Applying for student Credit Card - 2

This post is continuation of previous post Applying for student credit card -1. It will be new concept for students who are still in India and for those of you who are already here, must have come across the terms, credit history, balance transfer and many other credit related terms.

Steps to build good history:

1) Open a new Bank Account ( Checking and if possible Savings account too)

2) Apply for Social Security Number.

3) After you have SSN, apply for Student Credit Card(s)

4) Use your credit card for daily purchase

5) Pay your bills on time ( pay in full )

6) Check your Credit Report atleast once in a year.

7) Watch your credit history and credit score ( 350 to 850) grow.

Applying for Credit Cards:

There are many banks that offer student credit cards, that will help student to build credit history. Student credit cards will have low credit limits. Credit Limit varies from $300 to $2000 for student card.

I applied for MBNA, American Express Blue for Student card and got it approved. Those were my first 2 cards. You might want to check out Visa or Master Card website, since some banks will offer cards specifically for university (Something like Arizona State University Master Card ). There are good chances that you will get your credit application approved, if your university has one. Even if its an Alumni Association card.

Some of popular students cards are , MBNA ( now its Bank of America), American Express Blue for Student, Citi Students Cards, Chase Students Card. Usually, seniors don’t suggest to apply for Discover cars, until you have good credit history. Don’t apply for too many cards. First apply for 1 and see the outcome. If you get it approved, use it for 6 months, build your credit history, ask for credit line increase.

Using Your Credit Cards:
If you want to build the credit history, you need to use your credit cards for paying bills, grocery store purchase, .. and make sure you pay the bills before the statement due date, without interest. Your credit score will improve every month. It will take atleast 6 months to have decent credit history.

I will break this credit card process and building credit history into few more posts. So, it wont be too lengthy and boring to read.

As I was writing this article, I got an idea to write few ideas on personal finance for students. That would include, budgeting, online software for students to calculate monthly transactions and few tips and tricks to earn money through bank accounts.

Till then use your credit wisely.

Similar Posts:

• Applying for student Credit Card - 1
• What to look when applying for credit card?
• Open bank account and earn money
• 3 Years of Bank Statement for I 20?
• Social Security Number
• Students spending habits.. Timeline
• Carnival of College and Finance

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