Topic Wiki

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 918174 times)

Offline davidrotts63

  • Dansdeals Lifetime Presidential Platinum Elite
  • *********
  • Join Date: May 2017
  • Posts: 7218
  • Total likes: 978
  • DansDeals.com Hat Tips 26
  • Gender: Male
    • View Profile
  • Programs: Hertz Gold, Hyatt Member, BA Blue, Ebay banned, Amazon Prime
Re: Credit Card For Beginners
« Reply #4380 on: February 23, 2018, 12:26:22 PM »
citi works great.
YMMV. There are reports if Citi not reporting at all
(Quit) pulling out the flowers, and watering the weeds. -Peter Lynch

Online JACKBLUE

  • Dansdeals Lifetime Platinum Elite
  • *******
  • Join Date: Jan 2014
  • Posts: 2402
  • Total likes: 401
  • DansDeals.com Hat Tips 4
    • View Profile
  • Location: USA
Re: Credit Card For Beginners
« Reply #4381 on: February 23, 2018, 12:27:25 PM »
YMMV. There are reports if Citi not reporting at all
weird. I added quite a few people to my Citi cards and worked well.

Online Mr. CC

  • Dansdeals Platinum Elite + Lifetime Silver Elite
  • *****
  • Join Date: Oct 2015
  • Posts: 658
  • Total likes: 25
  • DansDeals.com Hat Tips 1
    • View Profile
  • Location: Yerushalayim
Re: Credit Card For Beginners
« Reply #4382 on: February 24, 2018, 09:53:57 PM »
Any card that I can add myself to that would “age” my credit to when that card was opened? My credit history is to recent, want to age it somehow...
Worked for me with citi

Offline killamatic12

  • Dansdeals Gold Elite
  • ***
  • Join Date: Dec 2013
  • Posts: 194
  • Total likes: 1
  • DansDeals.com Hat Tips 0
    • View Profile
  • Location: New York City
Re: Credit Card For Beginners
« Reply #4383 on: May 07, 2018, 01:05:43 AM »
I hope this is the right place for this. My Amex Business Gold AF just got posted. Do I need to transfer my points before closing the card? If so, where is the best place to transfer? it seems like anywhere you transfer it wont be so lucrative unless you know where you're flying soon. e.g transfer to Delta/Avios for Domestic flights. Thank you in advance!

Offline mord1

  • Dansdeals Platinum Elite + Lifetime Gold Elite
  • ******
  • Join Date: Feb 2013
  • Posts: 901
  • Total likes: 9
  • DansDeals.com Hat Tips 0
    • View Profile
Re: Credit Card For Beginners
« Reply #4384 on: May 07, 2018, 02:09:05 AM »
I hope this is the right place for this. My Amex Business Gold AF just got posted. Do I need to transfer my points before closing the card? If so, where is the best place to transfer? it seems like anywhere you transfer it wont be so lucrative unless you know where you're flying soon. e.g transfer to Delta/Avios for Domestic flights. Thank you in advance!
Do you have another MR earning rewards card? IF you do, then when you chat to close the gold, make sure the points are on that other cards MR # and you will be fine, if you dont have another MR earning card, open one and transfer the points to it or transfer to an airlien before you close the gold

Offline Josef.koney

  • Dansdeals Lifetime Platinum Elite
  • *******
  • Join Date: Nov 2014
  • Posts: 2018
  • Total likes: 19
  • DansDeals.com Hat Tips 0
    • View Profile
Re: Credit Card For Beginners
« Reply #4385 on: May 07, 2018, 02:32:18 AM »
I hope this is the right place for this. My Amex Business Gold AF just got posted. Do I need to transfer my points before closing the card? If so, where is the best place to transfer? it seems like anywhere you transfer it wont be so lucrative unless you know where you're flying soon. e.g transfer to Delta/Avios for Domestic flights. Thank you in advance!
You can either
1 apply for a new non annual amex card
2 downgrade to green (95$ fee iirc)
3 transfer to airline which will make your points less valuable.

Offline davidrotts63

  • Dansdeals Lifetime Presidential Platinum Elite
  • *********
  • Join Date: May 2017
  • Posts: 7218
  • Total likes: 978
  • DansDeals.com Hat Tips 26
  • Gender: Male
    • View Profile
  • Programs: Hertz Gold, Hyatt Member, BA Blue, Ebay banned, Amazon Prime
Re: Credit Card For Beginners
« Reply #4386 on: May 07, 2018, 04:50:06 AM »
Do you have another MR earning rewards card? IF you do, then when you chat to close the gold, make sure the points are on that other cards MR # and you will be fine, if you dont have another MR earning card, open one and transfer the points to it or transfer to an airlien before you close the gold
MR points aren't split between cards.
(Quit) pulling out the flowers, and watering the weeds. -Peter Lynch

Offline Freecountry

  • Dansdeals Platinum Elite + Lifetime Silver Elite
  • *****
  • Join Date: May 2017
  • Posts: 708
  • Total likes: 74
  • DansDeals.com Hat Tips 21
    • View Profile
  • Location: Lakewood nj
Re: Credit Card For Beginners
« Reply #4387 on: May 07, 2018, 07:50:52 AM »
I hope this is the right place for this. My Amex Business Gold AF just got posted. Do I need to transfer my points before closing the card? If so, where is the best place to transfer? it seems like anywhere you transfer it wont be so lucrative unless you know where you're flying soon. e.g transfer to Delta/Avios for Domestic flights. Thank you in advance!
don't rush to close your card first call retention they may make it worth keeping.  I got on the amex gold personal an offer that made it worth keeping open
http://forums.dansdeals.com/index.php?topic=1572.msg1910176#msg1910176
Check here for different offers and numbers
http://forums.dansdeals.com/index.php?topic=1572.0

Offline ahron15

  • Dansdeals Silver Elite
  • **
  • Join Date: Mar 2017
  • Posts: 74
  • Total likes: 4
  • DansDeals.com Hat Tips 1
    • View Profile
Re: Credit Card For Beginners
« Reply #4388 on: August 30, 2018, 09:02:48 PM »
Does anyone have any experience with the target red card is it easy to get approved without  a credit history?

Offline mmgfarb

  • Dansdeals Lifetime Presidential Platinum Elite
  • *********
  • Join Date: Dec 2015
  • Posts: 8355
  • Total likes: 1110
  • DansDeals.com Hat Tips 4
    • View Profile
Re: Credit Card For Beginners
« Reply #4389 on: August 30, 2018, 11:50:09 PM »
Does anyone have any experience with the target red card is it easy to get approved without  a credit history?
Are you just trying to build credit or are you actually interested in the red card? If the latter just get the debit card.
"JS [is] a fetid cesspool of unvarnished linguistic manure, with lots of useless drivel and post-padding." -Moishebatchy

Offline incendia

  • Dansdeals Lifetime Platinum Elite
  • *******
  • Join Date: Sep 2011
  • Posts: 1272
  • Total likes: 77
  • DansDeals.com Hat Tips 8
    • View Profile
Re: Credit Card For Beginners
« Reply #4390 on: August 31, 2018, 12:57:43 AM »
Does anyone have any experience with the target red card is it easy to get approved without  a credit history?

You can get the debit card there is no credit pull but they draw cash from your checking account right away

the CC is probably easy to get with a thin to no credit report 

Offline ahron15

  • Dansdeals Silver Elite
  • **
  • Join Date: Mar 2017
  • Posts: 74
  • Total likes: 4
  • DansDeals.com Hat Tips 1
    • View Profile
Re: Credit Card For Beginners
« Reply #4391 on: August 31, 2018, 10:03:54 AM »
Are you just trying to build credit or are you actually interested in the red card? If the latter just get the debit card.
looking for a first card with a good benefit but seems like the red card only works in target so don't think it will work thanks

Online Mordyk

  • Dansdeals Presidential Platinum Elite
  • ********
  • Join Date: May 2013
  • Posts: 4102
  • Total likes: 1015
  • DansDeals.com Hat Tips 3
  • Gender: Male
    • View Profile
  • Programs: Some of this and some of that.
Re: Credit Card For Beginners
« Reply #4392 on: August 31, 2018, 10:25:39 AM »
looking for a first card with a good benefit but seems like the red card only works in target so don't think it will work thanks
have you tried chase freedom?
#TYH

Offline incendia

  • Dansdeals Lifetime Platinum Elite
  • *******
  • Join Date: Sep 2011
  • Posts: 1272
  • Total likes: 77
  • DansDeals.com Hat Tips 8
    • View Profile
Re: Credit Card For Beginners
« Reply #4393 on: August 31, 2018, 10:29:20 AM »
looking for a first card with a good benefit but seems like the red card only works in target so don't think it will work thanks

It should still help you build credit but I would suggest starting with Discover It or Chase Freedom

Offline ahron15

  • Dansdeals Silver Elite
  • **
  • Join Date: Mar 2017
  • Posts: 74
  • Total likes: 4
  • DansDeals.com Hat Tips 1
    • View Profile
Re: Credit Card For Beginners
« Reply #4394 on: August 31, 2018, 10:41:18 AM »
It should still help you build credit but I would suggest starting with Discover It or Chase Freedom
its for a relative with NO credit history not even AU and he needs a CC for everyday spend and to build his credit I think the freedom will get denied prob have a better chance with discover no?

Offline grodnoking

  • Dansdeals Lifetime Presidential Platinum Elite
  • *********
  • Join Date: Nov 2014
  • Posts: 5847
  • Total likes: 767
  • DansDeals.com Hat Tips 17
    • View Profile
Re: Credit Card For Beginners
« Reply #4395 on: August 31, 2018, 10:43:59 AM »
its for a relative with NO credit history not even AU and he needs a CC for everyday spend and to build his credit I think the freedom will get denied prob have a better chance with discover no?
If he has a TD Bank account I'd say he should apply for the TD Cash Card
I'm not who you think I am.

Offline mmgfarb

  • Dansdeals Lifetime Presidential Platinum Elite
  • *********
  • Join Date: Dec 2015
  • Posts: 8355
  • Total likes: 1110
  • DansDeals.com Hat Tips 4
    • View Profile
Re: Credit Card For Beginners
« Reply #4396 on: August 31, 2018, 10:53:42 AM »
its for a relative with NO credit history not even AU and he needs a CC for everyday spend and to build his credit I think the freedom will get denied prob have a better chance with discover no?
Try the discover student card.
"JS [is] a fetid cesspool of unvarnished linguistic manure, with lots of useless drivel and post-padding." -Moishebatchy

Offline yyy

  • DansDeals Copper Elite
  • *
  • Join Date: Jun 2013
  • Posts: 7
  • Total likes: 0
  • DansDeals.com Hat Tips 0
    • View Profile
Re: Credit Card For Beginners
« Reply #4397 on: October 29, 2018, 10:02:01 AM »
Hi,
Would you please share your wisdom?

I have a credit score of 645.
I haven't had a credit card in years. I would like to build my credit. I would spend about $500/month.
I do not live in the USA, but I do have an address and bank account there.

Thank you for your help.

Offline incendia

  • Dansdeals Lifetime Platinum Elite
  • *******
  • Join Date: Sep 2011
  • Posts: 1272
  • Total likes: 77
  • DansDeals.com Hat Tips 8
    • View Profile
Re: Credit Card For Beginners
« Reply #4398 on: October 29, 2018, 12:51:51 PM »
Hi,
Would you please share your wisdom?

I have a credit score of 645.
I haven't had a credit card in years. I would like to build my credit. I would spend about $500/month.
I do not live in the USA, but I do have an address and bank account there.

Thank you for your help.

I would suggest the Discover IT of Chase Freedom cards to start out.

Discover isn't used in many places outside the US, and the Freedom has foreign transaction fees.

I would then suggest the BoA Travel Rewards card.

All these cards have no annual fee.

Offline PillanSmye

  • Dansdeals Lifetime Platinum Elite
  • *******
  • Join Date: Aug 2015
  • Posts: 1028
  • Total likes: 68
  • DansDeals.com Hat Tips 1
    • View Profile
Re: Credit Card For Beginners
« Reply #4399 on: October 30, 2018, 09:30:16 AM »
its for a relative with NO credit history not even AU and he needs a CC for everyday spend and to build his credit I think the freedom will get denied prob have a better chance with discover no?

I know a young lady with no credit that recently got a Freedom and Discover.  She does bank with Chase and applied inbranch for the Freedom.