Credit Tips: Just Turned 18 Need to Establish Credit

Posted On: November 1, 2005

Author: Aaron
Posted: Mon Apr 05, 2004 3:44 pm
Post subject: Just Turned 18 Need to Establish Credit

ok i dont know what to do

I just turned 18 and looking to establish credit.

I have a good job at Sears and have been employed since Aug 31 2003, 8 months.

I would like to find a credit card that will likely approve me and give me decent line of credt, my credit limit is not important. I would just like to find a good card and creditor that will not screw me over. (Im sure they all try)

i am looking for some advice on what and where i can find this card, and apply online

i could really use some help in this matter

If i Google Credit Card advice i get about 27509381750391857913048257 choices

I am trying to find one that somebody has received the same way in my situation, i dont want to submit all my ifno to some fraudulent website and have god knows what happen……..

Author: NightStar
Posted: Mon Apr 05, 2004 5:53 pm
Post subject: Just Turned 18 Need to Establish Credit

For yourself being so young and fresh to working, I would suggest looking to a local credit union or bank, that way you can start now on establishing a long term relationship - not only get credit cards, but also installment loans down the line.

Good idea while you are at it to set up a savings account with the same company. Myself I like the personal service of being able to go in and talk to a person should a problem arise, and having quick easy access to funds.

As far as credit cards, you can always check out the sites, but submit for the cards by phone, or call and ask for an application to be mailed out to you.

Just be sure to, look for low interest rate cards if you will be planning to carry balances over month to month.

Also what type of card will do good for you, do you need a gas card (will be traveling alot)? What about airline card for miles? Also there are cards that pay percentage back on what you charge, or reward cards like Sony (that gives points for purchasing sony products)… there are more out there, just depends on what you need.

Myself I have not used many credit cards - I have used Capital One (which these days is a high risk credit extender) so beware! Citi Bank, they give credit, but are quick to change the terms if they can find a reason to. Also have used other credit like department store - JC Penney (I don’t consider this one to be consumer friendly though). Yonkers was fair, also Lowes - even though you are looking at 18 percent interest rate - another one I have used is Best Buy Household Bank card.

Lowes is not a bad card to have even with 18%, many times they will give 0% within 6 months - but you want to pay off the purchase in the 6 months not to let them add compounded interest at the end of that time.

Hear people say Bank of America is fair one, as well as Bank One - many starting out go for Target, Household cards. Best of luck with your search.

Author: Verne
Posted: Mon Apr 05, 2004 6:25 pm
Post subject: Just Turned 18 Need to Establish Credit

Establishing credit for the first time is a bit of a catch-22. You often need credit to get credit.

To get your foot in the door, look for ways to borrow or buy over time from stores or banks that report to the credit reporting agencies. Put money in the bank and borrow against it with a small personal loan. And as NightStar said, credit unions can be helpful. Think “borrow” whenever you enter a store.

Can you get a Sears card? Department stores or minor credit cards are often the way to get started. A Target card isn’t as easy to get as it used to be but there are lots of stores offering credit cards. Do searches in the cardholder reviews to check them out.

The interest rate shouldn’t be a priority - at least at first - but be careful to avoid cards with lots of fees - some not so obvious. Never listen to a telemarketer or pay fees upfront.

If someone calls you with a great credit card deal it’s almost certainly bogus. Con artists prey on young people just starting out, especially after they open their first checking account. Legitimate credit card offers don’t come over the phone unless you have a pre-established relationship with them. (and even then, think twice about it)

I got started with a couple department store cards, a credit union card, and a personal loan at a bank. But credit was looser in the Midwest during the 80’s. I was lucky. It was like a credit “perfect storm” back then in Iowa.

You may have to start small but after a year or two of clean credit health better offers will start coming in.

Author: Aaron
Posted: Mon Apr 05, 2004 7:36 pm
Post subject: Just Turned 18 Need to Establish Credit

Thanks for the advice

i actually do have a bank account and a good history

i will definately take your advice into consideration

Sears card was recently acquired by CitiBank… so …. its really hard to get, i had a guy come in to buy a treadmill with a platinum Visa and he applied for a sears card and was declined, some of the younger guys i work with no credit applied and were also turned down, since CitiBank acquired Sears card, i have seen alot less approvals.

I will look into the Target and Lowes credit Card

if anyone else has some good suggestions please let me know

and thank you both for the good advice