Maybe you've recently finished restoring your credit or maybe you're young and haven't used credit yet. In either case, it's easy to build a positive credit history quickly and cheaply. Most times you can build a glowing credit report in just a couple of weeks. First, you must make sure that you're credit report is spotless. Most times, creditors will protect their liability by giving you several reasons for your credit denial. If you receive a denial letter that states, "Derogatory credit accounts & insufficient positive credit accounts," don't worry about the positive credit until you've repaired the bad credit. That creditor would've probably denied you regardless of your bad credit history. If you have any bad credit on your credit report, see the Restore Bad Credit file in this web site.

Now that your credit is perfect, you are ready to build a positive credit profile. Follow any or all of these techniques to stack your report with A-1 listings. But, beware, if you stack too many open accounts, or too many credit inquiries, you will be denied based on debt to income ratio and excessive credit inquiries. If you already have a problem with excessive credit inquiries, see the Erase Credit Inquiries file in this web site.

If you know someone (like a good friend or parent) who has good credit, you can "borrow" their good credit listings. This friend must have credit cards, and must trust you enough to allow you to become an "authorized user" on his credit cards. Just have your friend call his credit card company and request that you be placed on his card as an authorized user. A copy of the card will be sent and you may simply return it to your friend. Your credit file should soon show an open account with all of the positive history that your friend has created over the years with that credit card. A small footnote will show that you are an authorized user of that card. Remember, though, when a new credit grantor goes to review your file, he may insist that the balance on the card appear on your debt to income ratio balance sheet. That shouldn't disqualify you for credit if your income is sufficient and you don't have an excess of debt on your file.

Telephone the North American Consumer Alliance (NACA) at (801) 263-1373 and request their collateralized Visa card. You can get this card even if you have some bad credit still on your credit file. The Visa that NACA offers will allow you to utilize 150 % of the money which you place as collateral. So, if you put up $500.00 as collateral, you will be allowed to charge up to $750.00.

Most banks will help you to build credit by allowing you to borrow against an amount placed in savings. Here's how you can "waltz" $500.00 to $1000.00 into a good credit rating without tying the money for more than a few hours.

Deposit an amount over $500.00 in a bank savings account. Explain to your account representative that you would like to build good credit by taking out a loan against that amount. Make sure you understand the terms of the loan. You must make certain that the bank will allow you to pay the note off within 90 days without an interest penalty.

Step Two

Take your new $500.00 loan to another bank and repeat Step One. Step Three Repeat Step Two until you are satisfied that you have enough accounts to constitute sufficient positive credit.

Step Three

After ninety days, return to each bank and ask that each loan be retired with the $500.00 being held as collateral.

Seek Easy Credit

Many stores extend credit without tremendous regard for the credit standing of the applicant. These stores usually can be found in industries with small products or traditionally high mark-ups. Here are a list of creditors who will often extend credit to those without much credit history:

Fingerhut

Radio Shack

Jewelers

Furniture Stores

Tire Stores

Appliance Stores

Easy credit Auto Dealerships

There are many places to obtain an unsecured credit card, even if you have bad credit. The interest rate is a bit higher, but these are unsecured cards. They have an approval rate of 98%, this means that almost anyone that applies will receive a credit card. The credit limits depend on each individuals credit rating. They will issue cards up to $1500.00 credit limit. With substantially bad credit they usually issue a credit limit of $350.00, this is a great way to establish your credit with your newly created credit file or to help re-establish you existing credit. I have listed a few for you to use.

Cross Country

Visa offered

credit line $350.00 and up

Sterling Bank

Master Card or Visa offered Gold Card also offered

$200 minimum deposit

(800) 234-bank

North American Consumer Alliance (NACA)

(801) 263-1373 request their collateralized Visa card.

First Consumers National Bank

Master Card and Visa

$100.00 Minimum Deposit

You receive 150 % of deposit credit line