The Best Way to Build Up Credit in the US?

[CarolineLovesPaul 0]

Hi guys. Well, the end of a long journey for both of us. My green card arrived yesterday and I start my first job on September 28th (my first interview and I got the position - beginner's luck, I guess). Anyhow, I had good credit in the UK, but I was wondering what you other guys have done to get hold of credit cards here to build up your credit when they really have no record of my finances here (and my wife has only just started to build up credit herself by piggybacking on my mother in law's credit card). Any suggestions would be greatly appreciated and warm wishes to all of you who have been or are still going through this agonising bureaucratic process.

Paul

[Jonara 0]

Hi guys. Well, the end of a long journey for both of us. My green card arrived yesterday and I start my first job on September 28th (my first interview and I got the position - beginner's luck, I guess). Anyhow, I had good credit in the UK, but I was wondering what you other guys have done to get hold of credit cards here to build up your credit when they really have no record of my finances here (and my wife has only just started to build up credit herself by piggybacking on my mother in law's credit card). Any suggestions would be greatly appreciated and warm wishes to all of you who have been or are still going through this agonising bureaucratic process.

Paul

Hi Paul, it's been many many many years for me but it took me about a year or 2 to establish one for myself. A lot of big credit card companies will not issue credit cards simply because they will say not enough credit history. But you tend to think how will you get history if they don't issue you one. Catch 22.

So start out small. Department store credit cards is one avenue. I read in some posts here that you have to pay it off every month. Others say you have to keep a revolving credit. I did the latter. That's how you start history by showing you are making payments every month against a balance. After some time you pay it off (especially if it's one of those credit cards with high interest). I also bought a car here. Here in the States, anyone can almost get a car loan. Cars are tangible items that banks can easily take away from you if you don't pay. When you apply for a car loan, more than likely you will get high interest rate. If you have a spouse who can co-sign the loan, you might get a better rate (as long as her credit is good). This is also a good way of establishing credit history because you are making monthly payments. You will be confronted by high interest rates for a while but this is only because you don't have any history. Once you start up with small credit cards with fairly low credit limit you will see how it all starts building up. Big credit card companies like Discover have flexible credit categories. (I think I started out with them because I was in college that time and they had a program catered to college kiddos). I hope this helps!

[Malrothien 6]

One way is to get a secured credit card. Take $500 down to your bank and ask them for one. Use it to purchase everything, then pay it off.

[Rhiannercakes 14]

One way is to get a secured credit card. Take $500 down to your bank and ask them for one. Use it to purchase everything, then pay it off.

I suggest this as well.

[CarolineLovesPaul 0]

Yes, we have thought about a secured credit card too. It sounds good to me. I will have to get one as soon as I get paid my first wage in a couple of weeks. Thanks for all your advice, guys!

Paul

[damulag 26]

I started by adding my wife as an authorized user on a credit card I have had for around 20 years with perfect payment, by doing that she had something reporting on her credit report otherwise it would show as no score because she had no history. A few months later she then for a Vicotira's Secret card and we jointly applied for a Kohls card and Kroger. About the time we were married for two years we applied for a joint car loan and the loan officer said her credit score was higher than mine, which was around 770.

A good resource on how the "system" works is www.creditboards.com and the fico forums.

[David-and-Mae 15]

In the past, I could never, ever get a credit card because I am not working. Everytime my husband will apply for a joint charge card from stores, we always get denied because I have no credit history. Somebody here suggested to apply for a starter at Capital One. They approved my application with $500 for credit limit. I kept on using it on every little thing and paid whatever charges I have online. After 3 months, they increased my credit limit to $1000. I have been using this card for at least six months now and have been keeping up with the payments. Now, I also have Amazon Visa card and Kohl's charge card, which I could never get before. Husband said I'm doing good in building my own credit history.

[NikkiWicki 3]

In the past, I could never, ever get a credit card because I am not working. Everytime my husband will apply for a joint charge card from stores, we always get denied because I have no credit history. Somebody here suggested to apply for a starter at Capital One. They approved my application with $500 for credit limit. I kept on using it on every little thing and paid whatever charges I have online. After 3 months, they increased my credit limit to $1000. I have been using this card for at least six months now and have been keeping up with the payments. Now, I also have Amazon Visa card and Kohl's charge card, which I could never get before. Husband said I'm doing good in building my own credit history.

hi! Did capital one asked a secured deposit from you?

[KaeR 1]

hi! Did capital one asked a secured deposit from you?

CapitalOne didn't ask me for a deposit, but AFIK $1000 is the maximum what you can get. My credit score has risen since then, got much better CCs but when I asked to increased my credit line I was told that it cannot be done due to the nature of the card. I keep it though because they don't charge international fee.

[NikkiWicki 3]

CapitalOne didn't ask me for a deposit, but AFIK $1000 is the maximum what you can get. My credit score has risen since then, got much better CCs but when I asked to increased my credit line I was told that it cannot be done due to the nature of the card. I keep it though because they don't charge international fee.

so should I just apply and see if I get approved? and if so, where should I apply like go to their bank or something?

[Anna Grant 169]

I managed to get a credit card with US Bank. It is generally for students - in fact, it's called a 'College Visa Card' - but it's used for people who have no credit history to be able to build their history. I'm 50 and I have a student credit card! The limit is low at $300 but I find it really useful for gas and grocery shopping.

[KaeR 1]

so should I just apply and see if I get approved? and if so, where should I apply like go to their bank or something?

I went online and applied. I was getting a lot of mail from them.

[Morningmist 76]

I managed to get a credit card with US Bank. It is generally for students - in fact, it's called a 'College Visa Card' - but it's used for people who have no credit history to be able to build their history. I'm 50 and I have a student credit card! The limit is low at $300 but I find it really useful for gas and grocery shopping.

yep. That's pretty much how I started with an Amex student card. I still have it since the longer a card you have the more likely they add to your credit score.

[inlovesalem 17]

Wow, glad I came across this thread! Thanks for all the great info everyone (hoping I will soon be able to put it all to good use..lol)

[TBoneTX 45,567]

Folks, bear in mind that the first 7 posts in this thread are from 2009 and most of those members haven't logged on to VJ for a long time. Am leaving this helpful thread open, however.

TBoneTX

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