<p>if so, how much should i use it? i'm not much of a spender...</p>
<p>bump …</p>
<p>No…getting a credit card will not help you get a loan. In fact it could adversely affect you as you will have access to a line of credit you could use. The way to get a private loan is to have the collaterol to get one in your own name…or find someone to co-sign the loan with you.</p>
<p>collateral? like what? a car?</p>
<p>hmm…</p>
<p>No a car would not be sufficient collaterol. Collaterol is sufficient income (a continuing job that would guarantee that you would be able to make the payments…with a job history of more than a couple of months) or assets (think house, land, valuable collectables, etc) that if you are not able to repay the loan, the bank knows you either have something you can sell to repay the loan OR they can attach it and own it so they can cover your loan default.</p>
<p>A car is actually a liability…unless it’s something like a collection of antique Bentleys…but then…if you had that you probably wouldn’t be seeking a loan.</p>
<p>To students…it is NOT easy getting a private loan in your name only. It just isn’t. You usually do not have sufficient continuing income, or sufficient assets to secure a loan in YOUR name only. If you fill out the FAFSA, you will be eligible for Stafford loans in YOUR name only, but these typically do not cover the full cost of attendance at a four year residential college.</p>
<p>Especially in this economy, banks are being very careful about who they lend money too…and how much…and for what purpose. They cannot afford to take over defaulted loans.</p>
<p>thumper1: You actually touched on what I am reading through threads for. Do you know how getting a private loan would work if your parents have aweful credit? I am still trying to build mine, so I know I couldn’t get a loan by myself. And do loans vary based off your major?</p>
<p>So, would getting a credit card with a low limit allow a student to begin to build his/her credit score?</p>
<p>^that’s what i was getting on</p>