Best way to establish credit

[muscelove]

Im 23 and still havent established credit yet. Have had no need for it but know its necessary. Whats the best way to go about it???

 

[DeuceRooster]

Start off with maybe a small personal loan from your local bank. Like $1,000. Borrow it on a 12 month term and pay it back on time!

 

[RottenWillow]

Im 23 and still havent established credit yet. Have had no need for it but know its necessary. Whats the best way to go about it???

I'd like to hear the input of others on this subject, since I've heard very different ideas on how to do this.

I'm 22 and in my own case, I managed to qualify for a new car loan through one of the manufacurer's special programs. Many of the major car manufacturers have their own fiance corp and will make loans with relatively good terms that a bank wouldnt consider. After just 30 months of timely payments, my FICO score has increased substantially. The car loan will likely get you some major credit card invitations, but I'd encourage you to wait until the offers improve, which will happen over time. When you do decide to accept a credit card offer, only accept one. Opening multiple accounts within a short period of time will hurt your credit score. Keep making both the credit card and car payments in a timely fashion and your FICO will continue to grow.