Your First Credit Card
Will you be approved even if you don't have a credit history? Find out how to build your credit and get a new credit card tommorow.
It is high time you had your own credit card! Whether its so you don't have to carry lots of extra cash around, or so that you can spend a little extra next time you go shopping, having your very own credit card rocks.
I got my first credit card shortly after turning 18. Suddenly I was able to buy things that used to be completely out of reach. Buying things online used to mean asking to borrow my parent's credit card. I had to tell them what I was buying and why. When I was out the amount of cash in my pocket told me what I could and couldn't do.
No Credit History -- Will I Be Approved?
You might be worried that if you have no credit history and a tiny income no credit card company will approve you. The truth is, thats not a problem. Actually, credit card companies are eager to have you as a new customer.
Here are a few steps that you can follow to make sure you are approved for your first credit card, and to help you build up your new card's credit limit:
1. Check out your current credit report. This way you can see where you are starting from; this should also let you know if someone has been fraudulently damaging your credit history. You can get your report at FreeCreditReport.com.
2. Do you have a relationship with any financial institution? For example, a savings account at a bank? If so, ask if they issue credit cards (you aren't interested in a debit card.) Because you already have a history with the company, there is a good chance that you will be approved.
3. Find a company that has student credit cards. For example, Citi has a special line of college student credit cards. These require neither a co-signer or a minimum income.
4. If #2 and #3 are not options for you, ask your parent's about the company(ies) that provides their credit cards. It is possible that you can get a card through that company that one of your parents can co-sign on. This way you can build your credit.
5. If you are getting declined, then apply for a store credit card from someplace such as Target or Best Buy. Unfortunately this is going to take some time to build up your credit score, perhaps 6 months. While you wait, you can use a pre-paid credit card.
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