janousek

Hi there,
I don't know if I'm posting at thr right place, but I hope my questions will be answered/discussed here. I've seen posts about Immigration, SSN, Job Hunting, DMV and I notice everyone's experiences and opinions are really helpful.
Well, since I'm new in the US. I'm trying to establish my credit here and beleive me I'm having a tough time to do so. I was denied credit frrom one financial institution on the basis that I have insufficient credit history in the US. I'm not disappointed, but I was wondering, if they keep denying me credit on such basis, how can I establish my credit in the US?
I've tried to search the answers on websites like www.bankrate.com few sites suggest getting a secured credit card at first.
Has anyone been through what I'm going through. Please note that I've never had a credit card in my own country because I didn't beleive in plastic but here it's different. Also my wife has one medical bill in credit bureau, can it affect my credit application? If yes, how? BTW I applied for the card in my name only. And we have a joint checking account. We haven't talked to our banker yet, I thought I'll discuss this here on NG first so I know what I'm talking about when I go to talk to a banker or creditor.
Please advise, Thanks
-Janousek

Peter Newton

I've been having the same problem. I have a perfect credit record back in the UK but it doesn't carry over here. I have accounts with Citibank both places but Citibank US doesn't recognise my relationship with them in the UK. Crazy or what??

I did manage to get one credit card out of them, albeit with $1000 limit only.

Someone told me you have to be here at least a year... does anyone else have any experiences?

Scout

The fastest and best way to do this is to piggyback onto your spouse's credit. Have the USC apply for a credit card and get one with your name and SS# on the account as well. Call all the utilities and get your name and SS# on the bills jointly with your spouse. Open your own bank account as well as have one separately from your spouse.

If you buy a house or refinance, put it in both your names. Same goes with any car purchases.

Essentially all I am telling you to do is build a credit history here in the States. It does speed things along to go about it by taking of your spouses ability to get a credit card though.

Cheers,

Leslie

NC Penguin

The question of establishing credit as a new immigrant to the US crops up in the Lounge (and this forum) every so often.

Please search for previous posts on the subject.

I'm in the process of establishing credit too. It's a real nuisance to have to start from scratch.

Please take care when applying for any kind of credit in your own name (credit card, loans, store cards, etc.) because each time you do, a credit check will be done and this check will appear on your credit report. If your US credit report is in its infancy and potential lenders see many or regular credit enquries on it, they will be wary of giving you credit.

If you're married to an American, get become an additional cardholder on their credit card. By doing so, you'll in fact be sharing their credit and their history will soon appear as your credit report.

The above is true because I checked my credit report about six months after I was added to my American spouse's credit card.

There's no need to go down the secured credit card route unless you're really desparate to have your own, independent credit card. From my research it's not worthwhile because having such a credit card does not necessarily help to establish a credit history (the lender does not or only infrequently reports to credit bureaux).




NC Penguin

katesuiter1

Hi!!! I'm having exactly the same problem. Corey's credit isn't great, so I'm trying to get as much history in my own name as possible. I had no probs getting a checking account with Bank of America when I first got here, but I was refused store cards, and other credit cards. In the end, I got secured card with BOA, and they said to use it wisely for a year, then I could try to apply for an unsecured card.

I was also told that paying your utility bills on time helps your credit, but as all the bills are in Corey's mum's name, that's not much help. (All the utility companies want either good credit or a huge payment for us to switch the names, which we can't afford right now. )

I'll be following this post closely, in case anyone has any good suggestions.
Kate. xxxxxxx

sarahp2003

Hi,

I got a credit history going a month after moving here on a J1 visa, by getting my partner to get a second card on the account. I actually initially did this in Ikea and slightly over stated time I'd been in america (said 8 months). As long as my partner (who by the way I'm not married to) would have a second card they seemed to be fine with it. After that it was easy to get any credit card, and the junk mail will start piling through your door, begging you to open accounts with them.

So I would agree that you need to piggy-back on somebody elses credit, although I don't see that it necessarily has to be a spouce, as mine wasn't.

I would also recomend a store card first as they seem to be the easiest.

Hope this helps,

Sarah.

KMT1

I work with a guy who just moved to the U.S., and I asked him about what he did about his credit. He said that you should get a copy of your credit report before you move to the US,through a credit bureau, such as equafax, and there is another one out there, I can't think of what it is though. Any how he applied for a sears credit card, presented his credit history from Canada........and he got the card. Just a thought, hope it helps.

suebo

Establishing credit is a nightmare in USA. When we first arrived 3 years ago, we had a loan for a house within 2 weeks (only because we had assets overseas), but trying to get a credit card for $1000 was a little harder. We were issued one by our bank about 3 months after opening our account. After about a year here we applied for a Sears card and were rejected as we didn't have enough history here. Bunch of morons, then all the sudden a card turned up in the mail.

Since we have been here, I have not paid a single bill late and always pay more on the mortgage and credit cards. After 2.5 years in our house, we decided to move, but we could not get the cheapest interest rate as we still had not established an "excellent" credit rating. It is a downright stupid system. 2 months after moving in to the house (a bigger debt) we are getting all sorts of mail asking if we want to take out a second mortgage for up to $50,000.

There is just no consistent system here. You either get nothing or they try to send you in to bankruptsy coz you can't afford all the repayments on all the loans they offer you. After all this time I still don't have a SSN, so when I get it, hopefully in a couple of weeks, I will have to start from scratch as my name isn't on the mortgage and I am a secondary on our account and credit cards. A lot of the bills are in my name too, but they will not take that in to account either.

One hint I got from a local was when you get your credit card bills, do not pay the whole amount off (as I like to do), pay just a little more than the minimum payment due. This is supposed to build your credit rating faster......another scam to get more money out of you in interest!!

NC Penguin

Having talked to credit lenders, I discovered that the only foreign credit reports they can readily check are those from Canada. I don't know why Canadians get special treatment.

However, the suggestion to get a copy of your foreign credit report prior to moving to the US is a good one. It may help but it may make no difference. It's worth a try...



NC Penguin

Peter Newton

What a surprise - the mail arrived today and guess what? I'm "pre-approved"!

Whoo hooo!!!!

NC Penguin

...but read the small print on the back of the offer. They'll do a full credit check on you and if you've got an "immature" credit history in the US, you'll either be turned down for a credit card or be given a low level of credit on the credit card.



NC Penguin

Peter Newton

Actually it's a bit scary that they can just request to see elements of your credit record without your permission.....

Pulaski

It's a bit scary for the credit card issuer to give you credit when they know nothing about you.

If you want a company to lend you money it seems quite reasonable to me that they be allowed to find out whether or not you have a record of paying your debts.

Peter Newton

Of course it's reasonable if I want a company to lend me money that they be allowed to find out whether or not I have a record of paying my debts. As long as I initiated the transaction. I'm talking about companies which look up ones credit record without asking!!

g1ant

Oh shit... I'm doomed then. John DeLorean has a better chance of getting a credit card than my missus!

Alex.