How to Build Credit Without a Credit Card

And how the Credit Builder Card could help 💡

Broken credit card

Ok so, we’re guessing you’re here because your credit score isn’t where you want it to be.

Firstly, hey 👋

Thanks for stopping by 💙

All you need to do is stick around and we’ll share a few tips on how you could improve your score without taking out credit cards that usually come with ridiculous interest rates.

We’re not here for that.

Gif of Jimmy fallon waving
Via Giphy

Why is building credit important?

Building good credit is important for financial stability and achieving long-term financial goals.

Here’s a few reasons why:

🏦 Loans: Having good credit makes it easier to obtain loans, such as a car loan or mortgage, at a lower interest rate.
🏠 Rent: Landlords can often check your credit score before renting to you. A good credit score can make it easier for you to rent an apartment or house.
🚘 Insurance: Many insurance companies consider credit scores when setting rates. A good credit score can help you get lower rates on auto, homeowners, and other types of insurance.

What is a good credit score?

Your credit score is a number that measures how good you are at borrowing money, or how likely you are to pay back your ✨ debts ✨ on time.

Before a lender can agree to give you money for a house or a car, they’ll want to know things like whether you can pay your bills back, and whether you’ve previously missed any payments.

Credit scores with different bureaus can vary. But let’s use Experian as an example.

Experian says a credit score usually ranges between 300 and 850. And a good credit score is considered to be between 670 and 739 on the Fico Score range.

Ok, enough of the boring stuff. Time to wake up because we’re moving over to the fun part. Here’s how you can build credit without interest rates vacuuming up your cash…

Create a budget

So, why is budgeting important?

It’s important because it helps ensure you’ve got enough money to cover your bills.

And what does this have to do with building credit?

Because creditors may penalize you if your payments are late, which could then go against your credit score.

If you set a budget, you’re more likely to:‍

Have control over your spending
Get yourself on track so you can work towards your financial goals
Stop feeling financially overwhelmed
Avoid debt
Have backup funds for an emergency
Save money

Create a free budget with Cleo. All you need to do is enter your bills and monthly income, and she’ll keep you on track with regular reminders and updates.

Love her.

And if you want to shop around first, here’s a list of The Best Budgeting Apps for 2023.

Become an authorized user

In simple terms, an authorized user is an additional cardholder on someone else’s credit card. But unlike the cardholder, the authorized user has no liability to pay back any of the credit card – this is the responsibility of the primary cardholder.

Thanks Mom and Dad.

Seriously though, if used properly, it could work wonders for your credit score.‍

✅ Pros: if the cardholder makes the payments on time, it’ll have a positive impact on the authorized user’s credit score
❌ Cons: if the cardholder doesn’t make the payments in time, it’ll have a negative impact on the authorized user’s credit score‍

A Business Insider success story explains how 26 year old girl who didn’t even think she had a credit score (due to not having any credit cards or student loans), actually had a score of over 800 as her mom added her as an authorized user on her credit card when she was just 16.


The Credit Builder Card*

As always, we’ve saved the exciting part till last.

Everyone deserves a chance at working on their credit, so that’s why the Credit Builder Card was made. It’s completely focused on helping you improve your score.

Future you is gonna LOVE present you for this.

And unlike traditional cards, Cleo has your back meaning you’ll never be charged any of that dumb interest.

Why should I be interested?

Building credit can be tricky but Cleo’s kept it super simple:‍

💙 The amount you add to your security deposit becomes your credit limit
💙 It can help build your credit and help you to improve your score
💙 $1 minimum deposit
💙 No interest
💙 No credit checks

⬆️ Cool, how can it help build my credit?

Cleo reports your payment history to the credit bureaus and over time, on-time payments may help your credit score.

If you select the ‘carefree credit building’ option, Cleo will automatically take your payment so you never have to worry about missing a payment.‍


Sound like something your credit needs? Check out How to Build Credit History with the Credit Builder Card for more tips

You’re not going to see sudden changes overnight but by adopting good credit habits now, it could help you save thousands in the future.

Enjoy this post? Give it a share or send it along to a friend. You never know, it could make a big difference.
Big love. Cleo 💙

*The Credit Builder Card is issued by WebBank, Member FDIC pursuant to a license from Visa USA Inc. Access to the Card is subject to approval

Still have questions? Find answers below.
Written by

Read more

Illustration of hands holding credit cards
Build Your Credit

Let's talk about your credit

Probably not the words you want to read at the moment. That’s because the big old system your credit currently falls under is pretty important, and pretty unfair. Either that or you have no clue why you should even care about your credit score so this seemed boring. Let’s tackle both.


signing up takes
2 minutes

QR code to download cleo app
Talking to Cleo and seeing a breakdown of your money.