Just Turned 18 and Looking to get a Credit Card

indeks

As the title reads, basically. I stupidly applied for a Lloyds TSB platinum card without much knowledge about credit cards and they obvioulsy turned me down...

How is the credit rating when you just turn 18? Is it the worst it will ever be? Or is it 'average'?

I'm a student, only work part time but earning about £700 a month (and have about £4000 in a savings account).

I keep getting credit card offers through the post for MBNA credit cards but got a feeling I won't qualify for their card!

So I'm looking for suggestions on what credit cards will I be able to apply for.

Any help appreciated.

grumbler

Welcome to MSE!

Of course, you can start with one of the cards for 'beginners': credit card for no credit history . If you pay balance in full APR does not matter.

However, I think you will be able to get something better from the bank you have current account with. Almost all bank offer some special card for students.

See also Your Credit Rating: How they decide and how you find out for free Martin's article.

Galstonian

What is right for you will depend on why you want one.

Jim_B_3

Ask yourself why you want a credit card - from what you say, you don't need to borrow money at the moment. Are you getting one with the intention of paying it off fully each month, so that you need not lose interest on savings or perhaps to take advantage of the card company's freeby scheme? Or maybe you want to start building up a good credit record now so that when you DO need to borrow money, you look like a good risk?

If you tell us what you're getting a credit card for, perhaps we can recommend a good one.

indeks

Hi, thanks for the replies, I'll check that thread out! I basically would like a credit card so I can build a credit history, so I will be in safe zones when I might need a loan later on, and also because I spend a lot... I currently have a VISA debit with Lloyds TSB with a £350 overdraft... But sometimes £350 isn't enough.

Careful_ly

You are already building a credit history if you have an overdraft facility, this will show on your credit report.
If you are just 18 still in education with £700 per month income and £350 overdraft facility, my advise would dont get a credit card.

Jim_B_3

indeks wrote:

I basically would like a credit card ... because I spend a lot

Perhaps if you thought of it as a "debt card" rather than a credit card, you'd see how dangerous this attitude can be. You say you've got savings; why do you want to juggle unsecured, high-interest debts instead of dipping into savings?

indeks wrote:

I currently have a VISA debit with Lloyds TSB with a £350 overdraft... But sometimes £350 isn't enough.

If you find that you're spending too much each month, a debt card is not the answer; budgeting is. If you mean that you spend less than you earn each month, but you need a bigger buffer than £350, why not take some of your savings and use that as your buffer in your current account?

pennymakespounds

perfect solution .... the egg money card ... all done on line inc paying bills and transferring money around ... pay money in to it to treat it like a "savings account" and they pay 4% interest on any positive balance ... as a credit card all spend on it earns 1% cashback ...

niceshoes_2

Don't do it, or you might end up like a lot of people on these boards in a few years time. I wish I'd NEVER got a credit card in the first place, cos things spiral out of control Its so easy to spend money on credit, its very hard when it comes to paying it back. Do as others have suggested and look at cutting back your budget etc.

trencherpilot

Just don't do it!! Read some of the posts on here and see where others have ended up including me and mrs Trencherpilot!

indeks

Points taken... Thanks for everyone who contributed in this post, I won't bother with a credit card just yet.