How to Obtain a Credit Card With No Credit History

You can get a credit card with no credit history.

Even without a credit history, it is still possible to get a credit card. It may take a little time and it may be difficult to get one, but there are still things that you can do that will lead up to being able to get a credit card.

Instructions

1. Establish credibility. When there is no credit history that will help them to decide, lenders will look at characteristics about you. They will consider how long you have lived at the same address, how long you have been employed at the same place, and if you have had any bank accounts open for any length of time. The longer these periods are, the better.

2. Get a credit card for college students. If you are a college student, these are probably the easiest to get because credit card companies target this group. If you are under 21, however, you need to be able to prove that you are employed and can make payments, or you will need a cosigner.

3. Choose a cosigner. If you get someone to cosign your credit card application, it should be easy to get a credit card if your cosigner has excellent credit. Some of their credit history will actually be applied to yours and it can give your history a strong boost. Be careful, however, if they have a bad credit history because that will also be reflected in yours.

4. Talk to your bank. If you already have a checking account or a savings account at a bank and have had it open for awhile, they may help you get a credit card. Because they send you bank statements, they already know your address history and your bank account history. If they offer credit cards, they may just issue you one if everything else looks good.

5. Get a secured credit card. This type of credit card is more like a debit card because you are required to put the amount into it that you want to spend. These cards are costly and you will probably have to pay about 25 percent of the value in fees. It will, however, build your credit history and score. Once you have developed a good credit history with on-time payments, you can apply for a regular credit card.

Tips & Warnings

• Know what kinds of credit cards are available. Compare them carefully so that you understand what terms you might be able to get (interest rate and fees), and what terms or fees are not acceptable. Some cards will have annual fees and others will not.

• Some credit card companies offering credit cards to people with either no credit history or bad credit history are scams. Make sure you are getting your credit card from a reputable company.

References

• MSN Money Central: 9 Ways to Build Credit From Scratch
• Credit Cards: Credit Cards for People with Limited Credit or No Credit History