Here is a tip I heard from a financial advisor. I have not tried this personally so I cannot guarantee the success, but it makes sense and seems worth trying!
First you will need to start off with $1000. If you do not have $1000 then borrow it. Borrow $200 each from 5 family members/friends if you need to.
Once you have the $1000 dollars, go to a bank or credit union and ask if they report their loans to credit agencies. If they do, deposit the $1000 into a savings account and request a $1000 loan.
Take the $1000 from that loan to the next bank and do the same thing.
Do this a total of three times.
You will then have three savings accounts with $1000 in each, three loans of $1000 each and finally $1000 in cash. Immediately go pay back whomever you borrowed the original $1000 from.
What did you accomplish? You now have 3 open accounts on credit.
Now you will begin making payments on each of them.
On the first month, withdraw $300 dollars from each savings account and apply it to each loan.
On the second month, withdraw $300 dollars from each savings account and apply it to each loan.
On the third month, withdraw the remainder and pay off loan.
You will need to make up the difference out of pocket for any interest owed. You can figure that it will probably be about $50 a month in interest for about two months for all three loans. Check with the bank or credit union to find out how much the interest is.
The next month you are reported to the credit agencies you will have a 850 credit score if you had no credit to begin with and if you had credit already you will see a substantial increase in your score.
Good Luck!
Comments(4)