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OnlyTryingToLive

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I applied for a secured credit card and still got denied, how am I supposed to build credit?

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Helpful to 17 out of 21 people

When I first started working towards building/repairing my credit I also was rejected for a secured credit card. I eventually tried Fingerhut and was given a $300 credit limit. While they are incredibly high they do report to the credit bureau regularly and I was able to start building good credit with on time payments. A year later and I have a $2500 limit with Fingerhut, a second store card (Amazon Prime Store Card) and was accepted for the Capital One Journey Student Credit Card. Perhaps something similar could be a option for you to consider.

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Helpful to 1 out of 1 people

Some secured cards through major banks can be more challenging to get even though you are posting collateral, however, the best place to start is your own bank or credit union. If you don't have a checking/savings acount yet, open one asap. Do some research on secured cards that do not require a credit check. First Progress will give a secured card to anyone and your limit will be the collateral money you send in to them. 

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Depends

Helpful to 2 out of 3 people

It can depend on the reason why they're denying you; bad credit or no credit history.

If you dont have credit history and you cant get a secured credit card, try going through your bank or get a prepaid card. I got mine through my bank and I went in person which is better because they can help to vouch for you when doing your application. The prepaid card works and is treated like a regular credit card but without the interest. While the no interest is appealing you will need to read the terms a bit carefully or discuss with someone from the company about what potential fees could be involved; some have fees some don't. 

If you have bad credit, then continuing  to pay your bills on time or even early would help. The above credit cards would also help and make sure you dont apply for too many credit cards because too many inquiries can be a hit on your credit. When I was trying to find a way to build my credit someone suggested to me to save up some money, get a small loan (like $500) and make a couple payments before paying it all off. I'm not sure if it would work but I left it as a last resort for me. Just if you go that way make sure theres no penalty for paying it off early.

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Credit Unions

Helpful to 1 out of 1 people

Go to a credit union like Carter Federal or whatever you have in your area. Have to join but all benefits to you vs. A bank are better across the board. You can get a SE ured card and it does get reported to Credit Reporting Agencies. Most SE ured. Ards don't get reported so do nothing for your. credit. Most credit unions do this but just ask to make 100% sure.

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3 People Helped

Try a credit union!

Helpful to 3 out of 5 people

I too battled with getting even a secured credit card having just moved to the US. I was even declined by Capital One for their card that is marketed for building credit for those with no credit or bad credit. In the end, I spoke with small credit unions that offer secured credit cards. I found one - NYU Federal Credit Union - that did not require a credit check but did require joining the credit union and depositing 125% of the card limit. Tough but it's a way to build credit.

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Depends on the card

Helpful to 2 out of 3 people

If your bank has a secured card, I would try that. I did a secured card with Wells Fargo where I've had an account since they bought Wachovia.  I've only had it about 6 months so they're not graduating it yet  but I was able to get approved for a Capital one Card this month. 

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Denied Secure Card

Helpful to 2 out of 3 people

Do not try for a secure card. Open a bank or credit union would b e better, account even if it is only a Savings account. They may tell you to go to your last bank and pay what you owe them before openiing a account. then open a secure card with that bank or credit union. They will open another savings account for your card. I did a secured card for $1000 and had to put $1150 into the savings account.

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Capitol One

Helpful to 3 out of 5 people

Capitol One has an amazing secured credit card. I've had it for 6 months so far, and I love the benifits. Would definitely recomend trying it out!

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3 People Helped

Helpful to 2 out of 3 people

What card did you apply for if you dont mind me asking? Do you have any debt with the company in other forms? I have seen people get denied for owing money to them or there sister companies.

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How I got one..

I was also denied multiple times when I applied first for secured credit card as I was new to this country. 

1) OpenSky Credit Card : I applied it online . Also loaded an amount of $500 upfront for use. It just has a very small yearly charge.

2) Opened a Capitalone bank account ( Checking and Savings) - also applied for limit $200 secured card.

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