It's possible that you might be curious about how to build credit, without using a credit card. Here's Bankrate's guide. For more information about Secured cards or retail credit cards, read on. Make sure to make your payments on time. Once you do this, you will be on your way building credit. Don't worry, it's not impossible. It just takes time. It's worth it.
Bankrate's guide to credit building without a credit card
You don't have to apply for credit cards if you aren't interested. However, it is possible to build a positive credit record without having to establish credit scores. Credit cards are the fastest route to financial stability. Only 40% of Americans have scores below 700 credit. This means that if you already have a lot of credit, you may have difficulty getting new credit.
Secured card
A secured credit card is a great way to improve your credit score and make regular payments. Secured credit cards send your monthly payments to credit bureaus. A secured card does not require you to make an initial deposit. They work just like a standard credit card, with a revolving line of credit that replenishes as you make payments.
Retail credit cards
A store credit card can be a great option for those with poor or no credit. The cards are generally approved in minutes and can either be used at the store or online. Some store credit cards are part of a payment network, meaning that you can use them at any retailer. Store cards can help you rebuild your credit and can offer great rewards and benefits. Think about how you will use your store credit card.
Make on-time payments
Building good credit with a credit card is important, but it is not the only option. You can raise your credit score by making other payments than credit card payments. It is possible to become an authorized user of a credit card owned by another person. You can also request that your credit report include an alternative payment history such as rent or phone bills.
How to increase your credit limit
While most card issuers pull your credit report when you request a credit limit increase, not all of them do. This means that you won't see a change in your credit score if you request an increase to your credit limit. While getting a higher limit has its benefits, you should consider whether you can make all of your payments and pay off your new card in full each month. You may also experience a decrease in your credit score if your credit limit is increased.