How to establish credit?

Question

ok, i rent an apartment for $825/ mont, no bank account (closed), no credit cards, do i have a bit of credit, how to get credit, never had an credit card!!

Answer 1

the only way to get credit is to borrow money and make payments on time. It's a stupid financial plan.  Once you get a high score. You also have to keep borrowing and making payments to keep a high score. It's a system designed by banks to keep you in debt and making payments.

Pay as you go. Live on less money than you make and you will not have to worship at the alter of the almighty fico score.

Answer 2

The best way to build your credit is to do it slowly. get one credit card, usually store charges are the easiest. Purchase one thing with the card every month. I mean something small like a shirt or some socks. When the bill comes in pay it in full every month. You will then develop[ a history of paying your bills on time every month and not owing anything. Within a year you will be surprised how your credit score grew.

Answer 3

The way I started establishing credit is through a secured credit card.  I think I had to put up a deposit of like $300 and they gave you a 300$ credit limit.  You use that and pay it off on time every month, this will help you START to gain credit.   After about 6mo to a year, you should be able to get a "Real" credit card and as long as you dont owe anything on the secured one you can cancel it and get your money back.     However, you would want to check with the cards rules(I think mine had a rule that if you cancelled it before 3 years, they deducted $50 from it, so I would have only gotten $250 back)  I still have mine because it is an old account and an old account looks really good on your credit!

You dont get "Credit" for paying your rent!   However, if you dont pay it they will put a negitive against your credit report.

Answer 4

The difficulty with credit card debt is that it can take so long to pay it off that you just get almost bored and spend again.  Most people find it hard to live within their means and not get further into debt or back into debt.

I can recommend starting to buy everything with cash - I'm telling you, when you see those bills going through your fingers you will really cut back on your spending!  It's far too easy to spend money you don't have with a credit card.

You have to get rid of your credit card debt.  Either get a consolidation loan or consolidate your cards to ones with zero or low rates of interest.  Once you have done this you MUST get rid of your old cards - cut them up and destroy them otherwise you will be tempted to spend on them again and get into even more serious problems.

You really can get out of credit card debt but it is going to require some discipline and self control and maybe even a five year plan, but once you are out of debt you will feel a new found sense of freedom!

Answer 5

- open a credit card and never use it it will create some good credit.

- pay for small things like gas with your card will also help.

- don't get yourself in debt will get you good credit.

- duh

Answer 6

you need a credit card to start with! your best bet is to look at the following site and apply for a card for people with no credit.

Answer 7

if there is any thing that i can strongly suggest its to NOT get a credit card. it's always for emergencies but, emergencies tend to happen, try getting a small loan from a bank some credit unions have a loan program that you can get to build credit.