13:51 GMT

I'm finishing up freshman year, and have had the discover card since my 2nd week. You do not need to have any credit history to get approved for it (I had none!). I've also refferred freinds who did not have any history who were also approved. Wait until she gets her class schedule or starts class before she applys. Discover will ask for proof of her schedule and after they got that most likley approval. Everyone I reffered to the card was also approved so I recommend that. Discover is a wonderful lender and the card will at least grow over the years unlike some of the other products. Not to mention the cashback is great on it (I've made $160 in 8 months) I highly recommend you get her to app for it as her first card!

Re: Daughter's 1st CC

kogama — Tue, 29 Apr 2014 03:01:39 GMT

I put all my friends who didn't have anything on their reports to Upromise Mastercard from Barclay. It is by far the easiest card to get and I have not seen anyone get denied from it. I advocate all my friends to build credit and they were approved with low limits. The ones that were authorized users before got decent 1-2k+ ones. I would app for it, no harm in 1 inquiry.

If they want another card in time, I refer them to discover being the next easiest on my list of cards to get.

edit: Should add my first ever card was a amazon store card (not the chase card) freshman year and I built my credit on that, then applied for Discover More which turned into the it later. If she uses amazon she should apply for that, once again I know of no one who has been denied and I have turned a few people on that.

Amazon store card and Upromise MC no one I know has been denied, Discover has denied a few but of course every individual situation is different, this is just my experience

Re: Daughter's 1st CC

-Wade- — Tue, 29 Apr 2014 02:22:36 GMT

@CarnegieS wrote:
I'm finishing up freshman year, and have had the discover card since my 2nd week. You do not need to have any credit history to get approved for it (I had none!). I've also refferred freinds who did not have any history who were also approved. Wait until she gets her class schedule or starts class before she applys. Discover will ask for proof of her schedule and after they got that most likley approval. Everyone I reffered to the card was also approved so I recommend that. Discover is a wonderful lender and the card will at least grow over the years unlike some of the other products. Not to mention the cashback is great on it (I've made $160 in 8 months) I highly recommend you get her to app for it as her first card!

That's good to know.... That would be the best way to go. Discover It Student for sure

Re: Daughter's 1st CC

traveler2005 — Tue, 29 Apr 2014 02:57:10 GMT

@Cheryla18 wrote:
My daughter just turned 18 and i am looking for a good starter card for her. She is working part time at fast food and will Graduate High School next month. She won't be enrolling in college until the Winter semester but I want to get her started on a good credit path now. Any idea on a CC to apply for. She has nothing on her CR. I pulled it this past weekend.

TIA
Cheryl

My daughter turned 18 almost 2 years ago, she was working at kohls part time and not attending college at that point. Before any credit card applications sit down with her and have the credit talk!!!!!!!!!

After my daughter and I had the credit talk she decided to apply for the Capital one secured card. $200 limit which increased to 300 a few months later, we knew this card would not graduate to secured. She also has a kohl's card with $700.00 limit

After having the cap 1 card and Kohls for about 6 months she saw a bed set and a bedroom set that she wanted, she applied at furniture row and slumberland and got 3000 and 2000 limits no finance charge for 18 months. She paid off the bed set in 6 months and is still paying off the furniture.

About 2 months ago she traded in her car and was approved for a 25,000 loan at our credit union, yes she is now working a second job.

Last month I encouraged her to get a couple of better cards. She applied and was approved for a Chase Freedom Card $1200 and Discover it $3000 limit.

She will now sock drawer the Cap 1 card until the next annual fee then she will close it. These new cards will more than grow with her.

She is very responsible with her money, makes minimal charges and pays them off immediately, except for the furniture and car.

Never been late on anything and no baddies on credit.

Hope this helps.

Re: Daughter's 1st CC

Kenny — Tue, 29 Apr 2014 03:07:14 GMT

A lot of people have different starting points to build their credit. If your daughter is able to get an Amex charge card, that would be the way I would go 100%.

Barclay and Discover, to me, are the most friendly and would be the easiest to get for her. Maybe she can get an Amex charge by December to cement her MSD in 2014! Just something to think about.

Re: Daughter's 1st CC

BluePoodle — Tue, 29 Apr 2014 03:19:06 GMT

@traveler2005 wrote:

Hi

My daughter turned 18 almost 2 years ago, she was working at kohls part time and not attending college at that point. Before any credit card applications sit down with her and have the credit talk!!!!!!!!!

After my daughter and I had the credit talk she decided to apply for the Capital one secured card. $200 limit which increased to 300 a few months later, we knew this card would not graduate to secured. She also has a kohl's card with $700.00 limit

After having the cap 1 card and Kohls for about 6 months she saw a bed set and a bedroom set that she wanted, she applied at furniture row and slumberland and got 3000 and 2000 limits no finance charge for 18 months. She paid off the bed set in 6 months and is still paying off the furniture.

About 2 months ago she traded in her car and was approved for a 25,000 loan at our credit union, yes she is now working a second job.

Last month I encouraged her to get a couple of better cards. She applied and was approved for a Chase Freedom Card $1200 and Discover it $3000 limit.

She will now sock drawer the Cap 1 card until the next annual fee then she will close it. These new cards will more than grow with her.

She is very responsible with her money, makes minimal charges and pays them off immediately, except for the furniture and car.

Never been late on anything and no baddies on credit.

Hope this helps.

It sounds like you have done a wonderful job educating your daughter on CC use and building credit. I hope I am as successful with my daughter.

Re: Daughter's 1st CC

14Fiesta — Tue, 29 Apr 2014 03:32:30 GMT

@Josh2942 wrote:
I disagree with adding her to your cards as a AU. Of course you can add her so she can acess your funds for spending you approve. But in terms of her getting her own card, a lot of issuers won't even count an AU if it's not with them and that's not even a guarantee. I would go with the Capital One journey card or welds fargo student card. They have grown with me. I'm pretty sure ex wants a FICO score first which takes 6 months to generate. Even a student discover it requires a FICO. Go with capital one or even a secured card with 500 dollars

Not true.

At least not in my case. My only building card right now is the Discover IT for Students, and I applied and got approved for it around New Years this year, with absolutely ZERO credit history. The credit agency listed that they pulled on the welcome packet was "L2C", so a FICO score is not necessary.

EDIT: But as always YMMV

Re: Daughter's 1st CC

Revelate — Tue, 29 Apr 2014 07:06:00 GMT

@-Wade- wrote:
@Themanwhocan wrote:
With no credit history, you pretty much need a secured bank card to build an initial credit history. Or wait until you can get a student card.

I suggest picking a major bank that is in your area and that has good rewards credit cards that will be available in the future, and obtaining a secured card from them.
+1, I think SDFCU Secured Card would be a good 1 for her. I would also do some research on the Discover It Student Card . I really don't know if she can get it without any credit history.Like Pizzadude said you can add her to your Amex card and set a spending limit and in later years she would get all the backdateing

For a no-file? Take the BOFA secured card instead: additional $50 dollar minimum deposit, will have to pay a $39 AF for the first year, but much better rewards, graduates, and is far more useful longer term; though maybe student wise since BOFA does offer a student card it might make sense to do the SDFCU one but it's not the best secured card out there and the normal BOFA card might be less restrictive than the student version later on.

After that I'd chase the student cards (Discover et al) after she enrolls, but I'd probably go setup the first one right now even if it likely won't matter much by the time she graduates. AU if you have a quality tradeline or two isn't a bad idea either, I do know if I ever have kids I'll be adding them as an AU as soon as I possibly can legally though I'm not certain if I'd ever give them the cards. Pure FICO underwriting and score gimmicks to help establish their credit, nothing less, and possibly nothing more.

Re: Daughter's 1st CC

Kenny — Tue, 29 Apr 2014 07:10:58 GMT

Discover approved me with no credit. (My first credit card.)

Re: Daughter's 1st CC

Cheryla18 — Tue, 29 Apr 2014 15:11:03 GMT

@KennyRS wrote:
Discover approved me with no credit. (My first credit card.)

Was that a student card? Also what was your working situation.

Re: Daughter's 1st CC

Cheryla18 — Wed, 30 Apr 2014 21:48:42 GMT

She applied for the Upromise Mastercard from Barclays...and got a 10 day wait message. Any ideas on what she should do...like recon?

TIA

Cheryl