Secured Credit Card
One of the best ways to build credit is to get a secured credit card. Often people with little or no credit cannot get credit cards that are unsecured. You need to pay a certain amount of money as a security in order to get the card. Use it carefully and do not consider it to be your license to become a shopaholic.
Pay Bills on Time
The payment may not be reported to credit unions in most cases but non-payment certainly is reported. It is important that you do not miss any of these bill deadlines. It will also save you from penalties that are placed when you do not pay bills on time.
Buy a New Car
This is the craziest yet the fastest way of building your credit. When you do not have a long credit history, car dealerships generally like to rip you off. If you buy a new car, go for one that costs under $20,000. Let the dealership charge whatever annual percentage rate they want to charge , be it even touching double figures in a day and age where 5% is considered a touch high.
The catch is to get it approved for financing through a first chance lender. Doing so will help you boost your credit score to great heights within next six to eight months and you can then trade in the car and buy a new one on our own terms. If you are not getting financed by a first chance lender, it is not a good deal for you.