Money that can be used to buy what we want, but that we do not have, feel, or count in our hands. Money that can save our lives and destroy them. Money is a necessity and our entire life revolves around it, from discovering the means 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 multiple new avenues. There are cases where the only item we need is our credit card and the perspective of carrying money has changed dramatically.

Who are the people with no credit history?

The 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 applied for 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 without a credit history. However, there are ways to get a credit card without a credit history.

People who wish to apply for credit cards without any history can choose from some of the options below, which can significantly improve their chances of obtaining such elusive cards.

• Student card: Most of the major banks and financial institutions offer exclusive student cards intended for the student community. These cards do not require the applicant to have a prior credit history and can be obtained if the person meets certain criteria. Having a job can make card approval easier, and banks prefer to give this card to those with a source of income.

• Prequalification test: Some banks allow people with no credit history to take a prequalification test online. This test lets them know if they can get a card approved and the reasons the card was declined, if declined. This information could help you prepare better the next time you apply for a card.

• Store Credit Card – Some nations have the concept of store credit cards, which are easier to obtain and do not need any credit history. These cards have a low credit limit and high interest rates and generally have cards that are not approved by Visa or MasterCard.

• Prepaid cards: People with no credit history but with disposable income can apply for prepaid cards. These cards are as good as normal credit cards, but the credit limit is limited to the prepaid amount. There is no fear of exceeding credit limits or late fees with these cards.

• Co-signed cards: Banks offer co-signed cards for people with no credit history. These cards require someone with decent credit to sign them for you, and your financial backing increases your chances of approval. Co-signed cards can be a smart move if you have someone who trusts you and is willing to sign on your behalf, but they also allow the co-signer to view your financial transactions.

• Secured Credit Card – Secured cards are similar to regular credit cards in most respects, 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 for them.

Applying for credit cards without any history can be a tedious and lengthy affair, but you have to remember that applying for a credit card at all banks is not a smart move. Rejection is part of this process and one must be smart enough to choose the alternate cards mentioned above in case of rejection. Getting approved for any of these cards is probably good enough for a person to have a good credit history, making it easier for them to get better credit options in the future.