You can get a credit card without an existing credit history by using a secured card, becoming an authorized user, or explore with a co-signer
A credit card company needs some way to predict whether you will pay them back. If you have never borrowed money before, you have no payment history for them to check. The three most common paths around this are a secured credit card (you put down cash as collateral), becoming an authorized user on someone else's account (you borrow their history), or finding a co-signer (someone else promises to pay if you don't). Each one works differently and costs you different things.
The easiest route depends on your situation. If you have cash saved, a secured card is usually fastest and requires no one else's involvement. If you have a family member or partner with good credit, becoming an authorized user can work within days. A co-signer card is less common but exists if the other two are not open to you.
Key Takeaways
- A secured credit card requires you to deposit cash (usually $200 to $2,500) that the card company holds as collateral, and you then charge against a credit limit equal to or slightly higher than your deposit.
- Becoming an authorized user on someone else's account puts their payment history on your credit report, which can raise your score within 30 to 45 days if their account is in good standing.
- A co-signer card requires another person to legally promise they will pay your balance if you do not, and it appears on both your credit report and theirs.
- Secured cards typically charge an annual fee ($0 to $95) and a higher interest rate than unsecured cards, but after 6 to 18 months of on-time payments, many issuers will convert it to a regular card and return your deposit.
- Your first card is a tool to build credit history, not to borrow large amounts — using 10 to 30 percent of your limit and paying in full each month is the fastest way to improve your score.
Secured credit cards: putting down cash to borrow against
A secured card works like this: you open a savings account with the card issuer, deposit money (your security deposit), and receive a credit card with a limit equal to that deposit. You then use the card like any other card — charge purchases, receive a bill, and pay it. The deposit sits untouched in the background. If you stop paying your bill, the card company can take money from the deposit to cover what you owe.
The deposit is not a fee — you get it back. But you do pay an annual fee (ranging from $0 to $95 depending on the issuer) and an interest rate that is usually higher than a regular card. Capital One Secured Mastercard, Discover It Secured, and the Chime Credit Builder Visa are examples of cards that work this way. Deposit amounts typically start at $200 and go up to $2,500.
The real value of a secured card is that it reports to all three credit bureaus (Equifax, Experian, and TransUnion). Every on-time payment you make gets recorded on your credit report. After 6 to 18 months of consistent, on-time payments, many issuers will automatically convert your card to a regular unsecured card, return your deposit, and lower your interest rate. At that point you have built credit history and can move to a standard card if you want.
Becoming an authorized user: borrowing someone else's credit history
When you become an authorized user on someone else's credit card account, that account's entire history gets added to your credit report. If the account holder has made on-time payments for years and keeps their balance low, their good history becomes part of your history too. This can raise your credit score by 50 to 100 points within 30 to 45 days, depending on how strong their account is.
You do not need to use the card or even receive a physical card in the mail. Some account holders add you to their account and never give you access to it — you just benefit from the history. Others issue you a card so you can make purchases, which you then pay them back for. The arrangement is entirely between you and the account holder.
The risk is that if the account holder misses a payment or runs up a high balance, that damage appears on your credit report too. You have no control over their behavior once you are added. Also, if you later want to remove yourself from the account, the history may stay on your report or may drop off depending on the credit bureau and the card issuer — there is no single rule.
This route works best if you have a family member or partner with a card in good standing who is willing to add you. It requires no money from you and no formal process — the account holder straightforward calls the card company or logs into their account and requests to add you.
Co-signer cards: sharing responsibility with another person
A co-signer card is a regular credit card that requires a second person to sign the process and legally agree to pay your balance if you do not. The card appears on both your credit report and the co-signer's credit report. Both of you are responsible for the full balance.
Co-signer cards are less common than they used to be. Most major issuers (Chase, Bank of America, Capital One) have moved away from them in favor of secured cards. However, some smaller banks and credit unions still offer them. If you have a family member or partner with good credit who is willing to take on the risk, this can be a path forward.
The downside is that the co-signer is legally liable for your debt. If you miss payments, it damages their credit score, not just yours. And if you default, the card company can pursue the co-signer for the full amount. This is a significant commitment for the other person, which is why many people are reluctant to do it.
What happens after you get your first card
Getting the card is the first step. Building credit with it is the second. The fastest way to build credit is to use your card for small, regular purchases and pay the full balance every month. Aim to use 10 to 30 percent of your credit limit — so if your limit is $500, charge $50 to $150 per month. This shows the credit bureaus that you can handle credit responsibly without maxing out.
Set up automatic payments so you never miss a due date. A single missed payment can drop your score by 100 points or more and will stay on your report for seven years. On-time payments are the single most important factor in your credit score, accounting for 35 percent of it.
After 6 to 12 months of on-time payments, you may become may be able to access for a second card or a credit limit increase. Do not rush to get multiple cards at once — each process triggers a hard inquiry on your credit report, which can temporarily lower your score. Space applications out by at least three to six months.
Comparing your three options side by side
Each path has different costs and timelines. The table below shows what to expect from each option so you can decide which fits your situation.
| Option | Money Required | Time to Approval | Annual Fee | Interest Rate | Credit Building Speed |
|---|---|---|---|---|---|
| Secured Card | $200–$2,500 deposit | 5–10 business days | $0–$95 | Higher (18–25%) | Moderate (6–18 months to conversion) |
| Authorized User | $0 | 1–3 days | $0 | N/A (you don't charge) | Fast (30–45 days if account is strong) |
| Co-Signer Card | $0 | 5–10 business days | Varies | Varies | Moderate (similar to regular card) |
If you have cash on hand and want to build credit on your own timeline, a secured card is the most straightforward choice. If you have a trusted family member with good credit, becoming an authorized user is the fastest way to see your score rise. A co-signer card is worth considering only if the other two options are not available to you.
Frequently Asked Questions
Will getting a secured card hurt my credit score?
The process itself triggers a hard inquiry, which can lower your score by a few points for a few months. But once you start making on-time payments, your score will begin to recover and then climb. The long-term benefit of building payment history outweighs the short-term dip.
Can I use a secured card and become an authorized user at the same time?
Yes. Many people do both — they open a secured card to build their own payment history and get added as an authorized user on a family member's account to benefit from their history. This can speed up credit building, though it is not necessary.
What if the person making me an authorized user removes me later?
The account will stop appearing on your credit report going forward, but the history you built while you were on the account usually stays. The exact timing depends on the credit bureau, but generally the account remains visible for several months after removal.
Do I have to pay interest on a secured card if I pay my balance in full?
No. If you pay your full balance by the due date, you pay no interest, just like a regular card. You only pay interest on the portion of the balance you carry over to the next month.
How long does it take to move from a secured card to a regular card?
Most issuers convert secured cards to unsecured cards after 6 to 18 months of on-time payments. Some do it faster if your credit score improves significantly. Check your card issuer's specific policy, as it varies.