What's the best way to build credit for someone who has none?

[need4speed]

I'm just curious. What's the best way for someone to build credit, who has no credit history?

It's like the Chicken and the Egg scenario. How can someone have a Credit History if CC Companies won't give you one? ... can be quite funny but very annoying...

I know there are those secured cc's... but is there another way?

[ghosthunter]

have a guarantor for your credit card.

[bmdj]

I know there are those secured cc's... but is there another way?

after a year(dipende sa bank) automatic magiging regular cc na yon. (",)

[ghosthunter]

open an account in the bank and maintain its required minimum.

[need4speed]

Originally posted by ghosthunter
open an account in the bank and maintain its required minimum.

thanks for the info dude... but i'm in the states. It's not as easy to get a CC here as it is in Manila. I already have a CC from HSBC Premier. But coz of the exchange rate fluctuation, I'd rather get a local one. And since I'm living here already, I have to build a credit history locally.

Here in the states, from the stories I've heard, If you don't have a credit history by the time you finish Coll/Univ. it would be quite difficult to get one. People tell me it sometimes takes a year or a bit more just to get a regular one.

(this is why i posted this message on the OFW forum and not the NCR one).

In any case, thanks for the info nonetheless

[need4speed]

Originally posted by ghosthunter
open an account in the bank and maintain its required minimum.

oh yeah... i forgot to add, I'm way above the minimum requirements for my bank. This though, does not automatically mean you can have a CC from your own bank. In manila it works, but not here in the US.

[bmdj]

OO nga mahirap nga sabi ng cousin ko. Mas madali kung nag-aaral ka may cc kana, ang tawag yata dyan Student CC/Student loan etc.. (",)

[need4speed]

Originally posted by bmdj
OO nga mahirap nga sabi ng cousin ko. Mas madali kung nag-aaral ka may cc kana, ang tawag yata dyan Student CC/Student loan etc.. (",)

yup... that's right... i read somewhere where the CC companies did a study. If they get a person while they are still in college, they'd usually be loyal to the first card that they acquired. This is the reasoning for this student cc.

but for peeps like me who are already done and come here to work. It's pretty annoying. I have friends who came here a few years earlier than me, and tell me the exact story i'm facing right now.

*sigh*... that's life... :freak:

[Macky]

Just started my credit history in '99. Apllied for membership from DCU. After ma-approved, apply agad ng CC at computer loan. I got a 10.9% APR on their CC (compared to the 24.99% I got from another CC company) and 12.9% APR for a year sa computer loan ko. Then after 3 months, nag-apply na ako ng car loan Pangit din maraming credit inquiry kaya wag na wag maga-apply ng CC at loans na hindi ka siguradong maa-approved. Sure shot ang DCU basta may sponsor ka lang!

[kuroy]

pre...try mo mag open account sa wells fargo. then after a while offeran ka nila ng wells fargo visa credit card.

as long as my bank account ka sa kanila checking./savings madali ang approval ng credit cards mo..

ganyan din ako nag start dati..ang hirap talaga kasi ndi naman lahat puwede mong gamitan ng atm...dami ko naapplyan amex,citi,tech cu,bank of am, etc pero lagi ako reject...

pero ang wells fargo ok talaga....hindi na ako nag switch ng cc after ng WF. ok ang service and walang annual fee/membership/etc. dami ko ngayong nagdadatingan ng mga cc offers sa mga dating nag reject sa akin pero snub sila ngayon...

lagi ka lang on time magbayad sa cc mo gaganda ang history mo...

[need4speed]

thanks for the tips peeps...

kuroy:
walang wells fargo here samen eh... never seen one since i got here. I applied din at a lot of cc's... puro rejection letter... *sigh*

i just ended up getting one of those secured credit card (parang prepaid)... no choice eh... i should have gotten a secured card from the moment i got here para by now.. i'd probably have an unsecured one by this time...

[need4speed]

hay ang lamig dito sa east coast..... i'm freezing my *$$ off... lol

[jesi]

You have to have a job para bigyan ka ng sarili mong credit card. If you have an extension, hindi pa rin sa iyo iyon. Since you already have a bank account, [and if you have a job] start out with stores credit cards [like Macy's, Sears, etc]. Kung na-approve ka sa mga iyon, keep using and paying them off on time para maka-build ka ng credit. I assure you, within three months eh may pre-approved ka ng credit card application sa mail.

Or open an account sa mga credit unions. Madali mag-apply ng cc sa mga iyon as long as may regular job ka.

Pero payo lang, kapag nagkaroon ka na, ingat lang sa paggamit baka mapasubo ka. Ako nga, tagal ko na rito, nasabing Platinum visa ko pero 2k lang limit. [My choice though]. I only use it mostly when booking hotels and buying stuff sa internet. At least kung madadali man, eh 2k lang. I mostly use my debit card kasi.

[need4speed]

thanks for the info jesi...

and yeah i do have a job...

i didn't know you could apply directly at credit unions... thanks for the tip...

in any case... a week ago... i got one of those secured cards... so that's how i'd be starting

[Karding]

Originally posted by bmdj
OO nga mahirap nga sabi ng cousin ko. Mas madali kung nag-aaral ka may cc kana, ang tawag yata dyan Student CC/Student loan etc.. (",)

and this is how students get buried with CC debt which they cannot pay until they die if they are paying a minimum. A study also show that a $2,500 CC debt with a 21% (which most Student CC are) is payable in 25years if you pay in minimum.

need4speed, what you did is a good way of building your credit, a secured CC other than having a co-signee (guarantor in the Phils) or a Store Credit Card first.

and couldn't agree more with Macky, the more you apply (and denied) the worse it affects your credit history. Considering you have a Credit Monitoring subscription, I thought you knew that need4speed?! A Credit Inquiry (Applying for a CC, Loan, Store Credit etc.) of once every 6 months is the most that you can to have a less affect on your credit history. And you dont wanna pay attention to those so called PRE-APPROVE in the mail. Always read the fine print.

[need4speed]

Originally posted by Karding
and couldn't agree more with Macky, the more you apply (and denied) the worse it affects your credit history. Considering you have a Credit Monitoring subscription, I thought you knew that need4speed?! A Credit Inquiry (Applying for a CC, Loan, Store Credit etc.) of once every 6 months is the most that you can to have a less affect on your credit history. And you dont wanna pay attention to those so called PRE-APPROVE in the mail. Always read the fine print.

only found those things out not that long ago dude...
thanks for the info ...

[luckytruck]

buhayin ko lang ito.

dalhin ko na lang lahat ng credit card ko galing sa pinas. aabot din ng cumulative credit limit ng mga P500,000, pwede na cguro yon.

does your philippine credit card history have any bearing on a credit rating in the USA? buti na lang mabait ang pinsan ko at tutulungan nya raw ako sa paghanap at pag-sponsor/co-make ng mga major purchases ko ie vehicle and such.

andy

[tinky]

buhayin ko lang ito.

dalhin ko na lang lahat ng credit card ko galing sa pinas. aabot din ng cumulative credit limit ng mga P500,000, pwede na cguro yon.

does your philippine credit card history have any bearing on a credit rating in the USA? buti na lang mabait ang pinsan ko at tutulungan nya raw ako sa paghanap at pag-sponsor/co-make ng mga major purchases ko ie vehicle and such.

andy

are you staying here for good?
if someone is gonna co-sign you when purcahsing a car
make sure this person has a good credit history because
it's going to reflect on you.

[mrpink]

... there's a site to view your credit history right? .. i just forgot what the URL is ..

[empy]

are you staying here for good?
if someone is gonna co-sign you when purcahsing a car
make sure this person has a good credit history because
it's going to reflect on you.

cutie, this is not true ;)

your cosigner's credit rating matters only on whether you get approved for the loan. the effect on your credit rating is determined on whether you pay the installments on time or not.

pwede ba ang co-maker, from another state?

yes, this is fine