Credit Card Farce !

[britty 1]

Having lived in the US for a year now, and working since the green card arrived in February (hurrah!!), I confidently made an online application for a visa credit card. Naturally I assumed that my online application would be smooth sailing and I would be approved for a card with a decent credit limit. Imagine my delight when the credit card approval noted that I was approved for a secured card whereby I have to credit the account with $300 !!! In addition, the card company were only happy to give me a 24% rate of interest !!! Its so frustrating when my visa card had a 25k limit in the UK with regular letters from other card companies offering 0% interest for balance transfers and new purchases. Its so depressing building a whole new credit history. Anyone else suffered, I mean experienced, similar generous offers?

[Marilyn. 340]

the first credit card I got was a Chase Amazon card, with a 800 dollar limit....

And just recently I applied for and received a Capital One Card with a 600 dollar limit after getting an offer through the mail....

[brtlmj 0]

Lenders are interested in your payment history. If you have never had a credit card or taken any loans in the US, then there is nothing they can base their decision on. I would suggest applying for a card at the bank where you have your account - they will at least know that you have regular income.

And yes, it is annoying. I still keep my Irish visa card, just to have a card with a decent credit limit...

[Leney 0]

I'm relatively young I always had good jobs, kept all my bills paid but I hadn't made any major purchases, or had any loans into my mid 20's. I had zero credit. I was then told having zero credit is worse than having bad credit. My mom told me the best way to build my credit was to get a little card at a retail shop like Fashion Bug or Bonton and then buy something, pay the minimum for a few months, then pay it off totally and to keep doing this, stating they would slowly raise my limit and my credit rating would increase. Another way was to get a loan (I needed a co-signer initially) and then pay it off asap. This helped my credit rating immensely. Two years later and I've gotten every card I've applied for, with fairly decent limits. I know it's frustrating to start over, but unfortunately it's unavoidable.

Edited May 9, 2007 by Leney

[MargotDarko 0]

Having lived in the US for a year now, and working since the green card arrived in February (hurrah!!), I confidently made an online application for a visa credit card. Naturally I assumed that my online application would be smooth sailing and I would be approved for a card with a decent credit limit. Imagine my delight when the credit card approval noted that I was approved for a secured card whereby I have to credit the account with $300 !!! In addition, the card company were only happy to give me a 24% rate of interest !!! Its so frustrating when my visa card had a 25k limit in the UK with regular letters from other card companies offering 0% interest for balance transfers and new purchases. Its so depressing building a whole new credit history. Anyone else suffered, I mean experienced, similar generous offers?

Does your US spouse have good credit? Have them add you to some of their credit cards as a joint user not just an authorised user. That will help bulid your credit.

[homesick_american 1]

A secured card will help you build credit. There's no shame in it.

You've only been working since February and it's now May, so I'm not surprised that you were turned down for an unsecured credit card. Building good credit takes time, whether you're starting from zero or bad credit. It may be another year before you can get an unsecured major credit card, but if you increase the deposit on the secured one then obviously your credit limit goes up. Try applying for a store card or a gas card in a couple of months; they have sky-high interest rates but they do improve your credit. Just don't go nuts and get a dozen cards; that looks bad.

Hang in there; you can't build a credit rating overnight. It takes time. You can get one free credit report a year; snag a copy in about six months and check your credit rating. Also, check for any inaccuracies since those can lower your rating. Just don't check your credit report more than once or twice a year, since those inquiries show up too. They also pull your credit report whenever you apply for credit, so if you make tons of applications those will all show up.

I know it sucks now, but trust me; pay your bills on time and be patient and within a couple of years you'll have awesome credit.

[Kez/JWolf 6]

I was able to get my American Express UK card changed for a American Express US card with the same limit..... and within 6 months I had a credit score in the 700's

Kez

[athena_ny 1]

A secured card will help you build credit. There's no shame in it.

You've only been working since February and it's now May, so I'm not surprised that you were turned down for an unsecured credit card. Building good credit takes time, whether you're starting from zero or bad credit. It may be another year before you can get an unsecured major credit card, but if you increase the deposit on the secured one then obviously your credit limit goes up. Try applying for a store card or a gas card in a couple of months; they have sky-high interest rates but they do improve your credit. Just don't go nuts and get a dozen cards; that looks bad.

Hang in there; you can't build a credit rating overnight. It takes time. You can get one free credit report a year; snag a copy in about six months and check your credit rating. Also, check for any inaccuracies since those can lower your rating. Just don't check your credit report more than once or twice a year, since those inquiries show up too. They also pull your credit report whenever you apply for credit, so if you make tons of applications those will all show up.

I know it sucks now, but trust me; pay your bills on time and be patient and within a couple of years you'll have awesome credit.

One credit report a year from each of the three major credit reporting agencies. So the OP (and everyone else) can really get three a year.

[homesick_american 1]

A secured card will help you build credit. There's no shame in it.

You've only been working since February and it's now May, so I'm not surprised that you were turned down for an unsecured credit card. Building good credit takes time, whether you're starting from zero or bad credit. It may be another year before you can get an unsecured major credit card, but if you increase the deposit on the secured one then obviously your credit limit goes up. Try applying for a store card or a gas card in a couple of months; they have sky-high interest rates but they do improve your credit. Just don't go nuts and get a dozen cards; that looks bad.

Hang in there; you can't build a credit rating overnight. It takes time. You can get one free credit report a year; snag a copy in about six months and check your credit rating. Also, check for any inaccuracies since those can lower your rating. Just don't check your credit report more than once or twice a year, since those inquiries show up too. They also pull your credit report whenever you apply for credit, so if you make tons of applications those will all show up.

I know it sucks now, but trust me; pay your bills on time and be patient and within a couple of years you'll have awesome credit.

One credit report a year from each of the three major credit reporting agencies. So the OP (and everyone else) can really get three a year.

That's true. However, that doesn't change the fact that you shouldn't request your own credit report very frequently and that you shouldn't apply for credit willy-nilly.

[fozzie 41]

My biggest worry is when we go to buy a house - we will not get as good an interest rate as we should. I hhave got a$300 limit on my credit card with hsbc and have many offers through the mail in the last 3 months but all for just $300 limits. I use my card sporadically but pay it off on time.

One of the things that affect credit scores is the debt to credit ratio! I.e. if you have a credit limit of $300 and are $250 into it then this is bad for you but if you have $5000 limit and are only $2000 into it then its ok. Crazy!!!!

[John & Annie 0]

we were told by a credit restoration company that if I add Annie (UKC) to one of my accounts and get her a card, by 60 days she will have a score in the 600's.

[Jasman0717 8]

24% interest You will be a lot better off just paying cash!

[Dr_LHA 3]

Having lived in the US for a year now, and working since the green card arrived in February (hurrah!!), I confidently made an online application for a visa credit card. Naturally I assumed that my online application would be smooth sailing and I would be approved for a card with a decent credit limit. Imagine my delight when the credit card approval noted that I was approved for a secured card whereby I have to credit the account with $300 !!! In addition, the card company were only happy to give me a 24% rate of interest !!! Its so frustrating when my visa card had a 25k limit in the UK with regular letters from other card companies offering 0% interest for balance transfers and new purchases. Its so depressing building a whole new credit history. Anyone else suffered, I mean experienced, similar generous offers?

Suck it up! Your UK credit cards mean jack ####### to US companies who look at your credit rating, and your credit rating alone. Get the secured card, it will help you build credit.

That's true. However, that doesn't change the fact that you shouldn't request your own credit report very frequently and that you shouldn't apply for credit willy-nilly.

Actually requesting your own credit report doesn't hurt your credit rating. Only other people requesting your credit report hurts your credit rating.

[akdiver 3]

One credit report a year from each of the three major credit reporting agencies. So the OP (and everyone else) can really get three a year.

Not true. You can get one every day if you want, but you will have to pay for it.

Cheers!

AKDiver

[Lansbury 19]

I was able to get my American Express UK card changed for a American Express US card with the same limit..... and within 6 months I had a credit score in the 700's

Kez

I did the same thing although American Express wouldn't do a straight swap I had to apply for a new card. Not quite the same credit limit but it got me started with a credit account.