Apply for a credit card
or other loan and begin establishing
a good payment history.

If you've never used credit before, you may have to apply for a secured card. This means you'll deposit funds with the credit card company – say $300 or $500 – until you establish a good payment record. Use the card often and pay the balance in full each month. Contrary to what some people think, paying cash for everything is NOT the way to build credit. To get credit, you have to use credit. However, you do not need to build up a balance and pay interest charges. Paying the amount due on your credit card each month will help you establish a good payment history.

A secured card:

Looks like any other Visa or MasterCard
Place funds on deposit with the credit card company
"Charge" against your own money
Pay the balance in full every month