How to Start Building Credit From Zero

If you’re new to the U.S., one of your first financial hurdles is credit. With no history, things like renting an apartment, signing up for a phone plan, or applying for a credit card can feel impossible.

The good news? You can start from zero – and it doesn’t have to take forever. Here are the most common (and effective) ways internationals start building credit in the U.S.

1. Start safe: get a secured credit card

A secured card works just like a normal credit card, but with one difference: you put down a deposit (say $200–$500). That deposit becomes your credit limit. This allows you to test the credit waters instead of diving in head first. 

You use it for everyday expenses like a regular credit card, pay it off on time, and build trust with the bank. After 6–12 months, many banks will upgrade you to a regular (unsecured) card.

💡 Pro tip: Don’t spend anywhere near your full limit. Less than 10% is ideal, but don’t go over 30%. Think of it like dessert – a little is fine, the whole cake is trouble.

2. Skip the deposit? Try an unsecured card

You can skip the secured credit card option altogether. Some companies are willing to take a chance on newbies with small-limit credit cards.

Personally, I didn’t love the idea of tying up $500 as a deposit, so I asked a friend with a credit card for a referral. It worked – I got approved for a $500 limit. Not much, but my money was in my pocket, not locked up somewhere for months.

No worries if you don’t get approved for one, a secured card is still a solid first step.

3. Lean on a friend: become an authorized user

If you have a trusted friend, relative, or spouse with good credit, ask if they’ll add you as an authorized user. 

You don’t even need to use their card — just being on the account can help build your history. But be careful: their payment habits affect your record too. If they pay late, it hurts you as well.

4. Try a credit-builder loan

Some banks and credit unions offer small loans designed to help people with no history build credit.

Here’s how it works:

1. You “borrow” a small amount (say $300–$1,000).
2. Instead of getting the money right away, it’s held in a savings account.
3. You make small monthly payments.
4. Once it’s fully paid, you get the money and a positive credit history.

It’s like paying yourself back and being rewarded for it.

5. Pay bills in your name (when possible)

Utilities, phone bills, or even rent sometimes get reported to credit bureaus. Not always, but when they do, it helps to have them in your name and to pay on time.

That said, don’t rely on this as your main credit-building plan. Use it as a bonus. Services like Experian Boost can also add rent and utility payments to your credit report. 

6. Always, always pay on time

The single biggest factor in your credit score is payment history. After implementing one of the credit building options, it is important that you make your payments on time. Even one missed payment can hurt your record for years.

Make a plan to not miss payments. Set up automatic payments for at least the minimum amount due if you have to. I find paying weekly keeps me on track. Whatever system works for you, the rule is simple: never miss a payment – that would crash, not build your credit. 

Key Takeaway

When you’re brand new in the U.S., building credit can feel like a chicken-and-egg problem: you need credit to get credit. But by starting with a card (secured or unsecured), leaning on a trusted friend, or trying a credit-builder loan, you can break into the system.

Remember: it’s not about how fast you build credit, it’s about building it responsibly. Consistency is the real superpower.

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