ways to build credit..

[HatchHero]

1. Check you credit report. see what the hell you got on there. you get a free one every year

2. Get a bank account. checking and savings. it shows stability

3.Get a credit card while you are in school. credit card company's love kids in college because they think they are dumb and they can get debt quicker or have parents that will bail them out.

4.Get a department store card or gas card. not too many. just one

5. Get an installment loan. (car, mortgage, personal)

6. When you get the credit card make sure you pay the bill in full!! only charge 30% of the cards limit AND PAY IT OFF

7. Try a secured credit card. PROS you deposit money in a acct. CONS most of the time these have high ass app and yearly fees. go to a credit union if your doing this.

8. when you get a credit card make sure you use it. if there is no transactions on the card ever IT WILL BE CLOSED.

9. Make sure whatever card you get reports to all three credit bureaus.

10. If you already have debt, you need to start paying down it. setup a payment plan give what you can afford. if you can only do 25 buxs well then you can only do 25 buxs and in the long run it will add up. start with the largest debt first.

11. Lenders want to see to can handle credit. if you have no credit your about as worse as having banged up credit. get low balance CC

12. keep your identity secret meaning don't buy from a company that doesn't have a good privacy policy. Or you don't trust.


I really hope this might help some of you out there. If you have bad credit and trying to repair it; there are credit repair companies out there that will help and I'm sure they are making a killing on this. Check you credit report and if you see anything wrong with it you have a right to dispute it in a professional matter. Now if you know that you didn't pay that phone bill or behind on your auto loan... well.. you know what you gotta do. also you can consolidate all your debt into one payment.

[40th GT]

Thanks man. I tried to get a cell phone plan under my own name but couldn't because I have no credit. (failsauce)
And I was denied all the times that I've applied for credit cards, gas cards, and department store cards. I'm going to chill out for a while so I don't accrue too many inquiries, and then take out a small student loan.

[HatchHero]

no problem. if your having trouble getting a CC than try the secured cc from a credit union.

[JennB]

1. Check you credit report. see what the hell you got on there. you get a free one every year

GA residents are lucky. We actually get two more free in addition to the one per agency required by federal law. There is no excuse not to check it in GA since we get so many for free.

[HatchHero]

GA residents are lucky. We actually get two more free in addition to the one per agency required by federal law. There is no excuse not to check it in GA since we get so many for free.

didnt know that. thanks for the input

[BanginJimmy]

11. Lenders want to see to can handle credit. if you have no credit your about as worse as having banged up credit. get low balance CC

This is not correct. You can go through life just fine with no credit at all. Yes, you usually have to pay security deposits for things like cell phones and utilities, but thats really no big deal if you have no debt and you can afford whatever service you are planning to use.

[punkr6]

This is not correct. You can go through life just fine with no credit at all. Yes, you usually have to pay security deposits for things like cell phones and utilities, but thats really no big deal if you have no debt and you can afford whatever service you are planning to use.

THIS....

[umairejaz]

^If its there why not use it. There are many advantages to having strong credit.

[punkr6]

I don't use credit for anything, I pay cash and I have no payments. I even use a pre paid phone, and that saves me hundreds a year, Credit gets a lot of people in trouble....

[punkr6]

^If its there why not use it. There are many advantages to having strong credit.

you don't need to get in debt to have good credit, ever heard of Dave Ramsey ?

[umairejaz]

^I also do the same, but I also have great credit. I keep a tab on my income vs spending.

[HatchHero]

This is not correct. You can go through life just fine with no credit at all. Yes, you usually have to pay security deposits for things like cell phones and utilities, but thats really no big deal if you have no debt and you can afford whatever service you are planning to use.

yeah if you pay cash for everything. i dont know many people that can pay cash for a house, car, college, you must have millions. Most people dont have this kind of money so if you have strong credibility and lenders will lend you money...why not?

[punkr6]

yeah if you pay cash for everything. i dont know many people that can pay cash for a house, car, college, you must have millions. Most people dont have this kind of money so if you have strong credibility and lenders will lend you money...why not?

if you don't have any debt, and a good bit in the bank, you can get a house loan without all this ( bad credit ) you speak of....

[HatchHero]

This is not correct. You can go through life just fine with no credit at all. Yes, you usually have to pay security deposits for things like cell phones and utilities, but thats really no big deal if you have no debt and you can afford whatever service you are planning to use.

sorry man u really dont make sense at all. we are talking about revolving accounts here bro not cell phones and utilities. again back then maybe credit wasnt to important but now KEY WORD NOW its a diiferent story homie. sorry i like to got thru life with cars, homes and an education, and all these thing require a loan of some sort unless your bill gates but if im not mistaken he took out loans to lol maybe i dont know

[HatchHero]

if you don't have any debt, and a good bit in the bank, you can get a house loan without all this ( bad credit ) you speak of....

i dont understand what your saying? If you have no debt and keeping up with all your payments, have revolving accounts, have 3% down. yeah your credit should be way above 620 so... yes you can get a home loan. go try and see if a lender will give you a home loan with under a 620 fico and you got money in the bank and see what happens you will be jumpin thru hoops to get that loan.And if you do get it let me know because i got two clients that what to buy but cant cuz of credit. Im a mortgage broker i dont care about your money the real question is are you credible enough to pay back what lenders LOAN YOU.

[BanginJimmy]

sorry man u really dont make sense at all. we are talking about revolving accounts here bro not cell phones and utilities. again back then maybe credit wasnt to important but now KEY WORD NOW its a diiferent story homie. sorry i like to got thru life with cars, homes and an education, and all these thing require a loan of some sort unless your bill gates but if im not mistaken he took out loans to lol maybe i dont know

Most banks will give you a home mortgage if you dont have any credit history. It simply requires them to do the underwriting with more than a credit report. Expect it to take 6+ months to get approved right now also because banks are wary. To do this, you will need a solid source of validated income, a good down payment (25%+), and solid history with your bank of choice.

[HatchHero]

Most banks will give you a home mortgage if you dont have any credit history. It simply requires them to do the underwriting with more than a credit report. Expect it to take 6+ months to get approved right now also because banks are wary. To do this, you will need a solid source of validated income, a good down payment (25%+), and solid history with your bank of choice.

i agree with you buddy but 6 mo???? 25% down???? who has that unless you sold a home or won the lotto thats alot of GD money

[Vteckidd]

I don't use credit for anything, I pay cash and I have no payments. I even use a pre paid phone, and that saves me hundreds a year, Credit gets a lot of people in trouble....

You should use "others peoples money" in the right situations if you are responsible.

Why spend $2000 on a tv when you can spend $2280 over 2 years (assuming 7% interest). Why tie your liquidity up in one shot.

Credit is perfectly fine you just have to know how to use it which most people don't(including me at 18)

[Vteckidd]

I would rather have credit it makes loans easier sorry you guys stop listenig to Dave Ramsey and Clark Howard lol

credit isn't bad it's misused.

Live within your means and don't pay more than 10% interest apr

[HatchHero]

THANK YOU MIKE!!!!!!:i never even heard of dave ramsey. i guess there is a reason for that. this session in now over! cred and rep is all you got in this world guys take advantage of it!!

[SmackedInATL]

^^^^Spoken like someone who will be broke all their life. Ask anyone who is wealthy, whats the easiest way to build wealth?

"Get out of debt and stay out of debt." Its really quite simple.

[HatchHero]

^^^^Spoken like someone who will be broke all their life. Ask anyone who is wealthy, whats the easiest way to build wealth?

"Get out of debt and stay out of debt." Its really quite simple.

HMM WRONG BUDDY. I HAVE THREE CARS AND I BIKE A BIG ASS HOME IN SUWANEE AN EDUCATION AND THE ONLY THING I OWE ON IS THE HOME. SORRY PAL BUT THE MAJORITY OF THE WORLD DOESNT HAVE MILLIONS LIKE YOU BUT I DOUBT YOUR WEALTHY. most wealthy people in world most likely invested money loaned to them unless your fucking rich pal. Im sorry man im not trying to be arrogent but you talking to me like Im stupid. Do some research. GET out of debt and stay out of debt doesnt make you wealthy. if that was true id be rich. plz do some research before saying stuff like that becuse it doesnt make sense. im not talking about being wealthy. im talking about being credible not wealthy big difference buddie

[punkr6]

You should use "others peoples money" in the right situations if you are responsible.

Why spend $2000 on a tv when you can spend $2280 over 2 years (assuming 7% interest). Why tie your liquidity up in one shot.

Credit is perfectly fine you just have to know how to use it which most people don't(including me at 18)

lol, so you wanna throw away $280 bucks and have a payment every month for two years, for a fucking tv no less. Go ahead and do that, I'll pay cash for mine. No payments and more money for me.

[40th GT]

This is not correct. You can go through life just fine with no credit at all. Yes, you usually have to pay security deposits for things like cell phones and utilities, but thats really no big deal if you have no debt and you can afford whatever service you are planning to use.

As for the cell phones, are you talking about prepaid plans? Because how do you explain the fact that I couldn't get a plan because of my lack of credit?
I even offered to put down a deposit but they still denied me.

I guess it does depend on the carrier though. I tried to get a t-mobile plan, if that matters.

[punkr6]

Are you talking about prepaid plans? Because how do you explain the fact that I couldn't get a plan because of my lack of credit?

I guess it does depend on the carrier though. I tried to get a t-mobile plan, if that matters.

did they offer you a plan with a deposit ? do you have bad credit ?

[40th GT]

did they offer you a plan with a deposit ? do you have bad credit ?

Nope, wouldn't even take a deposit.
And I have no credit.

[punkr6]

Nope, wouldn't even take a deposit.
And I have no credit.

somethings up then, they should have gave you a plan with a deposit...

[Vteckidd]

lol, so you wanna throw away $280 bucks and have a payment every month for two years, for a fucking tv no less. Go ahead and do that, I'll pay cash for mine. No payments and more money for me.

It's a general statement. But yes what happens when a opportunity arrises I'm those 2 years to invest I'm something and you don't have the money cause you bought your tv?

By buying in cash you save $280 over 2 years or $11 a month. I'd rather pay an extra $11 a month, build credit, and keep my cash to me to spend on somethig worthwhile

this is common sense. You use opm "other peoples money" as long as the interest rate is low.

I bought my citizen watch from belk 6 months ago. It was $700, but if I opened a credit account with them I would get 55% off. So I did it. I was approved and got my watch for a little over $350 with tax. First bill for the credit card I noticed the interest rate was 27%. if I paid the minimum payment I think the watch would have cost me a little over $1000. That was retarded so I paid it off right then. Most people would just pay the $12 minimum balance and that's wrong.

This movement about staying completely out of debt and convincing people credit is bad is retarded and wrong. Just be smart enough to know how to use it.

[punkr6]

It's a general statement. But yes what happens when a opportunity arrises I'm those 2 years to invest I'm something and you don't have the money cause you bought your tv?

By buying in cash you save $280 over 2 years or $11 a month. I'd rather pay an extra $11 a month, build credit, and keep my cash to me to spend on somethig worthwhile

this is common sense. You use opm "other peoples money" as long as the interest rate is low.

I bought my citizen watch from belk 6 months ago. It was $700, but if I opened a credit account with them I would get 55% off. So I did it. I was approved and got my watch for a little over $350 with tax. First bill for the credit card I noticed the interest rate was 27%. if I paid the minimum payment I think the watch would have cost me a little over $1000. That was retarded so I paid it off right then. Most people would just pay the $12 minimum balance and that's wrong.

This movement about staying completely out of debt and convincing people credit is bad is retarded and wrong. Just be smart enough to know how to use it.

the only thing anyone should finance is a house and no more then 15 years, I have nothing against a good credit score and yes you can save some money on some things when you open a new account ect. but thats just a hook to get you on a credit plan that most people never pay off.

I haven't financed anything seince 2000 and its been the best move of my life, There is nothing worse then being in debt, and having payments every month.

[Vteckidd]

Then you didn't use it right sorry man not being a dick but you obviously don't have the discipline or money to stay ahead.

I never charge anything I couldn't pay cash for anyway. What I usually do is set aside that money until the cc is paid off. I never pay a minimum balance I always pay $200-300 at the minimum sometimes more depending on the balance.

15 years with no interest on a $250000 home mortgage alone is $1400 that's before taxes insurance home owners association fees utilities etc. That's with 0 down. I don't know many people getting 15 year mortgages with 0 down and can afford that sorry.

I disagree with you and almost any successful business person will too. Use opm whenever possible as long as it's a reasonable interest rate and you don't live outside you means.

Don't be $40000 in debt if you make $60000 a year.

[Vteckidd]

^^^^Spoken like someone who will be broke all their life. Ask anyone who is wealthy, whats the easiest way to build wealth?

"Get out of debt and stay out of debt." Its really quite simple.

That's distorted. They are talkng to most middle income families living way beyond their means. When your debt to income ratio is 2:1 of course getting out of debt is what you want it frees up more money.

But ask any successful business person they will tell you that using credit wisely is the way to go.

Problem is %90 of America doesn't know how to use it

[punkr6]

Then you didn't use it right sorry man not being a dick but you obviously don't have the discipline or money to stay ahead.

I never charge anything I couldn't pay cash for anyway. What I usually do is set aside that money until the cc is paid off. I never pay a minimum balance I always pay $200-300 at the minimum sometimes more depending on the balance.

15 years with no interest on a $250000 home mortgage alone is $1400 that's before taxes insurance home owners association fees utilities etc. That's with 0 down. I don't know many people getting 15 year mortgages with 0 down and can afford that sorry.

I disagree with you and almost any successful business person will too. Use opm whenever possible as long as it's a reasonable interest rate and you don't live outside you means.

Don't be $40000 in debt if you make $60000 a year.

so your saying because i pay cash for everything, I didn't use it right..lol that makes no sense. I pay cash because I don't want payments and I have enough discipline to save before hand.

If you can't afford a 15 year home loan, you bought to much house...

[HatchHero]

somethings up then, they should have gave you a plan with a deposit...

yeah something up he has no credit

[punkr6]

yeah something up he has no credit

even with no credit, as long as it's not bad credit, he should have been given the choice of a deposit. hell I have friends with terrible credit and they just had to put a deposit down...

[Vteckidd]

No I'm saying if you couldn't afford to make the necessary payments and it was such a burden that now you pay cash youused it wrong.

I charge $15000-20000 on my business credit card for product which has a 5% apr.

If I paid cash I would tie up my liquidity and have to live off credit all for what ? $750? ($15000*1.05). That if I take a year to pay it off. I usually pay it off in 2-3 months.

But the difference is now I have a record and get extended lines of credit , paying cash for everything good luck with financing.

I guess you guys think if you have enough cash you can get financing with a big enough down payment. That's just dumb IMO. The median family income is $55000 a year. After mortgage, car payment, insurance, groceries , utilities, etc there isn't much left over. So you can forget a $20000-30000 down payment on a house or $10000-15000 down on a car etc.

Not going to happen.

Instead if they live smartly on a budget and don't go crazy they can pay a little interest and finance what they want and have extra money to put into other assets.

This notion of never using credit is wrong. Sorry fellas

[Vteckidd]

Also banks make money off interest. If you stop paying interest and everyone pays cash kiss banks goodbye or say hello to even higher interest rates

[HatchHero]

. people go 30yr to get the payment low as possible. its obvious you dont play with the home ownership market. i have a 30yr home loan bought the house 2 yrs ago 198000 i now owe 189000 but my house is worth 209000. THATS 20000 equity ive built in 2 yrs. SUWANEE IS GOOD AREA. PROPERTY TAX IS HIGH BUT ITS SAFE AND SCHOOLS THERE IS AWESOME. IF A PLAN TO SELL THE HOME WITHIN THE NEXT 5YRS where do you think all that equity goes??? sooo...

[HatchHero]

I guess these people are millionaires mike

[punkr6]

No I'm saying if you couldn't afford to make the necessary payments and it was such a burden that now you pay cash youused it wrong.

I charge $15000-20000 on my business credit card for product which has a 5% apr.

If I paid cash I would tie up my liquidity and have to live off credit all for what ? $750? ($15000*1.05). That if I take a year to pay it off. I usually pay it off in 2-3 months.

But the difference is now I have a record and get extended lines of credit , paying cash for everything good luck with financing.

I guess you guys think if you have enough cash you can get financing with a big enough down payment. That's just dumb IMO. The median family income is $55000 a year. After mortgage, car payment, insurance, groceries , utilities, etc there isn't much left over. So you can forget a $20000-30000 down payment on a house or $10000-15000 down on a car etc.

Not going to happen.

Instead if they live smartly on a budget and don't go crazy they can pay a little interest and finance what they want and have extra money to put into other assets.

This notion of never using credit is wrong. Sorry fellas

were obviously not going to agree, and I don't wanna get into a pissing match with anyone, so I'm gonna leave on this note.....Good Day and God Bless...

[HatchHero]

Im obliviously trying to help people on this site build themselves so they wont struggle in life and get the things they want. IM trying to steer these people in the right direction so they can get loans stimulate the economy and get us out of this recession. do you understand? IT starts with gettin loans and paying them back. SMACKEDINATL has no right talking sh!t like that. i almost positive he is not living the high life. maybe on drugs but the american dream. simply retarded