How to Get Approved for Credit Cards for No Credit History

If you have limited or no credit history, you are not alone. In fact, one in every four adults has either nonexistent credit history or does not have enough credit activity to generate a credit score. This reality is from FICO itself, the very organization that manages and compiles credit scores. The problem is that you cannot have credit unless you start building credit. It is a catch-22 situation where you can never win. Well, almost.

Many banks and creditors have noticed the huge increase in the number of people who are new to the credit world. This is why they have developed and introduced credit cards for no credit history. Whether you have no credit or you have a “thin file,” you may just be approved for your first credit card.

Why Build Credit

Without credit, it is nearly impossible for you to acquire a loan. You need a good score to qualify for the best credit cards, to have a checking account, rent an apartment, or even to get a job. If you do not have credit yet, this does not necessarily mean that you have bad credit. You are simply a newbie and, thus, many card issuers may likely turn your application down.

The good news is that there are now a number of companies that are willing to give you a chance. You can apply for a card that is especially designed for individuals like you who do not have credit history.

How to Get a Card for No History

Here are some of the things that you can do to get approved for your first credit card:

1. Check your score. It is imperative that you know your score. You may already have credit, but are just not aware of it. Contrary to popular belief, credit is not obtained by simply getting and using a card. There are other ways that allow you to build your history, such as paying for your utility bills, other revolving accounts, and installment loans. You may have already obtained federal student loans, which do not need credit checks. 
2. Look for the right company. Not all card issuers include people without credit as their target consumers. It is important that you seek a business that is eager to dole out cards for the young adult or for adults who may not have been active on their credit activities.
3. Pick the best card for your situation. Do not be afraid to choose from your available options. While there may be limited choices for you, you can always find a card that fits your credit record.
4. Apply for the card. Once you know that you meet the requirements and that there will not be an investigation of your credit background, it is time to fill out the card’s application form. Make sure that you have pertinent details ready, such as your address, social security number, and your contact details.
5. Secured cards are an option. Getting approved for a secured card is easy as the acceptance rate is very high. It is quite rare for applicants to get rejected if they apply for a secured card. Note that you need to make an initial or security deposit to extend a credit line.

You may find it hard at first to get approved for a creditcard if you have no credit history yet. However, if you exert a little effort and perform a little research, you will find that there are actually a number of these cards designed specifically for people like you. If you only know how to find the right issuer and you already have an idea of what type of card you want to get, you may just find the perfect card that will help you to slowly build your credit.