August 7, 2009
Posted: 09:53 AM ET
You have a problem they refer to in the credit reporting industry as a thin file.
It seems every year, we're just around the corner from where payments for rent are going to count in a credit score. And that corner keeps moving away.
So the only smart way for you to establish credit is to get a secured card. With a secured card, you put up a deposit and then your charge limit is based on how much you have in that account. If you pay on time every month, you'll help establish credit.
And with a good secured card, after 18 monthly on-time payments, they will convert you to a regular card.
And then you're going to see that score go from just sitting at 610 to steadily higher - probably, with good on-time payments, into the upper 600s or low 700s.
From around the web
Clark Howard helps you become a wise consumer. We know you're busy, and that's why Clark's tips are quick and effective. He'll arm you with the information you need to make smart choices. During these tough economic times, Clark wants to help you save more, spend less and avoid getting ripped off!