If you’re new to the world of credit, then you probably know it isn’t easy to establish good credit. Getting lenders to trust you can be a challenge as they want proof that you’re trustworthy. It’s really a catch-22 because how can you prove that you’re trustworthy if you’ve never had a chance to show it.

In part 1 of “How to Build Credit When You’re Just Starting Out”, you’ll see really great strategies for pulling points in your favor.

#1 – Become an Authorized User:  If you can piggyback off of someone else with good credit, then do it. Becoming an authorized user means you will ask a friend or family member with good credit to allow you to become an authorized user on their credit card. Tell them that you don’t want a card of your own. You only want your name on the account. Depending on the company this might help add some history to your report.   

#2 – Get a Co-Signer: A co-signer is someone who agrees to go on a loan with you in order help you get approved. You will have to be responsible with this because if you default on payments, they become responsible. That’s the opposite of what you want to do.

#3 – Get a Secured Card:  Many lenders offer consumers credit cards in exchange for a deposit. So, this is another great option for when you’re just starting out.  

These three tips will help to add favorable history to your credit report. Check out part two for more credit history building strategies.