I just turned 18. How do I get started with a credit card?

Even though you're legal, you may not want to rush into a credit card right away, especially with the way the industry is right now, I speak from professional experience. I'm not knocking credit cards, they definitely have their place, but it's up to people to use them responsibly. It's good that you're wanting to build credit, but there's a RIGHT and a wrong way to do it...

here's the RIGHT way:

1. Open a checking account if you haven't already- While opening the account doesn't directly build your credit, it does create a relationship between you and the bank by being an accountholder. Banks love to cater to their preferred customers that have accounts in great standing by offering loans and credit cards. Also, having a checking account not only helps manage your money, but it gives you the most powerful tool in building credit, a checking account to help pay your bills on time. Most banks and credit unions offer online banking with billpay that can make it easy for you to pay your bills on time, which is important in building credit.

2. Open a secured credit card- Secured credit cards are the easiest credit cards to get, mainly becuase a security deposit is placed upfront in order to establish a line of credit in the same amount. For example, if you deposit $250, your credit limit is $250, and so on. The deposit isn't used to pay for any of the purchsases on the card unless, it was charged off and sent to collections, so you would have to repay it just like a regular card either in full or minimum monthly payments. The deposit is sometimes linked to a savings account, so it earns interest while you're building credit, so the deposit isn't sitting there. You can think of this as building credit with a savings account. The more you deposit, the higher your limit, which is good for your score because it creates a cushion between the total debt you owe and the credit you have available. Also, by continuing to add to the deposit, you're also creating an emergency fund at the same time. A good way of using the card is by making small purchases ($20/month max) and paying on time every month while adding to the deposit. Usually after a year or so, the card either converts or upgrades to a regular card, and most importantly, the deposit is given back, which you can place in a savings account as an emergency fund.

3. Enroll with PRBC- PRBC is America's Alternative Credit Bureau, providing a helpful service to the over 50 million people with limited or no credit history. If you pay your monthly bills on time, PRBC can help you build credit to qualify for a mortgage and better interest rates.On-time payments for the following bills are not reported to the traditional credit bureaus:

Rent
Cable
Phone
Daycare
Insurance
Electric
Natural Gas
Cell Phone

The only time your payments for these bills are reported to the other credit bureaus is if they're missing or late.With PRBC, your on-time payments count. You build credit for paying your bills on time, even if you have no credit history. PRBC has teamed up with Fair Issac, the creators of the FICO score to introduce the FICO expansion score which helps people build credit. Here's a link that explains more in detail:

http://www.fairisaac.com/fic/en/product-service/product-index/fico-expansion-score/

In closing, just a few more things to keep in mind.

-Don't spend more than 30% of your combined available credit on all your cards.

-Only apply for credit when necessary.

-Dont close unused accounts.

-Pay on time

Hope this helps...

Thanks for reading and...

Good luck!

Have someone co-sign a loan for you, or you can get dept store credit cards and gas cards to help build your credit. OR you can get a secured loan at a bank so you are basically paying yourself every month, however, it helps to reckognize and record your timely payments providing some type of credit history.

Apply for a credit card at a department store or a gas card. Make sure the card has no annual fees. Only use it for items that you need and would normally buy. Pay the full balance each statement. Don't succumb to the temptation to get too many cards or too charge too much. Soon you will have a nice credit history and you will be able to get a car loan or a mortgage.

ok my advice, don't do it. But I know you won't listen to me anyways so go to a Bank, apply for a student credit card. Generally they have a 500.00 limit. Now if you don't qualify, don't fret just ask them for a secrure credit card and what it is you will just pay the card before you can use it so its like a pre pay thing. All the above options can begin to build credit, just don't be stupid with it cause it will get you in trouble if you let it.

Go get a small money loan then pay it off...you are going to have to build up some credit before most credit card places will let you have a card... Good Luck

Make sure you have a job and can pay off the balance that you charge to the card, and use it for things you only need and could afford to pay in cash....

http://credcards.noneto.com - try this one. I guess it has the most matching terms for young people.

Credit card companies are quick to respond to the growing trend of Internet users by offering online credit card application. As you might have noticed, many credit card companies whether online or offline for that matter, announce they offer the best credit card online, even with instant approval if you apply for it on their website. This method allows the applicant to get approval within a few minutes after submitting the online application form at the company website. Although this isnâ€™t truly instant credit card application, it definitely saves some time when compared to the traditional offline process. The approval process takes only a few minutes, but the credit card company will still need to manually mail you the physical card. This may take up to 10 days before you receive it.

It could take up to a month or two before you receive your credit card if you apply for one via the more tradition ways. You would have to visit the office of the card company personally or call up the customer service hotline to request for an application form to be mail to you. Then, once you have submitted your supporting documents you will need to wait for a reply as the company runs a check on your credit history.

The good thing about applying online for a credit card is that you know if you are approved for it or not within a fairly short time. Another advantage of filling in the application online is that it also allows you the opportunity to compare the cost of credit offered from a lot of different card companies.

There are certain limitations on who is eligible for an instant online credit card application approval. Most instant credit card application offers are targeted to people with good credit records. The competition on the credit market is so high today, that some companies are willing to include people with less than fantastic credit scores in order to get customers. The bottom line is that even if your credit history is not so good, you have the ability obtain an instantly approved credit card. So regardless to what your credit rating is, there is no reason not to use an instant credit card application.

Your credit card application will usually get approved instantly if you maintain a healthy and excellent credit history. However that does not mean that your application will be rejected if you credit history is less than perfect. With so much competition going around in the credit card industry, many companies are willing to take the risk and accept applicants with average credit history. Some of them even provide a card for those people with bad credit.

Before submitting your application online, take the time to do some research. Make sure you visit a legitimate credit card directory to compare card information first. Compare cards and consider the benefits that you want to receive as you do your research. You will also want to read the terms and conditions, yes I know they are enough to put you to sleep, at least once. The important items to take note of are annual fees, interest rate during the introductory period, interest rate after the introductory period, length of grace period and minimum payment amount. Pay particular attention to late payment fees and other unusual penalties. Call up the respective credit card customer service department if you have doubts or any queries with the terms and conditions. Take to time to get the card you want that will serve you the best.

Remember, once you get the credit card, that you should always use your credit card in a responsible way. By paying your outstanding balance before the due date and, if possible, pay the entire balance each month to save on interest fees you will ensure that you do not get into debt problems. Your credit score is directly affected by paying your bills on time.

http://badcreditloans.50webs.org/creditcards.html

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