Hello all, I am really trying to learn how credit works and need some help. I am 17 at the moment and would like to start building credit now. I am also starting a small business (but not looking for business cards), so I know to be responsible. A lot of my older friends have already messed up their credit going crazy with their cards. I am wondering if I can get a credit card now. Not something that will kill me with debt, but something I can use on a regular basis that will help me build up credit. If not, what can I do to start building credit now?
Since credit cards are based on a contract between a bank and a consumer, probably not legally if you are a minor. Start building a banking relationship, if you haven't yet, with a bank or credit union that also offers credit cards. If you can establish a checking account, do that. Learn to research the terms of accounts with different banks, and also research their customer service and dependability based on consumer reports. As you do open accounts and build a credit record, don't mess up. Don't buy anything you can't pay off immediately with cash in hand.
If I open a bank account, it will create a credit record for me? What if it is only a savings account?
I have never had a saving account reported on my credit. My bank did report my activity with line of credit on my checking account.
