Credit Cards - Student

First time credit cards can be hard to get, especially for students with no income of their own. Here are some strategies which may make it easier:

• Try for a prepaid or secured card. Prepaid credit cards for teenagers are a great way for parents to start off building a child’s credit rating while keeping spending under control by prepaying a limited amount.
• Free student credit cards may be available from the bank where the student or their parent has a bank account.
• A joint card with a parent is a strategy used by some to get teenage credit cards, but the parent needs to trust the child not to overspend. I used this method with my daughter when she was working abroad and needed a high limit in case of emergency, which she couldn’t get on her own credit.

Credit Cards - Prepaid

If your credit is non-existent or damaged enough that you can’t get an unsecured card even with a very low credit limit, then secured or prepaid credit cards may be your path to rebuilding credit. With these cards, you usually make a deposit (e.g. in a savings account with the issuing bank) which will be used to pay off the card if you can’t or don’t do so normally. A good place to get prepaid credit cards is to start with a bank where you already have bank accounts. Alternatively, most of the places which provide unsecured cards for people with bad credit will be even happier to give you a secured card.

Credit Cards - Unsecured - Bad Credit

For most people with bad credit, unsecured credit cards are going to be harder to get than a secured or prepaid credit card, but unsecured cards are still available. Try http://creditfederal.com or http://www.orchardbank.com for a couple of possibilities. You can use these credit cards to rebuild credit which has been damaged in the past, and they also make good credit cards after bankruptcy.

Credit Cards - Cash Back

Credit cards exist with many different kinds of rewards - cash back or travel miles being the most common. To find out whether a credit card with rewards of some kind is best for you, you need to run the numbers. Usually these cards have either an annual fee or a higher interest rate to balance out the rewards, whether cash back, gift points, or travel miles. Look back at your usage history with your existing credit card over as long a period as possible. How much did you charge on the card? What rewards would you have earned for those charges on the card you’re considering? What would the reward have been worth? If you carried a balance, what interest would you have paid on the reward card? Compare the rewards you would have earned with the increased interest and the fee, if any, and see how they balance out.

Lowest Rate Credit Cards

If you carry a balance on your credit card instead of paying it off every month, a low interest rate is very important to keep your costs down. However, credit cards with low rates often have an annual fee to get the lower rate and, again, you need to run the numbers to see if the card is a good deal for you. Does the difference in interest paid cover the fee, plus some?

Credit Cards With No Credit Check

Most of us get them in the mail frequently - “credit cards - guaranteed approval!!!!” it says on the envelope. Some of these really are guaranteed approval, but mostly there’s a catch - the company has a range of cards and you may end up approved for the lowest level one which requires a security deposit, for example! True guaranteed pre-approval usually only comes to those who already have high incomes and excellent credit ratings. A credit card with no credit check is most easy to get from a place where you already have a good banking or credit record.  These sometimes have instant approval credit cards, or you could try some of the many cards with online applications.