RULE #3

Establish credit independently.

This is a major way to move ahead in your new independent direction.

Start small and build up.

Get a credit card that has a small credit limit, perhaps from a local department store or financial institution. Then always pay your bills on time so your credit history will be excellent. After six months, apply for another card and continue paying bills consistently. Don’t run your debt up beyond what you can afford to pay. It’s a winning strategy that’s easy to master.

Ask a family member or friend to cosign.

Perhaps a relative or friend with an established credit history can cosign your loan or credit application …provided you repay that cosigned debt on time. Remember: any transaction also will show up on the cosigner’s credit profile. After a few months, try again to get credit on your own.

Consider applying for a secured credit card.

You must open and maintain a savings account as security for your line of credit. Your credit line is a percentage of your deposit. Beware of the extra fees you may have to pay for secured credit.