No Credit? No Problem

No Credit? No Problem



A lot of attention goes to those burdened with poor credit, but what about the individuals who do not have credit to begin with? Often, those without credit are either students or new residents to the country. In both cases, it is common for the person to have established a tiny bit of credit without even realizing it. For instance, a student’s line of credit — co-signed or not — appears positively on any credit report.

If, however, your credit score is truly void of a history, there are a few steps you can take to quickly change this. In the first few months, it may help to also use alternative credit data as a way of establishing trust with banks and creditors. Without a credit report, lenders may see you as an incalculable risk, so using employment, residence, and other utility histories may help show that you can be trusted to make payments.

The very first thing you should do to build credit is open a bank account. Think of this as proof by association — you’re forming a relationship with a recognized entity in the financial world. To accelerate the process, consider opening a high interest savings account and apply for overdraft. Next, apply for a credit card. If the bank does not approve this request, you should still be able to acquire a secured loan. Auto loans and mortgages are commonly available as secured loans.

The auto-loan may be particularly beneficial to those without a credit history as it is a great way to gather points. When shopping around, however, it’s important to consider a multitude of factors. At Trillium Auto Group, we simplify this process so that you are on the road as quickly as possible. Not only do we guarantee your auto financing approval, but we only sell cars with factory warranties as well.  Trillium Auto Group places you on the path to a strong and healthy credit report, without the worry of unexpected maintenance costs along the way.

Remember, building a credit score from scratch takes time. Over the months, keep an eye on your report to ensure that you are on the right track because this is one of the most common faults — being unaware of damaging habits. It’s a long and arduous road to a healthy credit score, so travel comfortably with Trillium Auto Group.