While you may think credit is something you never need, it’s a fact that things such as homes, cars, and larger purchases do require credit at some point. To help you with building your credit, you can apply for a credit card. What if this is your first credit card ever? There are a few things you should know about how to get your first credit card and what to watch for when you have it in your wallet.
What You’ll Need
For any application you’re going to need your basic information, social security number, and income amounts. You’re also going to have a credit check run on your information to make sure what your credit score is or if you have any in the first place. Once you have the application filled out, it will be run and you’ll have your answer. There are a few different places you can try for getting your first credit card.
Talk to Your Local Bank
If you have a bank account then this should be your first stop. If you have a relationship with them with other accounts, they can sometimes approve a small balance credit card to get your credit building started. If not, they may have some student cards for those young adults who are on their way to college and need to build credit.
Consider a Co-signer
At some point you may feel that there is no way to get a credit card but you do have options. When you do not have sufficient credit on your own, you can consider a co-signer to sign with you to get the card. This means that that person is using their credit to help you build yours. The card is in your name and helps increase your credit, but they are also responsible if you do not pay.
If the other two ways of getting your first credit card are not appealing or not possible, then consider trying for a secured credit card. With your current employment, you can usually get a secured card that you put money on and it is reported as a credit card. This helps you get the credit you need without running up a ton of debt.
Things To Be Cautious Of
When you do receive your first credit card, be sure you only spend in a month what you can pay off each month. If you spend more than you can pay, that is when you can get into trouble. If you do not use the card at all, it doesn’t really help you build any credit. The best bet is to only spend what you’re comfortable with paying back.