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If you are here reading this forum/thread, you probably have heard, seen or know someone who has been leveraging credit card points for free or very low cost travel and want to get involved. While it may be very tempting to jump right in and apply for a bunch of credit cards, it is advisable to read through the forums before doing so.

For those who have no credit history, building your credit score is strongly recommended and may even be needed before applying for any credit cards.

Step 1 - Try and get added as an Authorized User (AU) on an established credit card. This card should be kept in good standing and preferably have a low credit utilization ratio.
Some have had success with Amex to get your card backdated to the primary cardholders "member since" date. Having this done will increase your credit history to that of  the account holders first Amex card.
UPDATE Amex no longer backdates any cards. Any authorized user card will show up on the AUs report as a new account, opened on the date that the AU was added. Amex is now one of the worse choices to get added as an AU to, for credit building purposes.
Chase, Citi, Bank of America and others are more likely to show the full history of the primary cardholder on the authorized user's report than Amex is.

Additional Option - In conjunction with being added as an AU, you can  sign up for a secure credit card.
A secured credit card works almost like a debit card (you need to lay out your credit limit), but this functions as a regular credit card and will help build your credit score.

Step 2 - Once you are setup as an AU, it is best to wait a few months before applying for your first card.

Your first card should be a store credit card, which are easier to get approved for, especially with very limited credit history.
Some of the store cards people apply for are Old Navy, Gap, Banana Republic, Kohl's, Macy's, Target etc. While these cards will not give you major signup bonuses to travel with, they do give you access to exclusive promotions and other perks when purchasing from the store.

Additional Options - The CapitalOne Journey card seems to be easier to get approved for, though understand they will pull your credit from all three agencies, while most banks only pull from one.

Discover has a student card you can apply for here. This can also be an easier option to getting approved for your first card. Their regular IT card (not student) seems to be pretty easy to get approved for with little to no credit history as well.

Step 3 - Pay your bill before your statement closes (cut off date), but leave a minimal amount remaining to be paid after your statement closes. This will help ensure that you have both a low CC utilization while establishing a good credit payment history. (This applies to new spending from this month.  Anything already 'due' should be paid in full.)

Step 4 - After using your first card for a few months, you will be ready to apply for the cards you will have read and heard so much about. Remember that getting accepted for a credit card is a combination of many factors like credit history and your credit score, but it is also dependent on the income that you claim* you make.  Income is not part of your credit report or score.

Step 5 - This is a brief synopsis of what to do when applying for credit cards. There are additional factors one should understand before applying for credit cards. DDF is a great resource and there are many people willing to answer your questions (which you should ask, albeit after attempting a search) 

*If you are under 21, you are legally only allowed to report personal income. Personal income, however, can include allowances and scholarships.
If you are over 21, you can claim any income which you have reasonable access to in order to pay back the bill, which includes the income of others in the household (spouse/parent), or anyone supporting you. Additionally, while most banks will not have you verify your income, it does happen and you should be prepared to show them. This is particularly prevalent with American Express, and is known as a Financial Review (FR).
« Last edited by S209 on September 09, 2018, 01:45:26 AM »

Author Topic: Credit Card For Beginners  (Read 607183 times)

Offline since1492

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Re: Credit Card For Beginners
« Reply #4185 on: December 29, 2016, 04:50:25 PM »
This post is against forum rules.
why, it is not a private number, its a company, I can't post the number to walmart?
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Offline LoLo

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Re: Credit Card For Beginners
« Reply #4186 on: December 29, 2016, 09:05:15 PM »
why, it is not a private number, its a company, I can't post the number to walmart?
Walmart doesn't compete with dan, while goldmine does.

Quote from: Dan
-Links to competing sites are not allowed.

Offline mmgfarb

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Re: Credit Card For Beginners
« Reply #4187 on: December 29, 2016, 09:13:34 PM »
Get him added as an AU for a few months then get a amex everyday, that's a card you can keep open for life and isn't hard to get approved for.
"JS [is] a fetid cesspool of unvarnished linguistic manure, with lots of useless drivel and post-padding." -Moishebatchy

Offline a good yeshiva bachur

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Re: Credit Card For Beginners
« Reply #4188 on: January 03, 2017, 02:08:30 AM »
Get him added as an AU for a few months then get a amex everyday, that's a card you can keep open for life and isn't hard to get approved for.
The student cards with decent rewards have FTF's (BofA, Citi) except Discover and Discover hardly works outside of the US.   The BofA Student TR is probably the best tradeoff.
they usually don't ask for that and even if they do provide them with the cheshbonos that you made. after all the form says that you can include child support.  just a few things to keep in mind:
1)he will have to speak to them if they request to speak to someone, not the parents
2)he should apply for a beginners card for example the capital one journey not the chase sapphire reserve or look around in whichever bank for a card that doesn't need a high credit score or a beginners card
3)even though it is the first card try to make sure it has no annual fee and decent benefits because since this is his first card he should keep it open for his credit score which means he will probably have this card for many years even if he doesn't use it a lot. 1 mistake I made is that my first card charges 3% for foreign transactions which gave me issues when i went to learn in israel
 
whatever works best for you...
i started with a Journeys and upgaded to the quick silver...
and my friend who started same time as me did the amex everyday....

Offline mancunian

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Re: Credit Card For Beginners
« Reply #4189 on: January 03, 2017, 02:45:43 PM »
What are the chances of being approved for Amex Everyday without being an AU at all first?

Offline emjee

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Re: Credit Card For Beginners
« Reply #4190 on: January 03, 2017, 06:18:16 PM »
What are the chances of being approved for Amex Everyday without being an AU at all first?
With no credit history at all ? - in my little experimental experiences; NONE

Offline mancunian

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Re: Credit Card For Beginners
« Reply #4191 on: January 06, 2017, 12:12:44 PM »
Bank of America offered a beginner w/o credit history:
Secured card, $100 deposit, $500 CL, 12 months to graduate

If he applies for a regular BofA student card, would that void this offer in any way?
Or he can apply for a regular unsecured student card, and if denied apply for this?
Or if he applies for a regular unsecured student card, will he be offered this upon denial?
Or 2bm apply for both?


Edit: Nevermind, offer has annual fee
« Last Edit: January 06, 2017, 12:21:26 PM by mancunian »

Offline devoramendy

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Re: Credit Card For Beginners
« Reply #4192 on: January 09, 2017, 12:41:41 AM »
My son is turning 18 next month, IyH. Until now, he has been an additional user on several of my credit cards, which he used. Now that he's turning 18, should he get his own credit cards? Being an additional user, does he even have a credit score? If we do apply for his own credit cards, what do we put down as income? He is still a student.
Thanks!

Offline mmgfarb

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Credit Card For Beginners
« Reply #4193 on: January 09, 2017, 01:15:00 AM »
My son is turning 18 next month, IyH. Until now, he has been an additional user on several of my credit cards, which he used. Now that he's turning 18, should he get his own credit cards? Being an additional user, does he even have a credit score? If we do apply for his own credit cards, what do we put down as income? He is still a student.
Thanks!
1. Why not get his own credit cards?
2. Yes he should have a credit score, how good will depend on the length, credit limit, and payment history of those cards that you added him on.
3. Not a question I'm going to answer here.
"JS [is] a fetid cesspool of unvarnished linguistic manure, with lots of useless drivel and post-padding." -Moishebatchy

Offline sag95

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Re: Credit Card For Beginners
« Reply #4194 on: January 09, 2017, 02:27:56 AM »
What are the chances of being approved for Amex Everyday without being an AU at all first?
With no credit history at all ? - in my little experimental experiences; NONE
I don't know if this is relevant, but my first cc was Amex everyday, and the only cc I had before that was an au on a chase card for a few months (with just my name and dob).

Offline shulem92

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Re: Credit Card For Beginners
« Reply #4195 on: January 09, 2017, 10:28:03 AM »


3. Not a question I'm going to answer here.
Why not? If living at home, he can report any household income

Offline since1492

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Re: Credit Card For Beginners
« Reply #4196 on: January 09, 2017, 10:51:12 AM »
is the capital one journey the best choice for someone with no credit history? and best card?
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Offline since1492

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Re: Credit Card For Beginners
« Reply #4197 on: January 09, 2017, 11:50:41 AM »
is there any credit card that can be approved with no credit history for a 30 year old?
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Offline Welder

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Re: Credit Card For Beginners
« Reply #4198 on: January 09, 2017, 12:19:37 PM »
is the capital one journey the best choice for someone with no credit history? and best card?
Journey is definitely a good choice. I don't know that there is a "best".
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