<p>How does a college student with no previous credit gets a credit card? I'd like my daughter to get one to build her own credit history and use it with moderation. Could someone advice us how to get one? TIA</p>
<p>What my DD did was talk to a couple of Bank reps in our town. She determined which had the best rates, opened a checking account and applied for their student credit card. It initially had a small limit, but has increased over the years. FYI-She selected Bank of America.</p>
<p>Capital One gave me a card. I basically had to tell them how much income I made. I got rejected from one or two other companies before them. It may be a bit harder to get approved now with the economy though.</p>
<p>The new credit laws going in to effect in February will require a co-signer on all credit cards issued to those under 21. If you want a credit card for your college student that does not have you as a co-signer, you need to act now. The intention of the legislation is to curb predatory lending behavior but the effect will be that a young adult will not learn how to manage their own credit until they are out of college.</p>
<p>Apol and soad, thanks for the suggestions. My DD has been rejected by two different crredit card companies since she does not have credit history. Soad, it’s true. It will be harder now days…</p>
<p>My 21 year old has the BofA…Fast forward three years and DD couldn’t get one…she has BofA checking but they declined for credit card. I don’t even know if they would do it with a cosigner. So far she has been fine with just a debit card.</p>
<p>even though it wouldnt be their “own” credit card, can you still get additional cards for family members on a parents card? am ex always had that ability . Son has a debit card currently but i have wondered if he should have a credit card for emergencies. ( i understand that would not build a credit history for him)</p>
<p>Yes, parent56, you can do that. We got an additional card in our D’s name to use when traveling. I was hoping for her to open a credit card account in her own name next fall when she goes to college (for emergencies and to build credit history) but it sounds like that might be more difficult than in the past.</p>
<p>With D#1 we went with BofA, which four year ago had a program for college students. With D#2 we went with our local bank. We signed a guarantee for that one, but it was in my D’s name. Nowadays, who knows? Perhaps we’re back to “the bad old days” when teens signed up for gas and department store cards in order to build credit. (And yeah, I’m sure Mom and Dad did a good proportion of the charging on those cards.)</p>
<p>thanks 2 girls… i may get that set up fairly soon . his current bank account and debit card are at a local bank (to him but not to us as he goes to a school 6 hours away) not a national, may see what the feasibility is of a credit card through them, but also if he goes oos or even instate where that bank has no branches, that may create a problem for depositing money etc</p>
<p>well after that post i decided to call our local bank (again small not national) and asked them if he can get a credit card… they said yes he can even though 17 , i would have to guarantee it, but it would start a credit history for him (they would report in both names)</p>
<p>Any access to USAA? I choose their card a few days ago once it was confirmed I had membership. I chose their USAA Total Rewards Platinum Mastercard -their only card for college students. I’m a college sophomore with no credit history.</p>
<p>I am one of those who do not beleive the necessity of anyone needing a credit card until there is income. D1 got a credit card from Macy’s all on her own when she was 19 because they gave her an extra 10% discount for getting a card. When I saw the card I told her to cancel it. Clearly, it is not that hard to get a credit card or build one’s credit. Another point is why would they need credit when they graduate from college? Rent an apartment? Buy a car? Utilities? With a guaranteed employment letter in hand, it shouldn’t be a problem to do any of those things. If so, I would be happy to co-sign for my kid. I see more kids using their credit card (however little limit they have) to buy electronic toys they don’t have money for. D1 has a credit card tied to her bank account, and a family credit card for emergency (or when I need her to do some shopping for me), and that’s good enough until she has a job.</p>
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<p>D1 got the B of A student banking package 7 years ago, which included a credit card. D2 got the B of A student package this summer before going off as a freshman to college. She was turned down for the credit card, when the agent we talked to seemed to think it was going to be a done deal. </p>
<p>I read the letter again carefully and it turned out that D2 was turned down for the Super Platinum Titanium B of A credit card. I took the letter back into the bank and told the agent that we didn’t apply for the Super Platinum Titanium card, just the measly $600 student card. Turns out that someone had checked the wrong box somewhere.</p>
<p>Maybe you can go in to B of A again, NewHope, and see if a mistake wasn’t made in the application itself by the person who sent in the info.</p>
<p>great comments! i’ll be calling my d’s bank too. Let’s see what they say about the credit card with no previous credit card history. I don’t really want her to use a credit card unless is some kind of emergency. She has a debit card. I think it is important to build a healthy credit history…and, I think that starting next year 2010, minors cannot get a credit card by themselves. They will be able to get a credit card only if a parents co-signs.</p>
<p>My daughter got a student credit card at 18 through Amazon. Started off with a fairly low credit limit of @ $1,000. She has been happy with it. of course that was 3 summers ago before all the melt downs and new rules.</p>
<p>Talking of the new rules - the credit card I use the most (which we have never paid late and pay off monthly) jacked my interest rate up - no doubt in anticipation of the new laws. There was an option to refuse the interest rate and then my card would just be good till the expiry date late in 2010. I would cancel it except it gets me air miles and they have come in really useful for 2 trips to Europe at short notice when my Mum was sick!! (no we don’t put that much of our own expenses on credit but were charging my in laws nursing home until they stopped taking credit cards). Ticks me off on principle even though we don’t ever actually incur any interest.</p>
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<p>D1 found that she qualified for the 4.9% auto loan rate from the car dealer because of her healthy credit score just 18 months out of college (credit union was 6.5%). They told her that if she had had just one more credit line open, she could have qualified for the 1.9% rate.</p>
<p>I think that if you are able to start a credit history early on and learn to use credit wisely with your parents hanging around in the background, it can be useful. I think of it as a learner’s permit.</p>
<p>Our kids got a USAA Mastercard and it has come in extremely handy on a couple of occasions. DD was in a real bind when her car just stopped during a road trip. We were all very thankful she had the credit card to pay for the tow truck and the service required to get her back on the road. Guess it depends on the student’s responsibility level. We consider her credit card as an essential element…as a mom, it offers a certain sense of security for my kids.</p>
<p>What makes any of you think credit cards will be available in the future? It may go the way of the dinosaur. Debit cards will always be around.</p>
<p>^^^^ Interest rate on D#1’s BofA card was recently raised to 36%. Fortunately she knows to pay off the balance each month.</p>
<p>^^ Both of our D’s have relied on their credit cards for medical or travel emergencies. As other posters have pointed out, the cards are really inappropriate for teens with undisciplined financial habits.</p>
<p>^ I don’t know how much longer credit cards will be widely utilized by consumers. Retailers in our area complain bitterly about the bite Visa and MC take from their sales. (AMEX has always taken a hefty bite.) In California we encountered gas stations that refused plastic (of any kind) for payment. … BUT, until payment practices complete the transition from credit cards to ??? I believe it prudent for consumers to retain widely accepted standards for payment. At the moment, the credit card still is one of those standards.</p>