Hi Everyone, I am new in the country. Got a good job. What will be quickest way of eastablishing good credit. I heard a lot of good things about this site. So lets see. Your help is appreciated.
First get a bank account, presumably checking. That will establish a relationship with a bank that may offer you a credit card, as well as start credit records in the CRA files. If that is a problem, find out if there is a credit union associated with your employer. If you have banking relationships overseas already, maybe an account with a US subsidiary of an overseas bank might be possible. Alternatively, if your company requires that you have a corporate Amex card, such as for travel, open that. Until you exist in the CRAs' files, you will not get any offers, nor do they have anything to verify your credit existence against. Proceed from there to either a card thru the above bank or credit union, or, next a store card or gas card. Your goal there is to start establishing a history of good credit usage. Use it, pay it off monthly, and don't abuse it. As that history grows, you should start getting offers from banks for VISA or MC. Be careful who you open accounts with, since any company can buy your name for a fee. You make your financial decisions for your benefit alone, not so some clerk can get a bonus, or some predatory lender can get inflated fees and screw up your credit. At this stage you want to grow your available credit, but only with acceptable credit terms. No more than one application every 6 months should have minimal inquiry impact on your scores. Small to moderate limits are OK, since your goal is to create an extended history of "paid as agreed". That should result in better offers on better terms with higher limits. Do not carry significant balances compared to either your available credit, or your ability to pay.
I would check out the credit unions in your area. Membership requirements vary. I have one in my area that requires you to be a resident of the county. This was after my BK 7. I opened a savings account, added money and waited about 2 months. Then I applied (in person) for a refi on my vehicle to lower the interest. I told them about the BK and was wanting to rebuild my credit, (could they help me). They offered me a MasterCard on the spot along with the veh loan at 4.9%. They have been great! LOCAL CU's offer so much more than some places. cheers, piggycat
also, if you know someone here in the us that has good credit, you can always ask them to add you as an authorized user, and you can immediately improve your score. good luck
Don't forget about secured cards. There are several places that allow you to provide them with a deposit (say, $500) and they will open a credit card account with that as the limit. They hold the $500 as collateral in case you default. Here's some detailed info on how secured credit cards work: http://www.consumer-action.org/arch...redit_cards/2002_Secured_CreditCard/index.php Here's a comparison list of companies offering secured cards. http://www.bankrate.com/brm/rate/cc...&card_type=Secured&card_class=All&max_recs=50
