If you are freshly out of college or just starting out in the work force, you very likely have no credit history. Many have been there before, finding out that their apartment application or credit card application have been denied because a lack of credit history. And it can feel like a catch-22. We are told that to build our credit history, we should use a credit card or take out a loan. But to get a loan or credit card you need a credit history in the first place!

It can certainly feel confusing and overwhelming at times. But fear not. There are safe, effective ways to build your credit history without roaming into the precarious territory of high interest rate loans and credit cards.

First, try to get a credit card through your bank. Banks don’t require credit histories because they have your banking history. They can assess your risk outside your credit history and determine you to be a safe bet. Further, banks can use the funds in your account as collateral should you fail to be pay on time or at all. This gives them an extra layer or protection and makes them feel comfortable with providing you a card.

Second, try getting a store credit card at a shop you go to often. Store credit cards are typically lenient in their lending as their goal is to create repeat customers. You often will get a sign on bonus and you can build you credit while shopping for your favorite things!

Third, sign up for a no credit history credit card. These cards often require you to place collateral equal to your credit line and are designed specifically for building your credit history.