Many people believe that the banks will turn their request down due to their lack of credit history, which is possible for small businesses and new start-ups. But one can get a credit card if he has a steady source of income. Most people stumble into the same kind of conundrum when it comes to using and managing their credit card. Most banks question for former credit history or some kind of guarantee so that it could be proved that the applicants business will be a excellent payer. But most of the time people lack this. It is right that building a credit card history is not simple but it’s possible.
Banks are hesitant to issue a credit card to users who are unable to show their credit history. This may involve young people and those who are applying for a credit card for the first time. They will always face this conundrum. If your business has a excellent credit history and you don’t, or even vice versa, then consider applying through the most reliable source.
This conundrum has many solutions. Some banks routinely offer visa and master cards to first time applicants. It’s right that at first you will not have a credit history, but you may have to make a credit history some where down the line. Making mortgage payments, either through your business or otherwise, is a excellent suggestion that you intend to pay on time every time.
What if the applicant doesn’t have a credit history at all? Then he has some additional alternatives. Go and buy a shopping card from your departmental store or a gas station. They offer store and gas station specific cards, and they will most likely give you their card. Use that card wisely and mange and properly to build your credit history. Buy a upset from the store and then pay it off on time when the statement arrives. You may do this for several months and then re-apply for a visa or a master card. The bank will then have a proof of your steady income and this credit history as basis upon which they will influence whether or not to assign a card to the applicant.
Another way of establishing a credit is to get your self a debit card. Debit cards work like credit cards but they are issued when a bank account holder applies for it. They are issued easily. They are reliable in the significance that the user can not exceed the amount he has in his bank account. This is a excellent option for those who are having problems in establishing their credit history and getting a credit card for the first time.
Remember that it is exceptionally vital that you pay off in time if you are using gas station or departmental store’s card because that will be the credit history you will show to the bank. As long as you pay on time and do not carry a large balance from month to month, you have got yourself in the list of likely candidates for a credit card.
Devin Gilliland
http://www.articlesbase.com/credit-articles/getting-your-first-business-credit-card-110323.html
My first credit card – What cards are the best?
What bank should I get my credit card from? What if you have no credit history yet? (I will hopefully be able to get a credit history…)
What should I look for? I’ve heard you can negotiate your APR rate.
Also, one part of me just wants a credit card for small buys and to build enough credit history for a future home and so into the world…but the additional half of me is hoping to start a business and may need a card for b igger buy (but not too huge)
I am unsure…I may only need it for small buys. I don’t see myself spending too much money (Im only in institution right now), but I certainly want to get off on the RIGHT FOOT.
Any advice or suggestions? Mistakes you’ve made that you would advise me to avoid? Any information or suggestions would be a huge help. Thanks!!
APR won’t matter much if your regulate is low.
I know people say this all the time, but I’ll try to say it with a small bit of a twist to it: be careful with the card.
For even those who are intent on being responsible, the action of swiping the card is so simple, and expenses pile up quick.
If you make sure you have a low regulate, you won’t be able to place too much on the card, by accident, intentionally, or otherwise. I got a card with a $10,500 regulate, not intending to use it all, but just in case, and lemme tell you it all went by quick. At first you get shocked and reckon there is a mistake, but then you check your statement and sure enough, you can recall each expense. You then break out the calculator because a upset doesn’t seem right, and sure enough, you confirm that the numbers are accurate. Keep in mind that taxes also raises the price of equipment sweet high.
When I had no credit, I applied for a credit card from stores, and they all rejected me. I finally got a co-signed Learn card with a $1000 regulate. Did well with that! I nearly maxed it. Got to about $900, and then paid it all off and closed the account. That made my credit score go sky-high, but now I’m nearly $17,000 in debt, credit only. My score is sweet low, but I make all payments on time at smallest amount.
It’s simple to spend it all and just reckon, "I’ll pay it off eventually," but when you get so far in debt that you will never pay it off overnight, it’s a burden constantly on your mind. Don’t let it happen! I haven’t met one person who hasn’t gone through this.
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My advise would be not to get one. They are very tempting to use even when you reckon you will not. Then in a small time you can be over your head and paying back more money than its worth. You can very simpler mess your credit up this way. It takes sooo long to fix it back to. You will need excellent credit for more vital equipment later down the road, like a car, house etc.
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Done this!
My best advice is to not go there, especially if you’re a institution student.
Are you working or have some sort of income to make regular payments?
And if that’s the case, why not just pay for what you need with money you really have in the bank or on your person.
Many, many credit card companies lure institution students in with promises of a low APR or some sort of kickback, just to get the business of young people just starting out, with fresh credit, so to speak.
If you absolutely must, be certain to read ALL of the teeny tiny print before you sign ANYTHING. Sometimes they will promise a low APR, but it turns out to be only a low APR for the first few months or so. Sometimes they sneak in an annual fee, just for the privilege of having a credit card.
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Been there, done that. Finished up in $15K debt, and in bankruptcy court as well. NOT FUN.
I would suggest that you consider the American Express Card. It has a number of excellent features for establishing credit. The first is that you must pay the bill in full every month. This gives you a strong repayment history. Next, if you pay the bill every month as required, there are no interest charges to pay. Next is athat the card does not have any strict limits imposed. If you start a business and need to buy a ‘huge ricket item’ you can do that also. And finally, knowing that you have to pay the bill every month makes you less likely to overcharge and over extend your ability to repay.
Clearly, not everyone will agree with me, but those are the reasons why I offer this suggestion. It will help you develop excellent money management practices and also build an brilliant credit history and rating. Excellent luck.
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best card is none. despite what tv and society says you do NOT need a credit card to survive on planet earth.
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http://www.daveramsey.com/the_truth_about/credit_card_debt_3478.html.cfm
you might want to go here to equate them http://www.bestcreditrates.net
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Don’t get caught up with high fees.
Many places try to entice you with points or air miles which will do you know excellent if you hardly use your card.
Look for one with "no frills" or gimmicks.
I got one here at this site, many to pick from!
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http://www.thecreditcardtorebuildcredit.com
I recommend applying for a student credit card. They are just like regular credit cards except they are marketed for institution students. The apr will be a bit high because you dont have any credit. I recommend you pay your balance in full then you don’t have to worry about the apr. Pay your bills on time and you will build excellent credit. I recommend the Chase student flexible rewards card.
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http://www.ccvault.com/credit_cards/student.php
Hub one they are really excellent i have them and they will start you off with a $300 credit limited and if you pay on time every month they will increase your credit regulate excellent luck
just a suggestion,
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If you have a bank account I would start there.. if not set one up depending on where you are as to which bank is the best .. or just set up a savings account and then apply for their credit card.. kr
Excellent Luck!
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