How to build US credit without an SSN
You can build US credit without a Social Security number. A credit file starts when a lender that reports to the credit bureaus gives you credit, and Experian, for example, matches accounts by all the details the lender sends, not only by SSN. Your history from another country does not carry over, and a FICO score needs at least one account open for 6 months or more.
Start with one secured credit card that reports to all three bureaus: Equifax, Experian and TransUnion. Your cash deposit becomes the limit: put down $500, and you can spend up to $500. You can apply for some secured cards without an SSN, and Capital One lets you apply for its secured cards with an ITIN (a tax number the IRS issues to people who cannot get an SSN).
Step by step
- 1
Find out which number you can get
You are eligible for an SSN if you are a US citizen or were admitted to the US for permanent residence or for US employment. F-1 and J-1 students qualify only if they have a job; an F-1 student also brings proof of the job and a letter from the school's international student office. If you cannot get an SSN but have a federal tax reason, such as a US tax return to file, you can get an ITIN with Form W-7.
- 2
Open a secured card that reports to all three bureaus
Each payment frees up that amount of your limit again. Card issuers are not required to report to the bureaus, and a card that does not report does nothing for your file, so pick one that reports to Equifax, Experian and TransUnion. Fees and interest rates can be high, but as you pay on time, the limit may go up and the deposit may come back to you.
- 3
Add a credit-builder loan
Here the lender puts its own money, usually $300 to $1,000, into a locked account, and you repay it in installments, with interest and fees, typically over 6 to 24 months. The payments go on your credit report, and when the loan is paid off, you get the money. Banks, credit unions and nonprofit credit counseling agencies can tell you about these loans; ask whether they take an ITIN or a passport.
- 4
Ask to be an authorized user
A relative or friend with good credit can add you to their credit card by phone or in the issuer's app. You have no legal duty to pay the bill, but their missed payments can show up on your report too. Many large issuers report authorized users to all three bureaus, but before adding you, the cardholder should ask the issuer whether it reports an authorized user who has no SSN; if it does not, this does nothing for your credit.
- 5
Get your rent reported
Equifax, Experian and TransUnion can add rent payments to your credit report when a landlord or a rent payment app reports them. Ask your landlord whether they take part in a rent reporting program, and ask the service whether it accepts an ITIN or a passport; these services can charge a fee.
- 6
Use your credit history from home, if it is covered
Nova Credit's Credit Passport covers credit histories from 16 countries, including Mexico, the Dominican Republic, Brazil, India, the Philippines, Nigeria, Canada and the UK, and Chase is one of the lenders that use it. You use it when you apply with a lender that works with Nova Credit, and the account you open builds your US file once the lender reports it.
- 7
Pay on time and keep the balance under 30% of the limit
On time means the payment reaches the company by the due date. Keep the balance under 30% of your limit, that is under $150 on a $500 card, and under 10% ($50) if you can. A FICO score can appear once one account has been open for 6 months and has been reported in the last 6 months.
Questions people ask
Can you build credit without an SSN?
Yes. Experian matches accounts by all the identification details a lender sends, not only by SSN, so an account opened without an SSN should still appear on your report if the lender reports it to Experian. The usual starts are a secured card, a credit-builder loan, being an authorized user and rent reporting.
How can I get my credit report without an SSN?
AnnualCreditReport.com asks for an SSN, and an ITIN does not work in its place: Experian treats an ITIN as an invalid SSN. Without one, request your free Experian report by mail: send a copy of a government ID that shows your current address, a copy of a utility bill, bank statement or insurance statement, and your full name, date of birth and addresses for the past two years to Experian, P.O. Box 9701, Allen, TX 75013.
How long does it take to get a credit score?
A FICO score needs at least one account open for 6 months or more and at least one account reported to a bureau in the last 6 months. One account can meet both rules, so about 6 months after your first card or loan is the earliest a FICO score can appear.
Can F-1 international students build credit?
Yes. F-1 and J-1 students can get an SSN only if they have a job, for example on campus. Without one, ask the bank where you keep your student account whether it issues a secured card to F-1 students with a passport, and if your credit history is from a country Nova Credit covers, apply with a lender that uses Credit Passport. An ITIN is not a way around the SSN: the IRS issues it for federal tax purposes only, to people who have a federal tax reason and cannot get an SSN.
Does my credit history from another country transfer to the US?
No. To have an Equifax US credit file, you need credit from a US company that reports to Equifax, and a good score at home usually does not carry over. Nova Credit's Credit Passport covers reports from 16 countries, and some lenders, such as Chase, use it when you apply.
Can I get an ITIN just to build credit?
No. You need an ITIN only if you have a federal tax purpose, such as filing a US tax return, and cannot get an SSN. Applying is free at an IRS Taxpayer Assistance Center or a VITA site with ITIN services and takes about 7 weeks, or 9-11 weeks from January 15 to April 30 or when you apply from abroad. With an ITIN, some issuers, such as Capital One, let you apply for a card.