I’m 18. Should I apply for a student credit card or become a secondary card holder on my parent’s card?
I am looking to build some credit. Right now I have a solid checking account and I am planning to use the credit card only on gas. Which way is going to be the most beneficial to my credit?
Getting the card in your own name will be most beneficial - but ONLY if you use it correctly!! Don’t get in over your head - you shouldn’t use the card for anything that you couldn’t pay for with cash within a very short amount of time.
Good luck!
I would go ahead and apply for this credit card. This would be the best way to build up your credit for your future.
Also when you get your credit card statements I would pay always more than the minimum balance if not the entire balance. This would also help increase your credit line in the future.
I know building good credit will help you get loans for major purchases like a car or home so the sooner you start and make your payments on time the better.
Your parents can add you as an authorized user to their account and you will still build credit. Every time someone adds you to their account, that account lists on your credit report.
Applying for a student credit card is also a good option. Odds are that you’re not going to need a high limit because you’re only using the card for gas. Most student credit cards start with around a $500 limit.
Either way both choices have the same result. Although I personally would apply for a card of my own. That way you can develop some tenure with a bank. The longer your accounts are open the better it looks on your credit report.
Forget college or uni….just get a job and you’ll have enough money to pay for your lifestyle.
Hey there,
I am also 18, and i work for a mortgage company full time and look at peoples credit all day. I have to say the best way to establish credit is to get one credit card like i have, i have a capital one no hassle card and it was my first card and my spending limit started out at 350 or 500 i forget, but six month after i started using the card that went up to 750, and when your credit limit goes up you know your credit score is also going up.
Better get your own card.
good luck !
Being a secondary card holder is not going to build credit. You need the account in your own name.
For using the credit card, you should get your own. You may have to start with a low credit limit, but you should be able to get one with no annual fee.
The key with your credit card is to make sure you pay the bill in full each month. A high balance relative to your credit limit will hurt your credit score, even if you pay on time.
You should try getting one of your own first. There are credit cards for people with bad/no credit if you can’t get approved. These credit cards report to credit bureaus to help build your credit history. Here is a list of gas rebate credit cards. I recommend the Discover more card. You can earn 5% back.