Credit Advice

Hi, I was in your same situation about two years ago when i just turned 18. I was able to get my first credit card through Capital One with only a $500 limit, but this was right before the economy was officially declared as going down hill. So in these days it's going to be extremely difficult to get a card right when you jump into the game of Credit. I'm with you in avoiding getting a low credit limit and not having to pay a big fee to start up, so stay away from the secured cards if you can. I now have 4 credit cards about to turn 20, I'd recommend applying for a student card if you are enrolled in a college. Low APR's, although not a huge credit limit it should be more then $300 though and will certainly help you start building credit. I have the Citi Forward© Student Credit Card, and its awesome! Your APR can be reduced over time by just being responsible and staying within your limit and making payments on time. No annual fee, and you can earn ThankYou points that can be spent on just about anything! My credit limit was $1000, which is understandable since I did have a "thin file" as well. So don't get discouraged if it's not above that. If you are a student then you should take a look through the Student cards on CreditKarma and see what works best for you. Hope this helps and Good Luck!

How old are you? If your young and don't have a lot of credit go to a credit union, they will be able to approve you for a low limit card. If it's not because of your age you have a bad credit to debt ratio or you have applied to much recently.

707 is not considered a high credit score anymore to not get questioned and risk getting turned down for loans. 707 is still a good score, but it's not a "decision proof" score.

That dividing line in the sand that you're looking for that separates good credits from excellent credits is now at 750.

Don't despair. 750 is not that far away from 707 and as you get your credit improved.


Here's one tip for figuring out if lenders like your credit scores---get off the OPT OUT prescreen list if you're on it. The junk mail you get in your name coming from insurance companies, credit cards and real estate brokers is a good way to determine how desirable your credit is.

Credit card offers from sub prime cards like Credit One and First Premier is a sign that your credit needs some work. If you start getting lots of offers for car insurance then your credit has definitely improved. When you get PRE APPROVED offers from major banks and credit unions, it's probably because one of your credit reports is now over FICO 750.

Have you thought about just opening up a few store credit cards? I financed a washer and dryer, and a sofa set, and it helped me a lot! If your really young (like me) it not only helps build credit, but if your going to college or just moved into a new apt then it's a good way to get things you want without spending ALLLL of that money up front.

I forgot to add, try looking at capitalone's credit card, they have credit cards specifically for people with a limited history, and offer credit limits around 500$. They have a pretty low APR (I think mine is 17%) and there annual fees aren't bad either (mine were 39.99). The best thing to do when building credit is get a credit card, and buy something VERY small each month with it (like a pack of gum, or a bottle of water) and then pay it off instantly, you don't have to use MUCH credit, to build credit.