im in my early 20's and have pretty much zero credit other then some monthly bills and rent. i have a "signature" line of credit from the bank i deal with but i've never used it. w3hat is the best way to manage this line or credit for the purpose of establishing a rock solid credit number?
Only if your debit card has the visa or mastercard logo on it. If not, it's just a plain ATM card and you'll have to get it upgraded.
If I recall, debit cards don't build credit though.
There are tons of credit card offers floating around on the web. Or I'm sure you must get some in the mail. Whichever you get, just make sure it has no annual fee, and you pay the balance off in full every month. Most even give you the equivalent of 1% cash back, so no reason not to use them instaid of your checking account as long as you are responsible. Works out to a couple hundred bucks a year free.
Buidling credit is the easiest way you can benefit yourself financial in my opinion. My credit score is in the mid-high 7s and I've only been building credit for a few years.
Just get a CC, pay it off every month, keep doing that for years and you'll be fine. Don't cancel CC accounts cause it lowers credit and try not to use store credit unless it is a really good deal....
Just get a CC, pay it off every month, keep doing that for years and you'll be fine. Don't cancel CC accounts cause it lowers credit and try not to use store credit unless it is a really good deal....
Best deal out there IMO. Don't fall for the cards that offer airplane miles or free travel. They work out to pretty bad deals dollar for dollar. 1% on all purchases, 5% at gas, grocery, drug stores is the way to go.How do you like the 5% cash back bonus at supermarkets and gas stations
Seen most cards lower it to 3% lately, but not about to give up my 5% card!
Hello Tanner12oz,
I know a thing or two about credit and its definitely not simple but there are a few precautions and steps that you should always keep in mind when working on building or reestablishing your credit.
First , you definitely need to get 1 or 2 credit cards even if they are secured. second, DO NOT MAX THEM OUT!!!!! charge them up say around 2-3 hundred per month and pay them off in full each month. what ever you do ......do not be late or it will be 1 step forward ...2 steps back .....defeating your purpose. after about 6 months or so , you will start getting offers from a ton of creditors offering you credit cards.....tear them up ...throw them in the trash. there is absolutely no need for more than 2 or 3 at the most in credit cards. after you have have established your ability to pay on 1 or 2 cards for a period of 7 months you should be able to get a auto loan at a fairly reasonable rate and then ultimately a mortgage for your home at a very pleasing rate . In my mind , that is when credit is the most valuable. Nothing more important than the home and an awsome rate.
Finally you should always remember this ...in this day and age ...credit is everything!!!!! All the way from your insurance rates to believe it or not a prospective girlfriend or even wife!!!! yes thats true....I wont admit it ...but I may have checked in on a man or 2's credit when I was a little interested in him.....I mean come on .....I wouldnt want a man who cant pay his bills or doesnt pay them or does not know how to manage his finances properly.
one more thing, I would highly suggest to get in a credit monitoring system that you can monitor daily. There are several to chose from but are all basically the exact same ...about 100$$ a year and you are immediately notified via email every time something changes on your report from any of the 3 credit bureaus. wether it be a simple inquiry or a public record posted or a new account opened......as you can see this is so valuable due to the identity theft problem in the world. 100$$ a year to be on constant guard of whats on my most important finacial documents.......yes I definitely think this is a number 1 tool . Bank of America privacy source is an awsome one but there are plenty out there.
these are very simple rules and advice to get you or anyone started in the world of credit.
QUEEN OF HEARTS
I know a thing or two about credit and its definitely not simple but there are a few precautions and steps that you should always keep in mind when working on building or reestablishing your credit.
First , you definitely need to get 1 or 2 credit cards even if they are secured. second, DO NOT MAX THEM OUT!!!!! charge them up say around 2-3 hundred per month and pay them off in full each month. what ever you do ......do not be late or it will be 1 step forward ...2 steps back .....defeating your purpose. after about 6 months or so , you will start getting offers from a ton of creditors offering you credit cards.....tear them up ...throw them in the trash. there is absolutely no need for more than 2 or 3 at the most in credit cards. after you have have established your ability to pay on 1 or 2 cards for a period of 7 months you should be able to get a auto loan at a fairly reasonable rate and then ultimately a mortgage for your home at a very pleasing rate . In my mind , that is when credit is the most valuable. Nothing more important than the home and an awsome rate.
Finally you should always remember this ...in this day and age ...credit is everything!!!!! All the way from your insurance rates to believe it or not a prospective girlfriend or even wife!!!! yes thats true....I wont admit it ...but I may have checked in on a man or 2's credit when I was a little interested in him.....I mean come on .....I wouldnt want a man who cant pay his bills or doesnt pay them or does not know how to manage his finances properly.
one more thing, I would highly suggest to get in a credit monitoring system that you can monitor daily. There are several to chose from but are all basically the exact same ...about 100$$ a year and you are immediately notified via email every time something changes on your report from any of the 3 credit bureaus. wether it be a simple inquiry or a public record posted or a new account opened......as you can see this is so valuable due to the identity theft problem in the world. 100$$ a year to be on constant guard of whats on my most important finacial documents.......yes I definitely think this is a number 1 tool . Bank of America privacy source is an awsome one but there are plenty out there.
these are very simple rules and advice to get you or anyone started in the world of credit.
QUEEN OF HEARTS
a prospective girlfriend or even wife!!!! yes thats true....I wont admit it ...but I may have checked in on a man or 2's credit when I was a little interested in him.....I mean come on .....I wouldnt want a man who cant pay his bills or doesnt pay them or does not know how to manage his finances properly.
Good point
Good point
