Credit Card with No Credit

Getting a credit card with no credit can sometimes be tricky. It seems that lenders sometimes prefer people with bad credit than those with no credit at all! Building good credit early in life is important, so getting a credit card even if you don't have particular needs is a good idea so you can start building responsible pay history. The best way to get a credit card with no credit is to select a secured credit card.

Virtually anyone can be approved for a secured credit card. These cards have the same convenience as any other card—they can be used anywhere, from online stores to booking a hotel room. A secured credit card is really more like a debit card. You use your own money as security on the card—the amount of money you secure becomes your credit limit. Most credit companies have a minimum they require you to deposit. Of course, you do get charged interest and other fees for having the card. But, for someone with poor or little credit, getting a credit card with no credit is a unique opportunity to establish some positive pay history. By paying responsibly on the card for a few months, you will then be eligible for an unsecured credit card.

If you don't wish to get a secured card and still want a credit card with no credit, there are a few other options. Students can often become approved for various student credit card deals. And some companies do offer unsecured or partially secured credit cards as well.