Posted on: 18th Jul, 2009 10:57 am
Hello, my sister's daughter is new to this country and is a staying home mom. How can she establish her credit right now? She has no income .but her husband has good income and good credit, is there still a way to piggy back his husband's ? Where is the good source to do so, Thanks.
if the husband in question has credit cards, for example, he can request that the creditor add his wife's name to the cards. whether they'll do so as an authorized user or as a borrower is up to them. the best method is for her to be added as a borrower. she can also search out a secured credit card - avoid the internet banks at all cost! - this sort of deal enables a person to make a deposit of $300-$500 and pledge that amount as security for a credit card.
and, of course, her best interest is served by being very conservative in her usage of any new credit she obtains. she should use the card(s) sparingly, and pay on time (and in full) every month. paying in full eliminates the interest costs, and this will have no negative effect on credit, contrary to some opinions.
and, of course, her best interest is served by being very conservative in her usage of any new credit she obtains. she should use the card(s) sparingly, and pay on time (and in full) every month. paying in full eliminates the interest costs, and this will have no negative effect on credit, contrary to some opinions.
She told me that his husband once added her to some cards as authorized user. But she told me that those credit card companies does not report her credit to the credit bureau at all. They only reported her husband's to credit bureau, since his husband is the one who pay the bill and responsible for the card. I have read some books before about doing this.But it seems cannot work out right now using authorized user methods.Maybe because of the tight lending environment???
The funny thing is even she does not work, right now she has some money to deposit. The only thing she needed now is just a credit card to build her credit gradually. maybe the only option for her is to try the secured credit card. Really ironical that a lot of bank will lose her business of large saving account since they are not willing to issue her a credit hard...
The funny thing is even she does not work, right now she has some money to deposit. The only thing she needed now is just a credit card to build her credit gradually. maybe the only option for her is to try the secured credit card. Really ironical that a lot of bank will lose her business of large saving account since they are not willing to issue her a credit hard...
As of right now the best way to start to build credit is a secured credit card. It reports on a monthly basis just like any other card and yes dont use up more then 30% of the limit and pay it off every month over time she will build up credit.