Building Credit in the U.S. – Why It Matters and How to Start Smart

Hey there!

When I first moved to the U.S. as an international student, I was super hesitant about credit cards. Back home, using one felt like borrowing money you didn’t have, which sounded risky. But I quickly learned that in the U.S., building credit is essential – and if used the right way, a credit card isn’t a trap…it’s a tool.

Let’s break down what credit really is, why it matters, and how you can start building it confidently – even without a Social Security Number (SSN).

What Is Credit And Why It Matters

Think of your credit score as your financial grade. It’s a number (usually between 300 and 850) that tells banks, landlords, and sometimes even employers how responsible you are with money.

A strong credit score can help you:

• Get approved for a car lease

• Rent an apartment without a huge security deposit

• Qualify for better loan rates

• Unlock perks like cash back or travel rewards

The problem? If you don’t have any credit history at all, many companies treat it the same as bad credit. That’s why it’s so important to start building credit early and in the right way.

How to Use Credit the Smart Way

Here’s the mindset shift that changed everything for me: use your credit card like a debit card. Only spend what you already have in your bank account. That way, when your bill comes due, you can pay it off in full and avoid interest. No debt, no stress, and you’re steadily building your credit history.

The 5 Factors That Impact Your Credit Score

Here’s what actually goes into your score:

1. Payment history (35%):  Always pay your bills on time. Just one late payment can hurt your score.

2. Credit utilization (30%): This is how much of your available credit you’re using. Try to keep this under 30. For example, if your credit limit is $500, aim to spend no more than $150 per billing cycle.

3. Length of credit history (15%): The sooner you start, the better. Over time, a longer, positive history helps your score grow.

4. Types of credit used (10%): Having different types of accounts - credit card, student loan, car loan, etc. - can boost your score.

5. New credit inquiries (10%): Applying for too many credit products at once can temporarily lower your score.

Not an incoming or current international student? Fill out this quick survey so we can send you tailored content based on where you’re at in your international student journey.

How to Track Your Score (for Free!)

There’s no need to guess your credit score or pay to see it. Here are a few free tools international students can use:

• Credit Karma and Credit Sesame: These show scores from TransUnion or Equifax and break down the factors affecting your score.

• Experian: Gives access to your FICO score and report.

• Many banking apps include score tracking right in their dashboard.

Meet Adro – Banking Built for International Students

Here’s the good news: you can start building credit even without an SSN and our partner Adro makes it incredibly easy.

Adro was built specifically for international students. Here’s why we recommend it:

• No SSN required to apply

• No annual fees

• Easy sign-up before or after you arrive in the U.S.

• Credit card that reports to the bureaus to build your score from day one

• You can use it like a debit card, spending only what you already have

And once you do get an SSN (for example, through a campus job), Adro will backdate your credit history, so you don’t lose months of progress.

Bonus: Sign up through Roam and meet a few simple conditions (making 5 purchases and depositing $500), and you’ll get a $50 bonus.

Credit can feel intimidating but it doesn’t have to be. With the right tools and habits, it becomes your stepping stone to financial independence in the U.S. You’ve got this!

Best,
The Roam Growth Team 🧡