How to Build Credit as a College Student

Building credit as a college student can be challenging if you have no credit or a thin credit file, but there are some ways to get started and make it easier.

How to Build Credit as a College Student

College students can use a student credit card to start building their credit if they have a pre-approval letter they received in the mail or through email.

Ways to Build Your Credit Score While in School

You’ve got several options to build your credit score while in college. Using your credit wisely early on can help you receive more favorable terms later in life when you need them.

1. Become an Authorized User

By becoming an authorized user on someone else’s credit card—be it a parent, guardian, or other trusted adult—the credit card issuer will send a credit card to the primary cardholder having your name appear on the card.

2. Secured Credit Cards

Secured credit cards work by having the cardholder front a security deposit to open an account, reducing the risk to card issuers of you defaulting or missing a payment.

3. Credit Builder Loans

A credit builder loan functions as a tool for people who have low or no credit history. They can use them to begin building up their credit scores by establishing a credit history.

4. Apply for Low Limit Unsecured Credit Cards

If you have developed good money habits and think you can handle a line of credit, you may want to start with a low-limit unsecured credit card.

Swipe up TO KNOW MORE ABOUT How to Build Credit as a College Student?