Have green card, now to build a credit rating?

[kaffy 2]

1. Get a secured credit card through your bank

2. Have your spouse add you to their existing credit card/s as a joint account holder. Note there is a difference between joint account holders and secondary card holders. I believe credit gets reported for joint holders but not secondary holders. Specify with them exactly what you want and ask them to send you the paperwork

[angeladams 0]

do NOT use capital one.

they just raised their interest rates dramatically due to the economy being bad. my inlaws have the most amazing credit rate and their credit cards just went from 6% interest to 18%

so beware.

[reeses16 8]

6% to 18%?! Thats scary.

OP, you could also try a credit union. Most require you to have a certain job or affiliation, although there are more credit unions now with open membership.

After my hubby got his SSN, I added him to the credit card I had the longest (and the lowest balance). His credit history is now longer than he's been in the US. A few months after he got a job, he opened a card on his own. He got lots of pre-approved offer so we picked the one with the best offer/benefits. He has a WaMu card, that reports his FICO score monthly. We love it, but now that they are converting over to Chase, that feature will no longer be offered. If you are interested, you may be able to look around and find a similar benefit with another company. It was nice while, it lasted, it was nice to watch his FICO score increase over time.

[leapoffaith 0]

Capital One also has cards specifically for people new to the country and who have no credit history.

ditto. I got one from them just by applying online thru their site.

[Cipka 0]

gotta say, this is a tuff thing . now, my credit score and rating is ok, pretty good. yes, i have a capital one, and Chase, both with 7.5 K limits, and i never use them, wifey hides them from me. Tabitha, wifey, never had credit cards back in the OLD COUNTRY, but as soon as she came here back in 2008, she got here first credit card with an 10 K limit! i was BLOWN AWAY! LOL! best wishes, Darren and Tabitha.

[rin and john 71]

Just co-signed a car loan for my 21 yo daughter who had no credit rating (has never even had a credit card). In talking to the credit manager, he said the the credit bureaus look for one installment loan (minimum $10,000 original note) and two revolving accounts (credit card, gas card, store card, etc) and the payment history on these debts. The score is based on your history of paying these debts once they are incurred. The credit card alone would give you a credit score, but to build a "good" credit score the two different types are better.

Since she had no credit score, she could not qualify for an installment loan without a co-signer. The current minimum requirements for her to qualify for a car loan without a credit score was $1,600/month of income and at least one year in her current job. Two different car locations confirmed the same requirements, so they must be reasonably standard (at least for a single female with no other obligations).

[Silke 1]

Being an authorized card user can still help you build credit history . In July 2008, FICO announced that they reversed their decision and would continue to include authorized user accounts when calculating someone's FICO credit score:

http://biz.yahoo.com/brn/080812/26254.html?.v=1

[himher 634]

That's awesome! We were getting all this straight in early 2008 so my information was from the spring....so my wife is building credit history not only from her card but from our joint cards as well?

Being an authorized card user can still help you build credit history . In July 2008, FICO announced that they reversed their decision and would continue to include authorized user accounts when calculating someone's FICO credit score:

http://biz.yahoo.com/brn/080812/26254.html?.v=1

[patriciaofoz 0]

If you have an American Express card from your home country, they'll transfer your account to a US one. Instantly gives you a credit history, as they declare you've been a member for X years (including the time as a member abroad).

Thanks for this information. I've had an Amex for years - would love to build a credit history through Amex.

[dash-tx 1]

Hi VJ Family, so my Green Card has been approved and should be with me next week. My question now is, how do i build a credit rating here in America? I tried applying for a couple of the lower end credit cards before i received my GC but nothing.. should i try again now? Say a $300 limit, use it, and pay off the full balance... over and over. Is that a speedy/steady way to build credit?

My goal is to have a good enough credit rating so that starting in 2010, if i so wished i can access school loans, car payments, and eventually in a few years a mortgage on a house for my Wife and I.

Any advice? I'm 20 so trying to get my head around the whole thing!

Thanks in advance,

Richard

Richard,

Make sure you get your credit going before you become 21 years old. You'll get a much higher FICO score later on (5 to 7 years from now) if you opened you 1st card before 21.

I came to the US when I was 19 and my first card was a bank of america student credit card. You can find application for it on colleges or on the bank itself. Just apply for a student card, since they know you're in school and assume you have no credit history. (even if you are not in school right now, go ahead and do that. List the name of the school you plan on atending.)

After you get the card, use only half of the credit limit available and pay-off every month in full. It's probably a good idea to use it to pay montlhy bills like cell-phone, eletric etc.

After about 6 to 8 months on that card, apply for a regular card. Use it the same way and don't apply for another one for at least one year.

Maybe after that apply for a Walmart, Costco, Furniture store type of card.

Like some other people have posted, becoming a authorized user on somebody else's card helps a lot too. Their good credit will help you build your history.

It takes time to have a great credit rating, but start now and you'll have it. I did it and was worth it.

PS: You don't need any kind of immigration status to get a credit history. All you need is a Social Security number.

I've known some people that even got a good credit history without a SSN, just using he ITIN number.

Let me know if you have any questions.

dash-tx

Edited February 27, 2009 by dash-tx

[Hydey 0]

Capital One also has cards specifically for people new to the country and who have no credit history.

Are you sure?

I started with Capital One a few months ago. No credit history and was approved for a $500 limit. Had it for three months now, and its been increased to $1000. Just have to ensure that you pay it on time.

Pretty simple. Just apply online and you'll be approved with nothing more than your SSN.

The irony is, they denied my application!

Hmmmmmmmmm - that is strange. Perhaps if you call them and speak to someone over the phone. I've heard that works better.

I could call them but since i already applied i think there is a 2-3 month gap in between which you can apply again?

I was denied a store credit card also.

I am now a joint cardholder for my Wife's small credit card. ($500 limit)

[JeremyR 8]

Capital One also has cards specifically for people new to the country and who have no credit history.

ditto. I got one from them just by applying online thru their site.

But they declined me

I don't like Capital One anyway (understatement) so I'm not that fussed I guess I'll look into a secured card

[Hydey 0]

Capital One also has cards specifically for people new to the country and who have no credit history.

ditto. I got one from them just by applying online thru their site.

But they declined me

I don't like Capital One anyway (understatement) so I'm not that fussed I guess I'll look into a secured card

Bank of America looks best...

[Remo28 0]

My goal is to have a good enough credit rating so that starting in 2010, if i so wished i can access school loans, car payments, and eventually in a few years a mortgage on a house for my Wife and I.

school loans are need-based and on a first-come-first-serve basis. They dont require a credit history. Apply through FAFSA as soon as you get admitted to a school, and thats all you would need for school related expenses.

As far as building credit is concerned, bank of america's secured card is the best option to start. But, dont ever be late on payments or going over the limit. The best way is to spend only a little through the credit card and paying it all off end of the month. After about six months, you would qualify to apply for an unsecured card. Also, dont apply for too many cards because that actually hurts the credit history.

[Arun+Catie 1]

Hi VJ Family, so my Green Card has been approved and should be with me next week. My question now is, how do i build a credit rating here in America? I tried applying for a couple of the lower end credit cards before i received my GC but nothing.. should i try again now? Say a $300 limit, use it, and pay off the full balance... over and over. Is that a speedy/steady way to build credit?

My goal is to have a good enough credit rating so that starting in 2010, if i so wished i can access school loans, car payments, and eventually in a few years a mortgage on a house for my Wife and I.

Any advice? I'm 20 so trying to get my head around the whole thing!

Thanks in advance,

Richard

First thing - make sure you get a job and/or keep the one you have! Open a bank account in America.

You're young, so you'll have a harder time getting credit. Secure bank credit cards don't count, they're not "true" credit cards. If you are planning to do so, rent an apartment. It won't show on your credit report, but it will provide a little payment history for the future.

You might want to try maybe a gas station credit card. Their interest rates are horrible, but they may be more willing to give you a card. Department stores are also more friendly...but make sure you use them wisely. These cards also have horrid interest rates. You can try Target, Walmart...

But be careful...applying for credit a lot and then being denied a lot won't look good on your credit report either.

Catie