Starting to build credit in the US

[Ian88 41]

This may be of interest to some

new comers to the US. I arrived here in January on a K1 visa and naturally started at rock bottom in terms of finance. Not sure if this has been listed before, but I stumbled upon this website https://www.novacredit.com/ where they perform a UK (and other countries I believe) credit check and convert it using the equivalent US system. By doing this I was able to secure a credit card from American Express with a small limit ($2000) and thus have began to build some credit here. 
 

As always, be careful when dealing with finances and read all the T&Cs. I am not affiliated with this company in anyway, I just saw it advertised on LinkedIn and it has worked for me. Hopefully this helps a few others get on the ladder too.

[yunnipie 6]

Another idea that may work for others. I have excellent credit (826) and a fear of unsecured debt 😅 When my husband joined me in the states I added him to my Discover card as an authorized user. His credit skyrocketed to the 730's in a couple of months. Not all cards report for auth users, so check with yours if this is something you're looking to do. We will add our boys when they get older, too, so that they get a good kick start. Do know that if removed from the auth user status they lose the benefit.

[Ian88 41]

1 minute ago, yunnipie said:

Another idea that may work for others. I have excellent credit (826) and a fear of unsecured debt 😅 When my husband joined me in the states I added him to my Discover card as an authorized user. His credit skyrocketed to the 730's in a couple of months. Not all cards report for auth users, so check with yours if this is something you're looking to do. We will add our boys when they get older, too, so that they get a good kick start. Do know that if removed from the auth user status they lose the benefit.

Oh that’s interesting! I will ask if my wife is allowed to add me to her card. Hers is with Chase I believe.

 

I also had excellent credit back in the UK, so the idea of all that work being for nothing over here was quite harsh. At least I was able to get some use out of it here.

[Wuozopo 4,293]

I too got credit ratings by being added as an authorized user of my wife’s credit cards.  There’s a mega thread on building credit pinned in the Tax and Finance forum. 

[Ian88 41]

27 minutes ago, Wuozopo said:

I too got credit ratings by being added as an authorized user of my wife’s credit cards.  There’s a mega thread on building credit pinned in the Tax and Finance forum. 

Thank you. Do they give you a second card or is any credit generated thereafter just applied to both of you?

[Family 3,988]

1 hour ago, Ian88 said:

Thank you. Do they give you a second card or is any credit generated thereafter just applied to both of you?

After a few months of being added to your spouse’s card , you will begin to get offers of new cards/ accounts in your name…so it’s worth waiting a bit . For anyone who does not have the option of a spouse w excellent credit, they can also set up a secured credit card  ( funds are released after one year) and it’s a sure method of building a credit profile.

[Wuozopo 4,293]

3 hours ago, Ian88 said:

Thank you. Do they give you a second card or is any credit generated thereafter just applied to both of you?

Yes, they mail a new card with your name on it. The account number is the same. When bills are paid timely, it is reported to both names, no matter who actually made the charge. We always pay off our card balances in full each month, so that gives a good rating. 

 

I recall using credit accounts as evidence for removing conditions, which you will be doing. Because the bill only has the account holder name on it, that didn’t prove anything. My wife blocked out some middle numbers on the cards with tape, then laid the matching cards side by side on the copier glass. Chase Mastercard, Macys, Target, etc….hers/his…matching cards with same account number to show we commingled finances. 

[Adventine 3,196]

American Express issues credit card statements that clearly show the breakdown of transactions between the original CC holder and the authorized user(s). So both spouses names CAN show up on the statements. 

 

Citibank statements, on the other hand, will not. 

 

My spouse and I have credit cards from both issuers and we're including all the statements in our ROC filing.

[Ian88 41]

39 minutes ago, Wuozopo said:

Yes, they mail a new card with your name on it. The account number is the same. When bills are paid timely, it is reported to both names, no matter who actually made the charge. We always pay off our card balances in full each month, so that gives a good rating. 

 

I recall using credit accounts as evidence for removing conditions, which you will be doing. Because the bill only has the account holder name on it, that didn’t prove anything. My wife blocked out some middle numbers on the cards with tape, then laid the matching cards side by side on the copier glass. Chase Mastercard, Macys, Target, etc….hers/his…matching cards with same account number to show we commingled finances. 

I have been filing relevant documents per your advice. All utilities have both our names, we’re both on my car insurance policy, named as each other’s beneficiaries on everything, I’m on her health insurance policy, both on the lease, and just opened a joint checking and savings account.

 

As for the credit card - her being incredibly patient during the K1 limbo and my lack of an income has meant that she has not made all her full payments, as we both normally would. I may wait until she is back on track with that (with my help now I’m working!) before becoming an authorized user, plus I have my own card to use for now.