In today’s modern world, getting a credit card can be very beneficial. Getting a credit card and properly maintaining it can be one of the best financial decisions that you can make. Credit cards offer you security, convenience, and various financial opportunities. However, if you don’t have a Social Security Number (SSN), obtaining a credit can be a daunting challenge. For a long time, a SSN has been a standard requirement for banks since it is an easy identification method and a way to determine your creditworthiness. For people that don’t qualify to receive a SSN, like undocumented immigrants and some international students, getting a credit card can be a tough task. The good news is that getting a credit card without SSN is possible in 2023, and even getting a credit card for international students is possible.
Contents
In this article, we will understand why banks care about SSN, will learn more about credit cards, and will explore alternative methods for getting a credit card without SSN. Before discovering how to get a credit card without SSN in 2023, let’s understand why credit cards are important in the first place.
Benefits of Obtaining a Credit Card
Getting a credit card is an important financial decision that can have numerous benefits. You may often hear people say that getting a credit card is a bad idea for your finances, but the truth is if you use your credit card responsibly, it can help you reach your goals towards financial freedom and improve your financial position. Along the way of using your credit card responsibly, you will be able to take advantage of the perks that come with getting a credit card, even if you are getting a credit card without SSN. So, let’s discover what are some of those benefits of obtaining a credit card.
Sign-up Bonus
By simply becoming a new credit card holder, even if you obtained a credit card without SSN, you get to receive sign up bonuses. Depending on your bank the sign-up bonuses might vary. Nevertheless, usually credit cards will offer you appealing rewards in the form of a sign-up or welcome bonus when you spend a certain amount of money using the credit card within a specified timeframe. These welcome bonuses could be cash back in the form of points or dollars, airline miles, or something else.
Rewards
Besides your sign-up bonus, credit cards allow you to receive rewards on a regular basis. For instance, most credit cards offer cash back for eligible purchases you make. Other credit cards offer rewards like airline miles, or points that can be used later. Some cash back cards would offer you higher cash back rates on particular types of purchases of your choosing and a lower rate on other general items.
Buy Now, Pay Later
Whether you got your credit card without SSN or not, credit cards have specified periods where they are interest-free. Most interest-free periods range between 22 and 52 days. That means that if you purchase a product or service at the beginning of that interest-free period, you can pay for it with no interest as long as you pay before the end of that period.
Simplified Process for Digital Transactions
Whether you are online shopping or paying your bills, making digital transactions is a simple process if you have a credit card. It’s convenient to use your credit card online since all online shopping websites accept credit cards. Additionally, it’s usually safe to use your credit card online since all credit cards have security systems that can detect credit card fraud.
Availability of an Emergency Fund
Although it is better to prepare for emergencies, by building emergency savings, credit cards can give you instant access to small loans that exceed your authorized credit limit. Those small loans can be extremely helpful in the case of an emergency.
Credit Card Insurance
Some credit cards offer insurance coverage. You may be eligible to receive purchase protection insurance, return protection insurance, travel accident insurance, lost and damaged luggage insurance, or even personal accident insurance. The types of insurance you may get depends on which credit card you get.
Building Credit for International Students and Immigrants
Most importantly, credit cards can help you build your credit. If you ever think of applying for a loan, a mortgage, or some other line of credit, lenders will immediately check your credit score. Depending on how good your score is, the lenders will decide what interest rate you receive. A credit score allows a lender to check your reliability for paying off the debt on time. By simply paying your credit card bill in full each month, you can have a good credit history and improve your credit score. Additionally, by paying your bill in full each month, you would not have to pay interest. A good rule of thumb for using a credit card responsibly, is to use it like a debit card. This means that you only spend money from your credit card that you know you can pay in full when the bill comes.
Since you now know the benefits of getting a credit card, let’s see how you can apply for a credit card without SSN.
How to Get a Credit Card Without SSN in 2023?
Choose a Credit Card That Meets Your Needs
Not all credit cards allow you to apply for them without a SSN, so it’s very important to find a credit card that doesn’t require you to apply using SSN. Many credit card issuers will accept another form of identification, besides SSN, to issue you a credit card. A common alternative form of identification that issuers will allow you to use to get a credit card without SSN is an Individual Taxpayer Identification Number (ITIN). An ITIN is a tax processing number that only certain individuals in the US can get, and we will discuss how to get an ITIN later in this article.
Besides finding a bank that will allow you to get a credit card with SSN, you need to see if your credit history qualifies to get you the credit card you want. It is possible that international students, immigrants, and people that are not from the US have their credit history recorded in another country. Or it’s possible that they never built a credit history in the first place. If that’s the case, there’s no need to worry, as you can still build your credit history. Some credit card issuers also issue credit cards outside the U.S. and if you had an open account with those issuers in your home country, it is possible that they consider your foreign credit history. The two most popular banks that issue credit cards without SSN and also transfer foreign credit history are American Express and Citibank.
Get an American Express Credit Card with Nova Credit
Nova Credit is on a mission to help millions of people with limited credit history to find financial opportunities that will help them succeed. Using Nova Credit’s technologies, you may be able to translate your international credit data into its U.S. equivalent. That means that they make it possible to apply for credit cards using your credit score from your country of origin. Even if you don’t have credit history in any country, and you’re starting from scratch, they’re here to guide you into building your credit history and giving you an equal opportunity to use the financial system in the U.S. Nova Credit can assist you in applying for an American Express credit.
International students and noncitizens can check out the American Express credit card options that Nova Credit recommends applying. In this case, you must need to have an SSN. You can also apply online for the American Express cards that are recommended by Nova Credit. There are different American Express credit cards that Nova Credit recommended you choose from based on your needs.
In addition, if you have a foreign credit score, you can use their electronic helper that will tell you if you are eligible to use your foreign credit history to apply for a U.S. credit card.
Secured Credit Card
If your credit card issuer doesn’t approve of foreign credit history or if you don’t have credit history at all, you can build your credit history by applying for a secured credit card. A secured credit card requires you to deposit a certain amount of money when you open the account, which reduces the risk for a credit card issuer. Usually, the deposit you make is equal to your credit limit. For example, let’s say that you deposited $700; in that case, your credit limit will be set to $700. After you close your secured credit card or upgrade to an unsecured credit card, you will receive your deposit back from the issuer. A secured credit card can be a great first step to building your credit if you have bad credit history or don’t have a credit history at all.
Student Credit Card
There are credit card issuers that can offer a credit card without SSN for international students. A student credit card is a viable option for international students that want to build a good credit history in the U.S. Students applying for a student credit card must be enrolled in a full-time or part-time qualifying school and must have a regular source of income. Unlike a secured credit card, students don’t need to pay a deposit to receive a student credit card.
How to get an Individual Taxpayer Identification Number (ITIN)
Since it is federally required for all individuals with a U.S. income to file taxes, an ITIN allows people that don’t have or can’t get a SSN to lawfully file taxes using their ITIN. Individuals that can get an ITIN are certain nonresident and resident aliens, their spouses, and dependents that cannot get a Social Security Number (SSN). To obtain an ITIN, you need to fill the W-7 form by the IRS. The W-7 form requires documentation that provides evidence of foreign/alien status and the true identity of each person. This documentation could be something that proves your identity like a passport or a driver’s license. The form is also available in Spanish for individuals that would rather fill it in Spanish. While obtaining an ITIN can allow you to get a credit card without SSN, it wouldn’t give you the same benefits of having a Social Security Number. It’s also important to note that individuals can’t claim the earned income credit using an ITIN.
Conclusion
In conclusion, it’s important to find a credit card issuer that accepts other forms of identification besides SSN, like an ITIN. Even if you don’t have an ITIN, you could get an ITIN by completing a few simple steps. Also, keep in mind that credit card issuers will look at your credit history and score to determine your creditworthiness. For that reason, if you don’t have any credit card history, you can always start by applying to a secured credit card or a student credit card to build your credit history and score. The most important thing to remember is to pay your credit card bill in full each month to maintain a good credit score. Overall, getting a credit card offers you many benefits if you responsibly use it and getting a credit card without SSN is possible in 2023.
