Correct errors on your credit report. Your report must prove to the lender that he will get his money back.

If turned down for credit within 30 days, you can get a free copy of your report to find out why. Otherwise you can get a copy for $8 from the credit bureau.

One option to build credit history is to piggy-back onto someone who already has a good credit and is willing to co-sign. Just remember that if you default, their credit suffers.

With co-signing, you make payments on or before the due date. Do not pay in full untill the bill actually arrives since this completes the billing cycle and establishes 'pays on time' on your report.

Ask the co-signer to repeat the generosity (if necessary).

Then create a debt, wait until the first bill comes, pay it off in full. Keep repeating until you no longer need the co-signer.

Another method to create history is to locate a financial group who offers a 'secured credit card'. With this option you deposit money into a savings account. Your credit limit then equals your savings.

Using the secured credit, create a debt on the new card; wait until the first bill comes; pay the bill off in full or make payments; repeat until you can establish unsecured credit.

Some retail and gasoline credit cards are not revolving (do not carry a monthly balance) and sometimes are easier to obtain than regular cards. Over time they can help establish history.

Tips:

Eliminate the need for the co-signer or secured card savings as soon as possible. You'll be much further ahead.

If you are a follower of this site, you know that I advocate not having credit as your way of life. That having been said, I highly recommend to pay off your balance IN FULL, every month.

Once credit is established and to maximize your credit score, maintain your credit balance below 30% of your maximum.