How to build Credit as a Teenager

Having a strong credit score is very important when it comes to making large purchases that you may rely on a bank for. When you take a loan of any kind, one of the most important factors for whether you get the loan or not, and how fair the terms are, depends on your credit score. You may have heard that you can only build and have a credit score once you get a credit card, but that isn't the case.

For a teenager to start building credit, they can become an authorized user on a parent's credit card account. The teen can be added to an existing card, and they don't even need to use the card or have access to it. The card history will have a positive effect on the teen's credit account.

Rules to follow: All payments should be on time

Balances should stay low

Confirm the authorized users This will help a teen in the future without putting any spending responsibility on them. If you are a teen, consider asking your parents to do this for you!