How Do You Get Your First Credit Card?
Nearly everyone is going to need a credit card at some point because there are so many purchases that are a bit impractical for cash and some cases where you can only pay with plastic. Not only does having a credit card give you a personal unsecured line of credit that can come in very handy; it also is important to building and maintaining a good FICO score, a number that you want to keep near perfect. But one of the tricky parts to getting a credit card is when you’ve either had no credit history or score, or if you’re starting over after personal bankruptcy. There are options on the table for you through any credit card services cypress tx.
Go With A Bank Program For New Credit Card Users
There are a lot of different credit card programs out there offered by banks that many new users can qualify for. The main things you want to check for are fees and APR interest. The APR rates can sometimes be higher for those who haven’t had credit history, and usually you won’t start with a very high credit line. But there are some very competitive rates out there and some that are specifically designed for a certain group such as college students or people coming out of bankruptcy. While the perks for your first credit card may not be as high as they would be with larger limit credit cards, you can still usually find some pretty great deals on them.
Look At A Secured Credit Card
Sometimes when you’ve had some very troubled credit history, you’re a little more limited in your options for credit cards and may need to go with a secured credit card. This kind of credit card does have some startup costs to open because the main idea is to get bad credit back on track, so the lender will want to make sure they’re offsetting any risks they take by offering a line of credit. What you do to open this kind of credit card is pay a deposit and that will usually become your line of credit. These credit cards will usually start low with credit lines, but as you make payments your credit score can go up and your credit line will increase. In some cases you may even have your deposit refunded. Secured credit cards aren’t always your last option, but even if they are different cards have different fees and rates.
Once you’ve received your credit card it’s important to not only pay your balance down but also keep the monthly debt you carry on it fairly low. Budgets can help you track your use and make sure you’re not overpaying and racking up too many fees and high interest rates. Building up your credit score can also help you get approved for other loans such as auto loans, mortgages and even business loans, and if you see any problems with your credit report that you think may deny you from receiving a credit card, you should have them repaired.