Limited Credit Articles

Whether you’re looking to buy a home or car, take out a loan, open a credit card account, or even purchase a new auto insurance policy, your credit score will likely come into play. This three-digit number is calculated based on a variety of financial factors, and can influence whether a lender or creditor is willing to work with you.

When it comes to obtaining the bare necessities, a person’s credit history can impact a number of important factors. For people with bad credit in particular, the negative consequences can cause several disadvantages to one’s quality of life.

The average US FICO score hit a record high of 703 in 2019, as more Americans continue to monitor their credit reports through a wealth of free online services. While that may seem all fine and well, with 66% of US citizens having a good to exceptional FICO score (670-850), that still leaves 34% of Americans with a fair to very poor score (300-669).

A healthy credit history is the key to unlocking great credit card deals. Below, we’ve listed 5 simple ways you can build up your credit score no matter where you’re starting from.

When applying for credit cards, first-time borrowers can feel like first-time job seekers. Credit card providers will use your credit history to determine your creditworthiness, just like possible employers ask about work history. Without any experience, employers often won’t take a chance on a first-time employee.

If you need cash immediately, personal loans can provide you between $1,000 and $35,000 for any purpose: consolidating your debt, covering medical expenses, funding a large purchase, or paying for a special occasion like a wedding. Paid off in fixed monthly installments, low-rate personal loans can also be easier to manage than snowballing credit card balances.