ESTABLISHING CREDIT

• Stability counts! Establish stable residence and work history by living at the same address and working for the same employer for at least one year before applying for credit.
• Open a checking and savings account at a financial institution. Concentrate on handling them well for at least one full year.
• Apply for a small loan, using your savings as collateral. Make regular, orderly payments in a timely manner.
• Maintain good pay history on utility bills. Some creditors will consider your pay history on utilities when making credit granting decisions, if you have no other credit history.
• If you have no existing credit history, ask a creditworthy friend or relative to co-sign a loan for you. Remember, your record of payments is reflected on your co-signer’s credit history.