Getting a loan or credit card in the United States is not so easy if you are not a resident of the country.
Loans in the United States are used by everyone, almost everyone has a credit card. Many international students take out a cash advance Texas for their studies. Some universities, such as Massachusetts Institute of Technology, already help foreign students get a loan in the United States. However, you will have to face difficulties before you can get a loan in the United States.
Everyone can get a loan in this country, but you will have to collect several documents and choose the right lender.
Your credit history shows how you paid off loans and borrowings in the past. According to the credit history, bank employees assess how risky it is to give you a loan, and the amount of the loan depends on the history either. In America, there are three large credit organizations that collect the entire credit history: Equifax, Experian, and TransUnion.
The problem is that foreign students and immigrants had their entire credit history in another country, and this information is not available to the US.
According to the credit history in America, you are evaluated not only by banks but also by the house management councils when you want to rent a house in the United States. Employers check your credit history to see if you can be trusted. In addition, insurance companies check your credit history.
Even if you do not plan to stay in America after graduation, it is important to build a credit history. Recently, banks offer special loans for international students, and credit cards can be issued from another country and picked up on arrival.
How to build a credit history
In order for you to have a credit history, you need to get a credit card at an American bank. Immigrants and international students often apply for a secured credit card — this is a card to which you must make a deposit in case of non-payment. To issue such a card, the bank needs basic information about you:
- The address of permanent residence;
- ID, taxpayer identification number or Social Security Number. To get a debit or credit card in the United States, you do not necessarily need an SSN, but it is easy to make an individual taxpayer number;
Alternatives to credit cards
If you find it difficult to get a credit card in the US, there are other ways:
- Use a credit card from your home country. There may be problems with the exchange, but if you rarely use a credit card, this is not a bad option;
- Get a card in an international bank;
- Use a debit card;
- Apply for an immigrant credit card, you can do it online. Deserve offers credit cards for international students;
- Use a co-signer. If you have a relative or close friend in the United States, they can act as a guarantor for your credit card.