Getting a first credit card without an established credit score
You can get a credit card without a credit score by using a secured card, becoming an authorized user on someone else's account, or opening a card designed for people building credit. Secured cards require a cash deposit that becomes your credit limit — typically $200 to $2,500 — and most issuers report your payments to the three credit bureaus, which starts building your score. Unsecured cards for no-credit applicants exist but are harder to find and often carry higher fees. The fastest route is usually a secured card from a bank where you already have a checking account, because they can verify your identity and banking history without a credit report.
The key difference between these routes is speed, cost, and what you need upfront. A secured card requires money but is entirely under your control. Becoming an authorized user is free but depends on someone else's credit behavior. Unsecured cards for new credit builders skip the deposit but charge higher annual fees. Your choice depends on what you have available and how quickly you want to move.
Key Takeaways
- Secured credit cards require a cash deposit held as collateral, which becomes your spending limit and helps you build credit from zero.
- Your monthly payments must be reported to Equifax, Experian, and TransUnion for the card to build your credit score — confirm this before you open the account.
- Becoming an authorized user on someone else's established account can build your credit without a deposit, but only if that account is in good standing.
- After 6 to 18 months of on-time payments, many secured cards convert to unsecured cards and return your deposit.
- Cards designed for no-credit applicants often charge annual fees of $25 to $95, so compare the total cost against a secured card at your bank.
How secured cards work and what they cost
A secured card works like this: you deposit money into a savings account held by the card issuer, and that deposit becomes your credit limit. If you deposit $500, you get a $500 limit. The card issuer holds the deposit as collateral — they keep it if you stop paying — but you own it and earn interest on it (usually a small amount, often under 1 percent annually). You use the card like any other credit card: make purchases, receive a bill, and pay it back each month.
The cost varies by issuer. Most secured cards charge an annual fee between $0 and $95. Some also charge process fees ($25 to $50), foreign transaction fees, or late payment fees. Banks like Capital One, Discover, and U.S. Bank offer secured cards with no annual fee or low fees. Credit unions sometimes offer secured cards to members at lower costs than national banks. Before you open an account, confirm that the issuer reports your payments to all three credit bureaus — Equifax, Experian, and TransUnion — because that is what builds your score. Some issuers report to only one or two bureaus, which slows your progress.
Becoming an authorized user on an existing account
If someone with established credit — a parent, spouse, or trusted family member — adds you to their credit card account as an authorized user, their payment history may appear on your credit report. This can build your score without you needing a deposit or your own account. The account holder remains responsible for all payments; you are straightforward linked to the account and may receive a card in your name.
This route works only if the primary account is in good standing. If the account has missed payments, high balances, or negative marks, those will appear on your credit report too. The benefit also depends on the card issuer — some report authorized user activity to all three bureaus, while others report to only one or two. Ask the account holder to contact their card issuer and confirm that authorized users are reported to Equifax, Experian, and TransUnion before you are added. If the account holder later closes the account or removes you, the history may stay on your report for up to seven years, but the benefit stops accruing.
Unsecured cards for people with no credit
A few card issuers offer unsecured cards to applicants with no credit history or a very thin file. These cards do not require a deposit, but they typically come with higher annual fees ($50 to $95), lower credit limits ($300 to $500), and sometimes higher interest rates. Examples include the Chime Credit Builder Visa and some cards from regional banks or credit unions.
The trade-off is cost versus convenience. An unsecured card saves you the upfront deposit, but the annual fee may be higher than a secured card's fee. If you have $500 to deposit, a secured card with no annual fee is usually cheaper over the first year. If you do not have $500 available, an unsecured card may be your only option — just read the fee schedule carefully and calculate the total cost before you open the account.
What happens after you open the account
Once your card arrives, use it for small, regular purchases — a subscription, groceries, or gas — and pay the full balance on time every month. Your goal is to show lenders that you can manage credit responsibly. Paying on time is the single most important factor in building your score; it accounts for about 35 percent of your score. Keeping your balance low relative to your limit (below 30 percent) accounts for another 30 percent.
After 6 to 18 months of on-time payments, many secured card issuers will convert your account to an unsecured card and return your deposit. This happens automatically for some issuers; others require you to request it. When your deposit is returned, you can either withdraw it or leave it in the savings account. At that point, your credit score should be high enough to open other cards or take on other forms of credit without a deposit.
Comparing secured cards: what to look for
When you are choosing between secured cards, compare these features: annual fee (aim for $0 to $25), interest rate (the APR, which you will pay only if you carry a balance), whether the issuer reports to all three bureaus, the minimum deposit amount, and the conversion timeline. A card with no annual fee and a $200 minimum deposit is usually better than one with a $95 annual fee and a $500 minimum, even if the second card offers a higher limit.
Check whether the issuer offers a path to conversion. Some cards convert automatically after a set number of on-time payments; others require you to request conversion or meet a credit score threshold. A card that converts after 6 months of on-time payments is faster than one that requires 18 months. Also check the interest rate you will be offered — secured cards typically have APRs between 18 and 24 percent, but some are lower. If you pay your balance in full each month, the APR does not matter, but it is good to know in case you carry a balance.
Building credit beyond the first card
Once you have a secured card and a few months of on-time payments, you can start building credit in other ways. Becoming an authorized user on a family member's card, taking out a small credit-builder loan from a credit union, or opening a store card (which often has lower approval standards) all add to your credit mix. Lenders like to see that you can handle different types of credit — revolving credit like cards, and installment credit like loans.
Do not open multiple cards at once. Each process triggers a hard inquiry, which temporarily lowers your score by a few points. Space applications out by at least three to six months. After 12 to 24 months of responsible credit use, your score should be high enough to open unsecured cards without a deposit, may have access to for better interest rates on loans, and access other credit products at standard terms.
Frequently Asked Questions
Can I get a credit card if I have never had credit before?
Yes. A secured card is the most common path. You deposit money, use the card, and pay on time each month. After 6 to 18 months, most issuers convert it to an unsecured card and return your deposit. Becoming an authorized user on someone else's account is faster but requires someone with good credit to add you.
What is the difference between a secured card and a prepaid card?
A secured card is a credit card backed by your deposit — you borrow against it and make monthly payments, which are reported to credit bureaus. A prepaid card is not a credit card; you load money onto it and spend it down, and it does not build credit. Only a secured card builds your credit score.
How long does it take to build a credit score with a secured card?
Most credit bureaus need at least one month of payment history to generate a score, but meaningful improvement takes three to six months. After six months of on-time payments, your score should be high enough to open other cards or take on other credit. Full conversion to an unsecured card typically happens after 12 to 18 months.
What if I cannot afford a deposit for a secured card?
Look for unsecured cards designed for no-credit applicants, though they usually charge higher annual fees. Some credit unions offer secured cards with lower minimum deposits ($100 to $300) than national banks. You can also ask a family member to add you as an authorized user, which builds credit without a deposit.
Will a secured card hurt my credit score?
No. The process triggers a hard inquiry, which lowers your score by a few points temporarily, but opening the account itself does not hurt you. On-time payments build your score over time. The only way a secured card hurts your score is if you miss payments or carry a high balance.