Tuesday, July 14, 2009

Credit Card Catch 22

I got another credit card application rejection letter today.  It's gotten to the point that the only marks on my credit report are all the credit checks from applying.  The really sad thing is that I'm not going after the low interest cards with amazing rewards; I would be thrilled to be accepted for one of those cards that are designed for people with a limited credit history.  Alas, I am un-credit card-able.

Just a few months ago I was bombarded with credit card offers in the mail, as a student with no income I was constantly getting these envelopes practically shouting "PRE-APPROVED."  Now... well, I have a job so I could actually afford to pay my balance and I have a piece of paper that means I'm educated enough to know that credit cards are not to be used as a way to live beyond my means.  Unfortunately, both of these things mean nothing.  I have no credit, so I'm considered risky to the lender, but in order to build my credit score I'd need a credit card.  

Store cards are all I can get, but unfortunately they aren't doing much to help my case.  I have a few, but rarely use them because I really don't need to go to the mall all the time just so I can maybe one day get a Visa logo on my card.  

After doing some research these are my options I've found:

1) Apply for a pre-paid credit card, which basically amounts to me lending the bank or whoever the money I would like to spend.  I put down $500, I get a $500 credit limit and not a penny more.

2) Apply for a gas card, supposedly these are easier to get

3) Wait it out, keep working and paying off my loan and hope the credit gods smile on me


Any suggestions?  I feel like singing the songs from those freecreditreport.com commercials...

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