It's possible that you might be curious about how to build credit, without using a credit card. Here's Bankrate's guide. Find out more about Retail credit cards and Secured cards. And make sure to pay your bills on-time. Then, you'll be well on your way to building good credit. It's possible, but not impossible. It just takes time. But it is worth it.
Bankrate's guide to credit building without a credit card
Even if you don't want to apply for a card, you can still build a good credit history and build your credit score. Credit cards offer the most direct route to improving your financial situation. 40% of Americans have a credit score less than 700. This means you may not be eligible for new credit if your existing cards are exhausted.
Secured cards
Secured cards are a good way to build credit. You can use them to make regular monthly payments and increase your credit score. Secured credit cards report monthly credit bureau payments. Secured cards don't require an initial deposit. They work just like a standard credit card, with a revolving line of credit that replenishes as you make payments.
Retail credit cards
A store credit card can be a great option for those with poor or no credit. The cards are generally approved in minutes and can either be used at the store or online. Some store credit card are part of the payment network so you can use them at any retailer. You can rebuild your credit with store cards. They can also offer amazing rewards and benefits. However, before you apply for a credit card at a store, consider how you will use it.
On-time payments
While credit cards can be a great way to build credit, they are not the only option. While all credit card payments count towards your credit score, there are other ways to raise your credit score, as well. A great way to build credit is to be an authorized user for another person's card. Also, you can request that an alternate payment history (e.g rent, cell phone bills) be added to your credit report.
Get a credit limit raise
Most card issuers will pull your credit report when you request an increase in credit limit. However, not all do. This means that your credit score will not be affected by the request. You should be aware that a higher limit does have its benefits. However, you should also consider whether or not you can afford all the payments and repay your card fully each month. A higher credit limit can also negatively impact your credit score if you have to borrow money for large expenses or refinance debt.