Top 5 Explained

1 – Obviously, to build your credit you must have credit. The best way to build your credit is by making your payments on time. Whether it is a credit card, a loan or a credit through a store you must make your monthly payments when they are due. Early is better. This will help you raise your credit score and when that happens companies will offer you better deals.

2 – The best company out there right now for you as a college student is Discover if you are trying to get a credit card. They have multiple options that you can consider. You may need to get a secured card either with them or with your bank. This is a good way to start building your credit if you don’t have any. Again, a secured card is explained in our FAQ section.

3 – As you are building your credit there are 2 major pitfalls to avoid. The first is not to get caught up in the credit trap. You will have to make the payment when the bill is due so don’t put more on your card than you can afford to pay each month. The company may raise your limit after a few months of good payment history. This does not mean you have to use it. The second pitfall to avoid is multiple credit cards. Once you have built your credit and have a good payment history other companies will want your business. You will begin receiving offers in the mail and online for cards. Do not get them just because you can. Part of keeping good credit is knowing how to manage it and not charging more than you can afford to pay.

4 – Refer to our FAQ page for answers to your questions. You need to know the interest rate before you apply. You need to know if the rate will go up after an intro period. You also want to make sure there are no hidden fees like an annual fee just for having the card.

5 – After getting the answers from #4 above you are ready to apply. This is the easy part. The company will walk you thru the application process and in many cases can give you an answer in 24 hours or less.

Best of luck in building your credit. Build it now and build it smart. It will be your best friend later in life.