Prairie~Phlox Posted April 15, 2016 Share Posted April 15, 2016 DD 18 is very responsible, has a lot of money in savings, been working since 14, is a cashier supervisor now for a local greenhouse. She would like to get a credit card to help establish credit, she does have a debit card. My first credit card was a Discover Card that is still in my name & is our main credit card that we use. Are there better cards than Discover? Or what is a first good credit card? Quote Link to comment Share on other sites More sharing options...
arnold Posted April 15, 2016 Share Posted April 15, 2016 My first one, 20 years ago, was a Discover Card! Quote Link to comment Share on other sites More sharing options...
J-rap Posted April 15, 2016 Share Posted April 15, 2016 (edited) One of my dd's had a very tough time getting her first card approved, even though she was an A-student, owned her own car (which she had bought with cash -- so I guess no loan history), had no bad record of any kind, and had a solid part-time job (full-time in the summer). It really surprised us! She finally opened up an account with U.S. Bank and got a card through them. That's what our other dd did too now. They have some perks, namely, you can collect points for air mileage. Also, no currency conversion fees when you're traveling. I can't remember if there is a yearly fee. ETA: Our ds's first card was a Discover! But that was quite a few years earlier. Edited April 15, 2016 by J-rap Quote Link to comment Share on other sites More sharing options...
EKS Posted April 15, 2016 Share Posted April 15, 2016 I would get a Visa card, since that is accepted just about everywhere. If they won't give her a regular credit card, she could get a secured card, where she deposits some amount of money and that is her credit limit. This is what I ended up doing when no one would give me a card after I graduated from college. Quote Link to comment Share on other sites More sharing options...
livetoread Posted April 15, 2016 Share Posted April 15, 2016 (edited) I looked into that recently for mine when he turns 18 and decided the best for him was apply through our credit union. I was looking for unsecured, no co-signing, and no annual fee. Our credit union offers one that starts with a low monthly limit ($500, I think), but after a year of responsible use, it ups it some. It is harder now than it was a few years ago for college-age kids to get credit cards due to a crackdown on companies pushing the cards on kids. Edited April 15, 2016 by livetoread Quote Link to comment Share on other sites More sharing options...
BlsdMama Posted April 15, 2016 Share Posted April 15, 2016 My parents got me my first card at 16 through our credit union. They have a program specifically for teens helping to establish credit and a co-signing parent can get the card. Mine had a $500 limit I believe and that was back in the 90's. It could not go over the limit so there wasn't a risk of overcharging like with some. I think getting me that and my checking account then was one of the best things my parents ever did. I had a much better handle on money than my friends by university and had my credit firmly established by the time it came to buy a car and house myself. This. Quote Link to comment Share on other sites More sharing options...
Mom22ns Posted April 15, 2016 Share Posted April 15, 2016 My first card was through my parents credit union as well. The first one I got myself was a Discover. I haven't gotten either of my kids credit cards. They both use a debit card and they both have a Discover on my account for emergencies or approved purchases which they almost never use. Quote Link to comment Share on other sites More sharing options...
mathnerd Posted April 15, 2016 Share Posted April 15, 2016 (edited) For my first credit card, I got a "secured" credit card so that I could get a higher credit limit than was possible at that time (I could have gotten a $1000 limit if I applied for a regular credit card). I borrowed $$ from family for the amount of credit that I wanted and got a secure credit card (a visa) through Bank Of America (our credit union also has a similar offering these days). After 1 year, I could convert it to a regular credit card but with no security deposit. I returned the $$ I borrowed for the security deposit after 1 year. That was the easiest way for me to get a credit card with a higher credit limit without applying for a lot of cards. Get a Visa, because it is accepted all over the world. Edited April 15, 2016 by mathnerd Quote Link to comment Share on other sites More sharing options...
Alessandra Posted April 15, 2016 Share Posted April 15, 2016 Have you considered adding your dd as an authorized user to one of your cards. My understanding is that a child can actually build credit that way. 4 Quote Link to comment Share on other sites More sharing options...
Tsuga Posted April 15, 2016 Share Posted April 15, 2016 That is how most of the adults I know established credit. It enables the parent to keep tabs on things. My mom put me on the lowest limit card. Not forever but through college and two years of work afterwards. Set me up for life. I think it was more important than paying for parts of college, actually. 2 Quote Link to comment Share on other sites More sharing options...
Carrie12345 Posted April 15, 2016 Share Posted April 15, 2016 Adding an authorized user has, IME, the added benefit of the original holder's length of membership. I didn't have a major card in my name until I decided I wanted to be on dh's a few years ago. It comes up on my credit report as having an 18 year history instead of the 4 or 5 I've actually been on it. 4 Quote Link to comment Share on other sites More sharing options...
Tsuga Posted April 15, 2016 Share Posted April 15, 2016 Adding an authorized user has, IME, the added benefit of the original holder's length of membership. I didn't have a major card in my name until I decided I wanted to be on dh's a few years ago. It comes up on my credit report as having an 18 year history instead of the 4 or 5 I've actually been on it. Wait, really? What about the card I have from before my daughter was born, LOL? 30 years credit history for an 18 year old going off to college? 1 Quote Link to comment Share on other sites More sharing options...
Pawz4me Posted April 15, 2016 Share Posted April 15, 2016 Wait, really? What about the card I have from before my daughter was born, LOL? 30 years credit history for an 18 year old going off to college? I can tell you that we added oldest DS as an authorized user for one of DH's accounts a couple of years ago, and his credit score as of about six months ago was right around 780. He has no other credit and no earned income. 2 Quote Link to comment Share on other sites More sharing options...
Tsuga Posted April 15, 2016 Share Posted April 15, 2016 I had heard they were changing this with Fair Issac that it would not help your credit to be just an authorized user. I wonder if it didn't end up going through with the change. It was a concern because as someone with no income, I am dependent upon my husband's credit line as my own these days! That would really suck for us but I can see how it is deeply unfair that kids of poor families are so disadvantaged right out of the gate because of this. I still think I would consider taking out a credit card from the bank to pay off on my own for my kid just to help them get started. Quote Link to comment Share on other sites More sharing options...
G5052 Posted April 15, 2016 Share Posted April 15, 2016 Yes, we went the authorized user route. I dropped the limit on one card, and it's primarily his. Our gym membership is the only other charge on it. 1 Quote Link to comment Share on other sites More sharing options...
Tsuga Posted April 15, 2016 Share Posted April 15, 2016 It was a concern because as someone with no income, I am dependent upon my husband's credit line as my own these days! BTW, I would strongly encourage you to change that. Your husband might get sick, whatever. Or what if he loses his job and you need to get to work? I hope that doesn't happen, but consider establishing a credit card in your own name and paying it off every month. Just do groceries on it and that's it. It is for him as much as you. 1 Quote Link to comment Share on other sites More sharing options...
Pawz4me Posted April 15, 2016 Share Posted April 15, 2016 (edited) I just pulled this up: https://www.nerdwallet.com/blog/credit-cards/authorized-user-credit-score/ Apparently not all cards report authorized users on credit lines so it is card dependent whether or not being an authorized user will help you. Based on our own experience with DS's credit score (see my post above) I do not believe that link is accurate. (ETA -- His score that I gave above is FICO.) Edited April 15, 2016 by Pawz4me 1 Quote Link to comment Share on other sites More sharing options...
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