Kikoff
From $5 a month, 0% APR
- Monthly fee
- From $5
- APR
- 0%
- Reports to
- All 3 bureaus
Open account
on the Kikoff website
on the Kikoff website
No credit history: how to build credit from zero
No credit history is not the same as bad credit. Lenders just have nothing to look at yet. The fix is simple but takes a few months: one or two small products that report on-time payments to the credit bureaus.
- Bank account
- SSN or ITIN
- Credit builderYou are here
- First card
- Loans at fair rates
Credit builders
Small monthly payments that show up on your credit report. None of these three does a hard credit check to sign up.
Self
Money back at the end of the term
- Monthly fee
- From $25
- APR
- 15.51-15.92%
- Reports to
- All 3 bureaus
Open account
on the Self website
on the Self website
Grow Credit
For subscriptions
- Monthly fee
- $0-12.99
- APR
- 0%
- Reports to
- All 3 bureaus
Open account
on the Grow Credit website
on the Grow Credit website
A first card
Step by step
- 1
Check that you really have no file
Get your free reports from Equifax, Experian and TransUnion at AnnualCreditReport.com. You can check each one once a week for free. It does not hurt your score.
- 2
Open one credit builder
A credit builder account or a secured card reports your payments every month. Pick one with a payment you can keep up for a year without strain.
- 3
Pay on time, every time
Late payments do the most damage. Turn on autopay for at least the minimum, and on a card keep the balance low compared to the limit.
- 4
Then a first card, and only then a loan
After several months of on-time payments you will have a score. Starter cards and loans with fair rates become possible. Apply for one thing at a time: each application can mean a hard inquiry.
Questions people ask
Does a debit card build credit?
A regular one does not: debit card spending is not reported to the credit bureaus. The exception is cards with a credit line behind them, such as Extra. Otherwise you need a credit builder account or a secured card.
Will checking my own report lower my score?
No. Checking your own report is not a hard inquiry. A hard inquiry happens when you apply for credit and the lender pulls your report.