How Can I Start Building My Credit?
How Can I Start Building My Credit?
If you ask yourself how I can start building my credit, you're not alone. Many people don’t know where to begin — mainly if they’ve never used a credit card or taken out a loan. The good news is that there are more beginner-friendly ways to build credit than ever. Whether you're just turning 18, recently moved to the U.S., or want to get your finances on track, there are safe and simple steps to start building a strong credit history today.
Starting your credit journey early matters. A good credit score can help you rent an apartment, get approved for a car loan, and even land certain jobs. So let’s explore some trending and proven ways to build credit in 2025, and break down how to get going confidently — no matter where you’re starting from.
Why Building Credit Early Matters
A credit score isn’t just a number — it reflects how well you manage borrowed money. Lenders, landlords, and even phone companies check your score before offering services. That’s why learning how to start building credit should be on your radar sooner rather than later.
The key is understanding how credit works. Most scores are based on payment history, credit mix, and the length of your credit history. Even if you’re starting from zero, you can create a positive record by showing responsible habits from day one.
Opening a Credit File Without a Credit Card
While a secured credit card is a traditional option, not everyone is comfortable depositing or dealing with fees. In fact, many people are now choosing to avoid credit cards entirely at the start. If you’ve asked yourself, “How can I start building my credit without a card?” — you’re not alone.
In 2025, alternative tools are more accessible than ever. Credit-building services that don’t rely on revolving debt or upfront deposits are trending, especially among younger adults and recent immigrants.
For example, products like rent-reporting services and installment-style credit builder loans are now popular ways to establish credit without traditional borrowing. These tools report your consistent payments to credit bureaus, which helps you build a solid score over time.
Using a Credit Builder Loan
A credit builder loan is one of the easiest ways to begin your credit journey. Instead of giving you money upfront, these loans are designed to help you save while building credit. You make monthly payments, and those are reported to the credit bureaus.
Cheers Credit Builder is a standout option. It’s fast, transparent, and available to anyone — no credit check required. When you sign up, you choose a plan that fits your budget, and your payments are held in an FDIC-insured account. As you repay the loan, Cheers reports your payment activity to all three major credit bureaus, helping to establish your credit history quickly.
Unlike other services, Cheers starts reporting your payments the next business day after signup. That means your journey toward better credit begins almost immediately.
Reporting Non-Traditional Payments
Another trend in credit building is reporting everyday bills. Now, services let you add rent, phone, or utility payments to your credit report. While not all bureaus treat this data equally, it can still help you build a foundation — especially if you’re already paying these bills on time.
According to Experian, rent reporting can have a meaningful impact for those with little to no credit history. It won’t replace other forms of credit, but it can be a smart move when paired with tools like Cheers.
Monitoring Progress as You Build
Once you start building, keep an eye on your score. Use free tools like Credit Karma or your bank’s app to track changes and make sure your payments are being reported correctly. Checking your credit score regularly won’t hurt it — and it helps you stay in control.
Also, remember that payment history makes up the largest part of your credit score. That’s why services like Cheers, which report monthly on-time payments, can give your score the steady lift it needs over time.
Starting Your Credit Journey with Cheers
If you're wondering how you can start building your credit, the answer doesn't have to be complicated. With Cheers, you're not just borrowing — you're saving. There are no setup or membership fees. You choose your loan size and timeline, and only pay a simple 1% monthly APR. The entire process is quick, and it’s designed with beginners in mind.
Whether you're new to the U.S., just entering adulthood, or repairing your financial history, Cheers makes it possible to build credit without relying on credit cards. You can sign up in under 3 minutes and start seeing progress fast.
Learn more about how Cheers Credit Builder works.
References:
- Experian: Does Renting an Apartment Build Credit?
https://www.experian.com/blogs/ask-experian/does-renting-an-apartment-build-credit/
