Credit Builder Credit Cards - What Are They?

 It's like a top-secret mission: building good credit requires credit builder credit cards, but how to apply for one remains a mystery to some. Applying for these cards is easy, especially for college students. 76% of students reported in a study conducted by the U.S. Public Interest Research Group that credit cards were marketed to them either on or near their college campus.

So for those looking to get bigger loans down the road, for a house, or a car, they will have to establish credit. The best way to do this is to knuckle under and apply for a credit card. Why?

Credit Builder Cards- Why?

Credit Builder Cards will help place information on a credit report so lenders will know how much of a risk a person is before deciding to extend credit. Yet about 15% of all applications are rejected for lack of credit. Those 15% will likely have to get a secured card; the remainder can get one unsecured.

Credit Is Easing!

Good news! According to Equifax, around 15 million new cards were issued between January and May of 2011. It's not impossible to get credit cards, and it's necessary if you want to establish good credit to make the big purchases later on in life.

It's actually pretty easy to get credit cards-to apply for a card; the following information will need to be furnished:

· Name, address, phone number

· Basic income information

· Social Security Number

· Signature or confirmation of agreement of application terms

That's about it.

Secured Credit Cards!

Sometimes secured cards are necessary to establish credit. With this type of card, it's necessary to put down a security deposit for IDcardbuilder.Net , because the credit card company wants a guarantee that they will be paid on time.

After a year of successful, on-time payments, people can typically get an unsecured card, allowing them to build good credit over time.

How To Apply!

It's pretty easy to apply for these cards. The Internet, your Social Security number, income information, and address and telephone number are all you need to apply (and with secured cards, a method of deposit, typically from a checking account). But, keeping good credit can be tricky, considering:

· U.S. card holders own approximately 1.5 billion credit cards. That means the average number of cards per person is 9. Avoid this; Really. Try to keep only two cards at a time. It's true that more than two will only increase debt and make it harder to maintain good credit.

· 1,950 billion dollars was charged to credit cards in 2006 alone. Hopefully they won't spend that all in one sitting! Seriously, though, avoid over-extending-that's a biggie.

Obtaining and knowing how to apply for these cards isn't a big secret; just be careful once you complete that online application for card. Pay on time, every time, and in full as often as possible. Credit cards are a chance to build good credit and demonstrate social responsibility, so that when it comes time to make those big purchases, it will be a lot easier.

I hold a college degree in Business Finance. I have also worked in the Financial Industry for 15 years. I want to use my knowledge and experience to help others find the right products for their needs.