Don’t think you are the only one dealing with bad or no credit history. They are many like you who are figuring their way out of these as these two situations make it difficult for the individual to get the desired card or a loan. They are stuck with getting credit cards for no credit which are not so beneficial, but as those cards are the only options, they have to work their way out using those cards.
No Credit History
No credit history means there’s nothing to show or report in your credit report at all. You have not taken a loan, or used a credit card before. It is a general situation. Many people don’t feel like borrowing money from the bank or use a credit card. That’s why this situation arises.
Here’s how you come out of No Credit History Situation
You can start small if you have no credit history. As discussed earlier, taking a credit card for no credit is one option you can choose. But, once you have that, make sure you do payments each month on time. If you are starting with a small loan with a cosigner who has a credit history, you need to handle it responsibly and pay your EMIs on time. Responsible actions will be responsible for building a good credit score. If you don’t do that, you will be stuck in Bad Credit History.
Bad Credit History
When you don’t pay your EMIs or credit balance on time, then bad credit is generated in your credit report. Now, you have to repair it. You may need to get high-interest credit cards that people usually buy to improve their credit score. It takes time. Once you start paying the balance on time, the credit report becomes better and better. Of course, you don’t have the luxury of the low-interest credit cards, that these are only temporary situations. Once your credit score is improved, you can switch to low-interest credit cards.
