How Can a Woman Build a Good Credit History?

Women need to build and manage their own credit histories in order to have better financial options when it comes to borrowing money or financing large purchases. Often, women assume that their credit history is combined with their spouse's credit history. However, that is not the case. Each individual has his own credit history and credit score.

Credit Report Basics

Your credit report is attached to your Social Security number. Your report should list your correct name, past addresses and current address. If you have changed your name due to marriage or divorce, you can elect either to keep all of your credit in your birth/maiden name or to switch credit to your new name. It is best to be consistent with one name on all of your credit accounts.

Joint Credit

If you share most of your credit with a spouse, make sure that you are listed as a joint account holder and not just an authorized user on all accounts in good standing. As a joint account holder you share ownership in the account and will build a credit history based on those joint accounts.

Use Credit Responsibly

You must have credit in order to build a credit history. You can start off with a secured credit card, which allows you to deposit your own money into an account which can then be borrowed against to make purchases using a credit card. You can also apply for department store credit cards, which are easier to obtain than major credit cards. Make sure to open new accounts gradually. because having too much credit all of a sudden will negatively impact your credit score. Limit yourself to just two or three credit cards.

Manage and Monitor Your Credit

Make sure to pay all credit payments on time. Set up automatic payments to make sure that payments are never overdue. Also, always keep credit cards balances below 50 percent of the available credit. You should review your credit report annually at the Annual Credit Report website recommended by the Federal Trade Commission. Correct mistakes online or by writing to individual credit-reporting agencies.