Alternatives to Credit Cards - Easier, Better, Cheaper Credit Lines to Build Your Credit Scores
You may know that the best way to build up your credit is to have credit.
However if your scores are in the dumper you will find yourself with few credit cards willing to take you on and those that will are unabashedly predatory.
If you want to build up your credit and get something for your money you may want to think outside the box and build up credit lines with credit unions or retailers who will give you a better deal on your loan if you will buy their product.
It can be a win-win for both of you.
The most economical way to quickly boost your credit profile is to open a secured loan with a credit union.
Not all CUs offer this service but if you call around you can probably find one that does in an afternoon.
You simply give the Union a lump sum of cash to deposit in a savings account (usually interest bearing) and they will then give you an installment loan in the same amount secured to those deposits (which are not accessible until the loan is paid off).
Typically you would take 4-6 months to pay the loan back and then you can either take your cash out of savings or take a new loan.
This allows you to build up a nice credit history quickly with zero chance of late reporting because the CU will tap your savings if you are ever late (often with a penalty).
In the end you just pay some very low interest and get great credit help.
The downside is that you need a lot of lose cash to make this work.
Buyers club cards look like credit cards but they only allow you to buy items from a particular catalog.
These items are typically overpriced but there is no requirement to buy a lot and remember: you are looking for unused credit anyway.
If you take out one of these cards buy something nice for your wife/husband/special friend and then put it away and let it report your spendthrift ways to the credit bureaus.
The upside to these cards is that you don't pay exorbitant setup fees but they are very limited and gimmicky ...
read all the fineprint! If you are in the market for a new computer or a car and you want to finance this can be a good situation.
Durable good financing can be had regardless of bad credit and it will impact your credit scores as potently as if it was a platinum mastercard.
Make sure however that the credit is through a company that will report and not through a "Credit King" type car dealer who will only report you if you are late.
You can find a by clicking here.
As you build your credit remember to do your homework.
Learn as much as you can, don't rely on "credit experts" .
You can find a lot of free information and resources at my website including updated reviews of "bad credit" credit offers.
That will let you become your own, most trusted, "credit expert"
However if your scores are in the dumper you will find yourself with few credit cards willing to take you on and those that will are unabashedly predatory.
If you want to build up your credit and get something for your money you may want to think outside the box and build up credit lines with credit unions or retailers who will give you a better deal on your loan if you will buy their product.
It can be a win-win for both of you.
The most economical way to quickly boost your credit profile is to open a secured loan with a credit union.
Not all CUs offer this service but if you call around you can probably find one that does in an afternoon.
You simply give the Union a lump sum of cash to deposit in a savings account (usually interest bearing) and they will then give you an installment loan in the same amount secured to those deposits (which are not accessible until the loan is paid off).
Typically you would take 4-6 months to pay the loan back and then you can either take your cash out of savings or take a new loan.
This allows you to build up a nice credit history quickly with zero chance of late reporting because the CU will tap your savings if you are ever late (often with a penalty).
In the end you just pay some very low interest and get great credit help.
The downside is that you need a lot of lose cash to make this work.
Buyers club cards look like credit cards but they only allow you to buy items from a particular catalog.
These items are typically overpriced but there is no requirement to buy a lot and remember: you are looking for unused credit anyway.
If you take out one of these cards buy something nice for your wife/husband/special friend and then put it away and let it report your spendthrift ways to the credit bureaus.
The upside to these cards is that you don't pay exorbitant setup fees but they are very limited and gimmicky ...
read all the fineprint! If you are in the market for a new computer or a car and you want to finance this can be a good situation.
Durable good financing can be had regardless of bad credit and it will impact your credit scores as potently as if it was a platinum mastercard.
Make sure however that the credit is through a company that will report and not through a "Credit King" type car dealer who will only report you if you are late.
You can find a by clicking here.
As you build your credit remember to do your homework.
Learn as much as you can, don't rely on "credit experts" .
You can find a lot of free information and resources at my website including updated reviews of "bad credit" credit offers.
That will let you become your own, most trusted, "credit expert"
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