How to Build Credit as a Non-US Citizen

A June 2019 survey of American households found there were 7.1 million "unbanked" citizens. This means that they don’t have an account with any bank or other financial institution. Experts predict this number will change in the future due to the COVID-19 pandemic.

Why are these statistics important? Because traditional credit scores and lending decisions expect this type of financial history. Thus, unbanked individuals and especially immigrants have trouble getting loans.

So, how can non-US citizens build credit? Keep reading to find out about alternative methods for building credit in America.

How to Build Credit as an Immigrant

When people move to American, their credit history doesn’t transfer. This makes it hard to get what you need to work and live here. For example, immigrants often need to rent or buy an apartment or house.

Most people need a car and wish to get credit cards to buy goods and services. Unfortunately, the system requires you to show a credit history to get loans and credit cards.

The Financial Brand reports that those without bank accounts often use alternative financial services. Examples include paycheck advance, check cashing services, pawnshop loans, and auto title loans.

You can give lenders reports showing you meet financial obligations using other services. This highlights that a low traditional credit score isn’t the whole story.

How to Build Credit Using Connect

To start building a positive credit rating, pay your monthly bills in full and on time. This shows you’re financially responsible and trustworthy.

The Equal Credit Opportunity Act (ECOA) mandates that lenders consider alternative credit data. This law prohibits businesses from denying service to those without traditional credit reports.

Connect creates alternative credit scores that are accepted by over 8,500 businesses. This includes car dealerships and electronic, furniture, and appliance stores.

Instead of using the 350 to 850 credit scale, Connect uses a 100 to 850 scale. A score above 750 means you’re financially responsible.

Even though Connect uses an alternative credit score method, lenders accept it. Often, this is the best way to build credit fast and buy items you need.

You’re allowed to request as many Connect reports as you wish at no charge. Connect offers tools such as bill reminders to help develop your financial profile.

This service links to your utility, internet, bank, and other financial-related accounts. This allows them to create a real-time alternative credit score.

The Connect data center collects, stores, and analyzes your bill payment information. It meets the Payment Card Industry Data Security Standard 3.0. This means that they follow the current PCI Security Standards Council protocols.

Their facility is monitored 24/7/365. Thus, you can feel confident that your information remains secure. 

Do You Need a Way to Build Credit Using a Non-Traditional Method

Many people, including non-US citizens, face great obstacles when trying to build credit. Microbilt’s Connect has helped millions of people demonstrate creditworthiness. We help you build a report using alternative credit sources.

Begin by creating a free membership with secure links to your accounts. You’ll immediately get your Connect credit score. Contact us today to ask questions and learn about our services.

Want to learn more?