How Do You Build Credit History For A Credit Card?
Building a good credit history is instrumental in allowing you to borrow for larger purchases, such as a loan for a car, home or college education. A credit card issuer takes a look how much you earn, as well as how much you owe in rent, bills and other expenses to get an idea if you can take on additional debt. But a credit card company looks closely at your credit score, as reported by the three big credit bureaus: Equifax, Experian and TransUnion. These bureaus provide creditors a picture of how well you’ve managed your past debts. However, if you have not established a credit history, a credit card issuer will have little information to rely on other than your promises of fair return. Building a credit history to get a credit card takes time and patience. Open a checking and/or savings account(s) in your name, advises the Federal Reserve Bank of San Francisco. Over time, your history with your bank–your deposits, withdrawals and transfers–will prove that you can manage your own m
