Denita Posted January 12, 2011 Report Share Posted January 12, 2011 Opps, typo, meant to say "What card do you apply for if you have No credit at all?" - edited for ya -AK83I have a friend of mine that is about 30 yrs old and he has never had any credit - always paid cash for everything, including vehicles. So he has no score. What credit cards do you recommend for him to start building credit? Link to comment Share on other sites More sharing options...
Amerikaner83 Posted January 13, 2011 Report Share Posted January 13, 2011 No question - secured card. BofA, USBank, or Wells. Preferably a local CU if he has one nearby. If he has the cash, at least 1k, preferably more. Link to comment Share on other sites More sharing options...
Xcalibar Posted January 13, 2011 Report Share Posted January 13, 2011 Additionally, your friend can open up a savings account or a CD and obtain a secured loan against the funds in the bank. For example say that your friend has $1,000 he could open up a 12-month CD and take out a 12-month loan against the CD. at the end of 12-months cash in CD, the loan will be paid off and your friend will have an excellent credit rating with the bank.The smart thing to do if your friend can afford it is to deposit the same $1,000 in bank A take out a loan and then Deposit that $1,000 into Bank B and Take out a loan.At the end of 12-months your friend will have 2 bank loan references.But...And this is really great for building up immediate credit...If your friend has friends who have good credit i.e. bank credit cards, gasoline credit cards and department store credit cards like sears...then your friend can be added as an authorized user to the friend's account. in about 60 days, whatever credit history the friend has will be automatically applied to your friends credit report...if the borrowed credit history is for an account that has been in existence for 8 years, your friend will have on his credit report that he has had a good payment history for 8 years...The credit history for each authored user card will appear on your friends credit repair thereby giving him an "instant credit score.There is no risk to your friend or the friend who allows the authorized use..The authorizer simply does not give your friend the card and all will be right with the world. Link to comment Share on other sites More sharing options...
Denita Posted January 13, 2011 Author Report Share Posted January 13, 2011 Thank you! Both are excellent ideas. Link to comment Share on other sites More sharing options...
Amerikaner83 Posted January 14, 2011 Report Share Posted January 14, 2011 But...And this is really great for building up immediate credit...If your friend has friends who have good credit i.e. bank credit cards, gasoline credit cards and department store credit cards like sears...then your friend can be added as an authorized user to the friend's account. in about 60 days, whatever credit history the friend has will be automatically applied to your friends credit report...if the borrowed credit history is for an account that has been in existence for 8 years, your friend will have on his credit report that he has had a good payment history for 8 years...The credit history for each authored user card will appear on your friends credit repair thereby giving him an "instant credit score.There is no risk to your friend or the friend who allows the authorized use..The authorizer simply does not give your friend the card and all will be right with the world. The AU trick doesn't work any more....it's been at least a year since FICO stopped adding non-family AUs to the scoring system. Since all the dingbats started buying AU accounts. Link to comment Share on other sites More sharing options...
sweetcheeks Posted February 2, 2011 Report Share Posted February 2, 2011 So, if you want to be added and have the "trick" count, how do you prove yoiur family ? and I am assuming it's only for spouses or children of which I have none. What about siblings ? Link to comment Share on other sites More sharing options...
Recommended Posts