7 ms·
I guess you have no credit cards or loans under your name right?
by usaphp 11y ago
I guess you have no credit cards or loans under your name right?
- Someone1234 11y agoI cannot. No credit score.
- escaped_hn 11y agoSecured credit card.
- DiabloD3 11y agoThis. Bank of America and Capital One both have secured cards that eventually convert into unsecured.
- Someone1234 11y agoI'd prefer not to pay $15/year (plus hassle) to improve my credit score. I'm sure the problem will solve itself eventually.
- james33 11y agoProbably not the best stance to take. You can build quality credit much faster than you might think just starting with a secured credit card. It is certainly worth paying ~$15 for.
- foobarqux 11y agoYou can get no fee secured credit cards. The problem is usually the low limit with respect to the security deposit. Personally, I wouldn't wait, because credit can take a long time to build (just getting an unsecured card will take a year). You may also be able to get a card from a bank in your country of origin, some have branches or affiliates in the US.
- deet 11y agoI'm not a financial advisor, but you might think twice about this. Establishing a good credit history could save you a lot of money at some point in the future. It's a hassle now and doesn't seem to matter in the short term, but 10 years from now if you wanted to get a mortgage you wouldn't be able to go back in time to now to start establishing a good history and it might cost you a lot in interest.
- henrikschroder 11y agoIt will not solve itself eventually. I have a friend who immigrated to the US and went this route, and he basically lost a few years he could have used to build a credit history, which hurt him ten years later when he wanted to buy a house. So when I immigrated to the US, I started with a secured credit card as fast as possible. Mine was free to have, and you could set it up so it was paid automatically, in full, from your checking account every month. That way you just need to charge something to it each month, and you'll slowly build your history.
- __z 11y ago> you just need to charge something to it each month You don't even have to do that. You can leave it idle for months if you want. The only thing you have to watch out for is the issuer canceling inactive cards. Having an idle credit card shows you aren't maxing out your cards - you have credit available that you are not using. Length of credit history is also a factor in your score.
- henrikschroder 11y agoDoes it count towards making payments on time though?
- __z 11y agoWhy would you need to pay $15/year for a credit card? Most have no monthly fees - you can surely find a free one. If you pay the balance off in full every month it costs you $0. The big issue with having zero credit history is that you risk not being able to be approved for an apartment.
- djrogers 11y agoGood for you - keep it that way. Contrary to popular belief you can still get a mortgage (it's called manual underwriting, and a copy of a written budget plus proof that you have no other debt makes you a desirable borrower) and anything else you'd need a credit score for is probably better off being paid for with cash.
- abfan1127 11y agothis is the best advice ever. Staying debt free is critical to amassing wealth. I wish I would have received this advice sooner in life.
- jeremyt 11y agoWorst advice ever. A credit score is not just for getting a mortgage or a car loan. When I lived in New York, I had to have an acceptable credit score to get an apartment in most places. Not to mention, when I signed up for a Verizon account under an LLC that I have with my dad, we were forced to put down an $800 per phone deposit because the company had no credit history. Same with utilities. When I was starting a company, the bank wanted to check my credit score to decide whether I was going to get a checking account or not. This has happened twice, once with my previous company and a merchant account for credit cards. I haven't ever personally, but I've also talked to people who check credit scores as part of employment evaluation. Also, having a higher credit score gets you a better interest rate if you do need a loan, which can be worth a whole lot of money. You have every right to make the choice to live without credit, but I would have a hard time arguing that it's the smart play.
- abfan1127 11y agohaving done all of those, it was without a credit score.
- up_and_up 11y agoActually building and attaining good credit is a valuable asset in its own right. Building wealth is more than refusing to play the game and putting money in a shoebox. Be disciplined and use various financial vehicles for your advantage. No credit == Bad credit. This equates to you being seen as more risky which equals you paying more interest for any loan in the future. Having good credit also afford you more opportunities. I only know b/c I avoided holding a CC and loans for years until it started to hurt. Now I use them with discipline and for my advantage and am 810+
- Veratyr 11y agoI moved here early this year from another country and had zero credit score but a rather high salary. Went to HSBC with proof of salary and they happily gave me a credit card with a decent limit. Got my credit score up rather fast. If you're in a similar situation it might be worth looking into.
- __z 11y agoWhen I had no credit (and no salary, I was in school) I applied for a Target credit card on a whim. They accepted me but gave me a $250 limit.
- limeyx 11y agoYou can get a pre-paid one