How am I supposed to build my credit when.....

[kryptonic]

No one will give me a credit card. I went to my bank yesterday and applied for a student loan. I got denied because they said I have to make 12,000 a year to qualify. Then I got denied for a credit card through my bank because my average daily balance is 75.00, I only have a savings account, and I have no credit. So my banker told me to go apply for a target or a wal-mart card. then they denied me. So how am I supposed to build my credit when I cant get a credit card?

[dalek]

Find a rent to own type electronics store or a furniture store and get onsite financing say something for $1,000 or less and pay it off monthly and when it's low enough pay the whole amount, this will create a credit profile, keep the payments going though.

Careful if you do get a card, the less credit worthy the higher the interest rate charged..

[fourdc]

Get about $500 and deposit in a bank. Then borrow $500 for 6months using the savings account as collateral. Pay off the loan on time and now you have credit.

[Ghost_25inf]

Credit isnt everything these department stores look at. Age is also a factor. Income is also a big one too. Dont be tempted to go for a credit card, they are too tempting to spend. Get a cosigner to help you get a loan, this will help you get credit and also keep you at a more reasonable APR.

Good Luck

[Aardpsymon]

There is a never fail way to get credit. Buy a house. Works every time.

[very_unhappy]

@Ardpsymon

you need to have credit to get house loan...

this is the stupidest idea i've ever heard

[Raion]

Get a cellphone under your name (If you are starting from 0 you might have to pay extra), and if you pay on time your credit rating will rise. Or if you don't need a cellphone immediately, do something along those lines. Contrary to popular belief, credit cards are not the only way to raise your credit rating

Also, with time you'll probably get credit card offers by mail, they are willing to take risks on college students and most colleges (at least around here), share your information with credit card companies and banks. Check if your local bank offers a credit card (I know Citibank offers a pretty good one for college students)

[Negative]

When I first moved to the US (some 4 years ago), I obviously did not have any credit. I could not even get a cell phone, let alone a loan. I started trying to figure out how the system works, and the "nobody will give me credit, since I need credit to get credit" situation can be frustrating at times.

I think you need to keep some things in mind: what is it you're trying to do? Are you simply trying to build your credit, or do you have bad credit and you're trying to get a loan? If you're a student and you need a loan, did you try your school's financial department (rather than your bank)?

If you're simply looking into building some credit, fourdc is right on...

very_unhappy > home loans often have much lower (credit) requirements than other types of credit. It's not uncommon for someone to be denied for a $500 credit card, but being approved for a home loan. Credit isn't everything (mortgage companies look more at what you make - or will be making - than credit card companies, for example)...

[Computernerd22]

I got mine started by assistance with my uncle. I needed a car and I didnt have any credit. However, I did have a job at the local hospital. Anyways, I bought a car for 2500.00 my uncle put the car in my name to help me build and establish credit. I payed of the loan in a matter of 6 months. Shortly after that I would always get credit card applications in the mail.

Visa(gold) master card, discover card etc,,,

you want to look for one with the lowest APR. The higher the APR the worse.


PS to the guy who side buy a house. It takes MONEY to make MONEY.

[westin]

@Ardpsymon

you need to have credit to get house loan...

this is the stupidest idea i've ever heard
__________________
/dev/humor: not found

I had an idea like that once... it was a Jump to Conclusions Mat... you see it had different conclusions on it, that you could jump to.

sorry had to do it...