Hello to everyone. I have been reading this message board for quite some time now and admire all of you guys for taking charge of your lives and your credit. I stumbled upon creditnet while trying to dispute some fraudulent accounts off of my credit reports (which have all since been deleted by all three bureaus!) I finally joined creditnet and I would like some helpful advice. I am young, have a full-time job, and am also a full time college student. I have no credit. In fact, my EQ and TU reports are totally empty, with not even so much as an inquiry on them. My EX report, however, has 2 negs on it. An unpaid phone bill for $335 (my older brother had bad credit, so he asked if he could get his phone in my name. I was 18 at the time and didn't know any better. Sure enough he got behind on his bill, and now it's on my EX credit report!) The other neg is from a Gold's Gym membership back in 1995 with a $751 unpaid balance. They are both listed as unpaid collections. I am wondering what is the best way to get started building a positive credit history, and which good credit cards, if any, that I am likely to qualify for with virtually no credit history? Unlike most people my age, I am listening to my parents and learning the importance of credit now. When I'm 35 (in ten years) I want to buy my own house! I would appreciate any helpful advice from you wise folks, who have "been there, done that". Thank You very much! P.S. Sorry to be so long winded!!! Loopy
Welcome!! 25 and no credit? WOW. I am 25.. had no credit... then good credit.. then bad credit.. now still bad but improving.. Anyways.. I would start out with a couple credit cards... apply for a Visa card and a retail card.. (Target)... You should be approved... especially if you apply for one of those 'student' cards.. Just make sure to make all your payments on time!! I applaud you in your credit research!!!
You should try to apply with someone who checks TU or EQ. Maybe start with a Target card, gas card or something, probably even Capital One. My 19 yr old niece got one with not even a credit report established for her. They started her with a $200 limit, but with time she will be eligible for many other better offers, just by paying on time. Good luck and learn from OUR mistakes
Thanks guys for the advice!! I was thinking of applying for a Capital One or Target, and maybe a Mobil gas card. I am not concerned of course with the CL, because I only want to build a positive credit history, so $200 would suit me just fine for now! I'm in no hurry, like I said, I just want to be able buy my dream house by the time I'm 35!! Maybe even earlier. Thanks again for the advice. You guys are my teachers Loopy
I agree with radiohead and christi, what they suggested in starting out is great way to establish credit history. Having a good mix of revolving,retail,installment accounts, will give a nice boost to your overall score. 1) Length of time on your accounts is one major factor. 2)good mix of credit. A)Revolving= Visa/Mastercard B)Retail= Target, Sears, Gascard,I believe it's called Charge accounts on CRA's. C)Installment= Mortgage,Car Loans,Student Loans,unsecure/secured bank loans, I think fall under this category. I myself probably wouldn't worry about getting high CL's, I would work on establishing good payment history, if you get a car loan and it's paid off never late, those pre-approved offer's will start flooding your mail box. It's nice too get high credit limits and have many cards but they might consider it a risk of too much available credit...Okay I'm rambling now LOL but you get the picture heh.
You might consider Citi Card? Cap One is a nice card but it has it's Pro and Cons, for one they don't report CL. Citi been good to me, relatively easy card to get. Only prob I had with them is reporting on a regular basis, at least for me. They would sometimes go without updating my report for 3 month's or so, other than that it a decent card to start out with.
Thanx for that advice. A friend of mine told me that citi was a good choice for a card. I just wasn't sure how they looked at folks with no credit history. I'll check out their website and give it a shot. What could it hurt? Loopy
You can try this link and get a general idea of the cards available, with a brief description, such as instant online approval, CL, etc... http://www.acecredits.com/
