Im 18 I want to build some easy credit, so I can get a car or a home How do I do it?

Question

I live in Mexico now.. I cross to arizona, but I need a car! Some plz tell me the fastest way to build good credit so i can get a down payment on a car. I tried to do it when I turned 18 they (THE BANK) wouldnt let me go threw unless I had a co-signer. Unfortunately I had no one to co sign in California.;.... AN now I am walking everywhere which suks in ARIzona heat. So if someone could answer I would REALLLY REALLY APPRECIATE THEM FOR THE HELP!! THNX U

Answer 1

Best Answer - Chosen by Voters

Most of the lenders that finance first time buyers, and report to the credit bureaus require a year on the job, and 15% to 20% down payment. If you meet these requirements you should qualify for a loan at a dealership that has a sub prime department.

If you do not meet these requirements your other alternative is to visit a buy here pay here, or rent to own independent dealer. As long as you have an income, most of these dealers will lend you the money to buy one of their cars.

The down side to this is that the payments most likely will not show up on your credit report, so it won't help your credit rating. On the other hand it will keep you out of the Arizona heat until you meet the requirements listed above.

Answer 2

I'm 18 and wanted to do the same thing. So I got a credit card. I don't run it up, I just put small things on it and pay them off that month so the interest doesn't run up. If you do it, just keep your payments on time and go over your credit line.

Good Luck!

Answer 3

The next time you're out car shopping you might check some of the deals some of these dealerships offer. Most banks won't loan money to people with no credit which is ridiculous I know. So instead of going through the bank check some of the car lots in your area to see if they have any special deals for people in your situation. When they run your application they go through a series of banks so you're more apt to get the answer you want to hear.
If you want to simply build your credit then you might try to apply for a lower limit credit card but be careful if you do and don't over spend...it's very easy to do.
Good Luck!

Answer 4

Hi I'd suggest signing up for a student credit card.

& from that, pay off your balance every month--no exceptions.

Do that for a year or so OR at least 3 - 6 months.

Then you will have credit. YOu may not be able to get enough for a car but you can also be saving $$ meanwhile and use the downpayment for your car.

Answer 5

DON'T DO IT!!!!!!! (Yes, I am screaming this right now! I know from experience.) I repeat: DO NOT GET A CREDIT CARD! That's the stupidest thing that you can do!

You're 18, I am 35. I wish that I could go back in time to when I was 18 and talk to myself and give myself advice.

So listen up, what I'm about to tell you is worth gold. This advice is worth just a little over $40,000.

If you don't have money for it, then don't get it.

Save up money for clothes, going out with friends, car, and college education.

You want a car, save up $5K to $7K and buy a 7 year old honda civic. It should last you for at least 5 years. You're 5K over 5 years would be $1000 a year. That would cost you $83/month. A lot better than a $250 / month car payment.

You want to go to college, get your parents to pay for it or pay as you go through. Go to a state school, they're cheaper. When you get out, 5 years later, no one will care what school you went to when you're looking for a job. They want to know what you can do.

Don't even try those rebate cards. The ones that give you 5% back or airline tickets or whatever. It's a serious hassle not worth the time. I tried that for about 4 years and it seemed that I spent a lot of time making sure that I didn't get an incorrect charge on my account, or making sure that I wasn't late, or fighting with the credit card company to give me the points or whatever. Its a hassle! Not worth it!

Shortly after I got out of college, I had $23K in student loan dept, $8K in car dept and about $14K in credit card dept. That dept was literally sucking the life out of me. It brought me down so much. I was having to work so much to pay that debt off. I felt like a slave and a slave I was. The Bible says that the borrower is slave to the lender. Welp that's what I was, a frikin slave. It took me 4 hard years to pay off that debt!

If I had only paid for things when I had the money, then instead of being at -$40,000 I would've been at $0. Instead of paying $750+ / month to pay on debt, I could've invested that money. 4 years later instead of just being out of debt, I would've had $30,000 saved up some where.

Yes, they say that you need to have credit to build credit. That's a myth. Go to http://www.daveramsey.com to see what he says about this crap.

Remember I said that this advice is worth a little over $40,000. Well that's the amount of unsecured debt that I had when I was in my late 20s. That's why this advice is worth over $40,000.

Almost done with the lecture. I HIGHLY recommend that you do either one of these: participate in a small group Bible study doing Dave Ramsey's course or a Crown course. These courses cost money $50 to $100. Not sure exactly how much. But very very very very worth it! (See links below) I have not done Dave's but I listen to him on the radio and on line. He's a solid guy. My wife and I did Crown. That was the financial turning point for us. 8 years after doing Crown we have absolutely no debt whatsoever! No credit card or car debt. No house debt. Plus we have a chunk saved up for retirement. She's a stay at home mom, we save about $10,000 / year, we give away about $10,000 / year and I only make $74,000 / year. With God's help and your head on straight, it can be done!

One more thing, Freedom is an awesome feeling. Stay free, don't get into debt. I'm serious there sweetie, don't even dabble or toy with a credit card. You play with snakes, you'll get bitten. You play with fire, you'll get burned. You play with credit......

Source(s):

http://www.daveramsey.com
http://www.crown.org

Answer 6

Get a credit card and pay it off every month. To ensure you do this, only use it for one bill, like your rent or groceries. Pay it in FULL every month and your credit will be wonderful.