Credit Building Products

Here are two credit building products to consider in 2018:

Secured credit cards – This can be a way to build a positive credit history. But because credit limits tend to be low with these cards, be sure to watch your credit utilization rate (keep it below 30% of available credit) and don't get too close to the full limit.

Credit builder loans – Visit a bank or credit union to find out about these products. With some credit builder loans, you make monthly payments first, and receive the loan amount when it is paid off. This helps you avoid taking on debt while you build a positive payment record. These loans can be very effective in creating new history and can have a positive impact on your reports and scores.

Some non-profit organizations provide access to secured cards or credit builder loans. Be sure to ask about the terms, just like you would ask a bank or credit union for details about its products.

Happy 2018! from Project THRIVE!!