Because I applied for the Bank of America student credit card but was denied. I don’t understand because isn’t the whole purpose to build up a credit? I just want to get one to pay for small stuff and build my credit.
I know one reason credit card applications are rejected is because your income is too low. There could be other reasons…
I went to my bank yesterday and the lady mentioned that most banks don’t let someone without a credit previously get a credit card in most cases, my bank however does. She offered me a card to help me build up my credit but I declined. Going from what she said, most banks don’t give people with no credit a credit card.
Did you apply online? If so call them up or go into a branch and talk to someone. You’re more likely to get one that way.
My daughter was able to get one (upon showing a paycheck) at our credit union. I don’t know if this is specific to our credit union or to credit unions (vs a bank) in general. The other thing you could try is getting a secured credit card (but research to find the best one and make sure they actually report to the credit bureaus).
@ClaremontMom My bank in fact was a credit union. I guess the woman’s implication is that most bigger banks don’t give credit cards.
I’m confused. Your post said Bank of America, nothing about a credit union.
I’m not the OP, I just said my bank allowed me to get a credit card, so what happened to your daughter corroborates my experience at my bank which happens to be a credit union.
Oh sorry! I assumed you were the OP! I didn’t look at the name. Now that makes sense…So, it looks like a credit union may be the way to go!
The local bank, a block from my kids high school, had a “graduation packet” available for the month of June only, for those students entering a 4 year university (and who were 18 yrs of age). They opened a combination checking, savings and credit card (0%) for the first year of the graduating student, if the student maintained a consistent $500 checking balance throughout the year. (We had her deposit $1000, and pretended that she only had $500 in the account) She didn’t touch the “extra” $500 for the year). She eventually transitioned to a better card after the rate changed.
A lot of kids took them up on this offer and the parents did not have to cosign. That’s how my eldest got her card. This was really popular but they discontinued it this year when the bank changed hands.
Now, Discover cards has a student account, but it requires parent cosigning and it has a limited allowance for purchases-which is good. We have to go this route because our kid needs to rent an off-campus apartment and he doesn’t have any credit yet.
Hmm I guess I’ll just wait until I’m 21 or have a stable job. I just wanted it to pay for small stuff and build my credit score at the same time, not much credit line needed.
I was able to get the U.S. Bank Student credit card with no cosigner. It has a $300 limit and a ridiculously high interest rate; I just put Netflix and my groceries on it and pay the balance in full every month.
I would say either try to get a parent to co-sign, or try this card:
https://www.openskycc.com/default.aspx
It does have a $29 annual fee, but after a year of using it, you can probably switch to a better card since you will have a credit history. It has no credit check.
$29 is certainly worth building a credit history, as long as you don’t come close to the maximum balance, and pay it off every month.
Mine has a saving account with BankofAmerica for a long time and she was approved of a credit card with no credit history. She only had held the part time job for 3 months max.
I got my first credit card at Bank of America. I didn’t get the student one, though. The bank lady told me to apply for the pre-paid one. You place a $300 “deposit” as security. Then you pay an annual $39 fee. Your spending limit will be $300 though, but I think you can get higher limits, but she hooked me up with the lowest one because I just wanted it to build credit, not to spend or anything. After a year, if you’ve paid everything on time and don’t have any outstanding balance, you get your deposit back. After that, I think you can try to get rid of the annual fee…it depends on how you used the card. If you were a bad borrower you’ll most likely keep the fee til you try again. This card reports to all the credit bureaus so you do get the credit score bump. You can upgrade it a year later if you’d like, as well.
If you don’t work, just say you have an online business or something (if you’re applying online). They just want to see you have some sort of income. If you apply in person, the bank person can help you out with this, just tell them you don’t work. They’ll help you out. Applying in person is better.
Apply for the student ones like Discover, Capitol One, etc. They have very low limits, but you have to start somewhere. It’s important to establish good credit history ASAP. Make purchases with your card, ALWAYS pay the balance and after a year or so apply for the “Big League” cards.
Our experience with BofA was that each girl got a checking account while in HS and also had savings there. The first year they had a paycheck job they applied for credit card and got one. With checking plus only about $900 in income - didn’t have to be full time big income. Each had card by time started college. May have help that they had checking and savings there.
In others words you don’t need “stable” job just some income. If you don’t have some source of income how are you going to pay credit card bill?
Our kids both were authorized users on CCs with me when they started college. They had no problems when they applied for CCs in their own names, even tho D didn’t even have a job she received a CC. S’s credit history is older than he is, because he got his by being linked to me on the CC. I believe D’s history is older than she is as well.
I had to take out a shared secure loan to get a credit score so that I could apply for a credit card. Since my parents weren’t cosigning, my credit union refused to give a girl with unscored credit some plastic. I think I could have easily gotten a debit card, though.
Not long after starting college, I began receiving tons of pre-approved credit card offers in the mail. They would readily give students a low-limit card because what little credit they had was good and limits were increased after graduation. Of course, this was back in the 90s before the financial crisis, so banks may not be so willing to do that now.