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Posted: Thu Feb 02, 2006 11:19 am Subject: Credit Cards with no credit

Where can I get a credit card with no credit?

Posted: Thu Feb 02, 2006 11:35 am Subject:

Your best bet would probably be to get a secured credit card, where you deposit money and the amount you deposit is your credit limit. From what I understand, after a certain period of time (6 months, a year, whatever) the company will give you back the money and you will have an unsecured card if you have been making the payments on time and have not gone over your limit. Many banks offer these cards. You may want to check in to this. I am not an expert, but this is what I would do.

Posted: Thu Feb 02, 2006 1:05 pm Subject:

Yes, you have explained it very well Mary Very Happy

I just want to add few more points here. If you are a student, consider getting one student credit card. Many legitimate credit card companies offer cards for students which does not require a good or long credit history.

If you are a member of any credit union, perhaps you can get a card with less qualifying criteria.

However, you should be aware of bad businesses as well. Scams are everywhere; do not get trapped with lucrative offers. See what FTC is saying:

http://www.ftc.gov/bcp/conline/pubs/credit/secured.htm

It's always advisable to do some research before you have the deal.

Posted: Thu Feb 02, 2006 3:28 pm Subject:

Just be VERY sure to read the fine print of anything that you plan on applying for...there are quite a few cards out there. You may get "pre-qualified" letters for a card, but they might only give you a $300 limit, and by the time they tack on a setup fee, an account access fee, an activation fee, and any other fees they might feel like making up for the day, you will only have a few dollars to spend on the credit card that you just got, and you will be even more in debt. Be very careful!

~Mary

Posted: Thu Feb 02, 2006 3:42 pm Subject:

Posted: Thu Feb 02, 2006 3:47 pm Subject:

Shirley,

You are the BEST person to teach your daughter the value of credit and keeping up on things! She needs somebody who knows that it can get bad...I wish I would have had somebody who could have helped me understand both sides of credit, not just the fun, whip out the card attitude, but the benefits of managing your finances appropriately! I plan on teaching my kids the value of taking care of their credit, early!

~Mary

Posted: Thu Feb 02, 2006 4:00 pm Subject:

Student credit card debt is perhaps the most important issue with debt in our country. Young generation likes it like anything. But often fails to manage it efficiently. So when a student graduates, found him to be in huge debt.

There should be practical classes in schools on credit card usage. This is important, I must say. Otherwise how the kids will understand what are the aftermaths of using plastic money without proper planning? The responsibility goes to parents as well and I feel so happy to see that you are already doing this Shirley. Best of luck Very Happy