Money that can be used to buy anything we want, but don’t have, feel, or count in our hands. Money that can both save our lives and destroy them. Money is a necessity and our whole life revolves around it, from figuring out how to earn it to how to spend it and our efforts to save it for a better future.

The modern concept of money does not imply its physical presence, but rather it comes in the form of a card, a magical card that can instantly make wishes come true. The credit card has revolutionized money, transcending physical borders and opening many new paths. There are cases in which the only thing we need is our credit card and the perspective of carrying money has changed drastically.

Who are people with no credit history?

Credit history is associated with everyone who has used a credit card for any purchase. People with no credit history are mostly students and new immigrants to a country, who have never taken out loans. In the case of card applications, a person with a bad credit history has a better chance of obtaining a credit card than a person with no credit history. However, there are ways to get a credit card with no credit history.

People who want to apply for credit cards without any history can choose from some of the following options, which can significantly improve their chances of getting those elusive cards.

• Student card: most major banks and financial institutions offer exclusive student cards aimed at the student community. These cards do not require the applicant to have a previous credit history and can be obtained if the person meets certain criteria. Having a job can make it easier to get approved for the card and banks prefer to give this card to those who have a source of income.
• Pre-qualification test: Certain banks allow people with no credit history to take a pre-qualification test online. This test lets them know if they can get an approved card and the reasons why the card was denied, if it is. This information could help you better prepare the next time you apply for a card.
• Store Credit Card: Certain nations have the concept of store credit cards, which are easier to obtain and do not require any credit history. These cards have a low credit limit and high interest rates and usually have cards that are not approved by Visa or MasterCard.
• Prepaid cards: People with no credit history but disposable income can apply for prepaid cards. These cards are just as good as regular credit cards, but the maximum credit limit is limited to the prepaid amount. There is no fear of exceeding credit limits or late fees with these cards.
• Jointly signed cards: Banks offer jointly signed cards for people with no credit history. These cards require someone with decent credit to co-sign for you, and your financial backing increases your chances of approval. Co-signed cards can be a smart move if you have someone you trust and is willing to sign on your behalf, but they also allow the co-signer to see your financial transactions.
• Secured Credit Card – Secured cards are similar to regular credit cards in most ways, except that a security deposit is required to qualify for a credit limit. People with no credit history can choose this card if they have adequate security deposits with them, which will essentially guarantee the credit card.

Applying for credit cards without any history can be a tedious and lengthy business, but remember that applying with each and every bank is not a smart thing to do. Rejection is part of this process and one must be smart enough to choose the alternative cards mentioned above in case of rejection. Getting approved for any of these cards is likely good enough to get a person’s credit history, making it easier for them to get better credit options in the future.