Improving your credit rating whilst unemployed and on benefits?

krato

Hi there!
I recently signed up on littlewoods.com not knowing they do a credit check to see if they can offer you monthly payments on purchases, I just wanted to sign up to buy something on my debit card. Anyway they send me a letter saying I can't because my credit score is too low! Which was a blow, I don't think I have anything on it that will negetively effect my score so I guess its just because its empty?

Just a little history, I've been ill for about 8 years (I'm 22), went to college and uni (though never finished uni because of my illness) I have an unpayed student loan of about 2k, I've never been employed, and live with my parents, I'm on income support on disibility grounds, I've never had a credit card, store card, any credit etc. I would really like to get my credit score up because noone wants a bad credit score! I won't be able to get work anytime soon, but I'd like to increase my credit rating for when I do.

I've heard of vanquis credit card, with extortionate apr! But I would 1000% never leave anything roll over the month on this card, I have friends and family who would help out if I ever needed to borrow money, I'd never go down the credit card route. I could buy things on the card and pay them off before the month, which I've heard helps your credit score.

Would I be accepted for one of these low credit score cards with everything currently against me? Or is there any other way of getting my credit score up? I'm not in a huge rush, but just think whilst I'm unemployed I might as well try my best to get this score up, especially being at this critical age!

They list 4 on money supermarket:
Barclaycard Initial 27.9%
Capital One Classic 34.9%
Monument 34.9%
The Vanquis Visa Card 39.9%

I know it may seem ridiculous but do any of these need you to call up and speak to someone to activate the card? I don't mind using an automated service, I just hate talking on the phone ( social phobia =/ )

Thanks in advance to anyone who helps =]

Krato

ps. Ive just applied for my experian credit report using the free trial, should recieve my pin soon so will be able to check it for anything that goes against me etc.

seeya23

try these are easy to get
http://www.jacamo.co.uk/
or www.jdwilliams.co.uk/

or cards
auqa card http://www.aquacard.co.uk/
Capital One https://www.capitalone.co.uk/creditcards/secure/application.jsf
Vanquis Visa http://www.vanquis.co.uk/home/home.aspx

krato

seeya23 wrote: »

try these are easy to get
http://www.jacamo.co.uk/
or www.jdwilliams.co.uk/

or cards
auqa card http://www.aquacard.co.uk/
Capital One https://www.capitalone.co.uk/creditcards/secure/application.jsf
Vanquis Visa http://www.vanquis.co.uk/home/home.aspx

Thanks!
Does signing up for them websites improve your credit rating, or do you actually have to buy something for it to affect it?

The capital one card seems decent, I'd rather use that than say aqua, however it says nothing about being unemployed, whereas aqua is for people who are unemployed. Is there a high chance I'll be refused for the capital one card?

PNPSUKNET

Your student loan, has this been sold on yet? If so if maybe on your credit file as I believe this happens once you have defaulted on it

krato

PNPSUKNET wrote: »

Your student loan, has this been sold on yet? If so if maybe on your credit file as I believe this happens once you have defaulted on it

No, nothing has happened to my student loan yet, if I'm unemployed still when I'm 33 (I think) then It will be sold on...

I'm going to try apply for the capital one card... hope to god it doesn't decline me, it asks for my benefits income, its around £4000 pa... should I go for it?

Moggles_2

PNPSUKNET wrote: »

Your student loan, has this been sold on yet? If so if maybe on your credit file as I believe this happens once you have defaulted on it

I thought you were not required to repay a student loan until you earned at least £15,000
a year.

seeya23

jacamo and jdwilliams you get a limit of £125 to start off with had mine since last year my limit is now £1100 just buy a few things then pay it off
they are easy to get than littlewoods.

Moggles_2

krato wrote: »

I'm going to try apply for the capital one card... hope to god it doesn't decline me, it asks for my benefits income, its around £4000 pa... should I go for it?

Are you on the electoral roll, krato?

For more tips to improve your chances of credit card acceptance, have a look at the *Credit Rating: how it works and how to improve it guide* especially Martin's *Manage and Improve your credit score* article

http://www.moneysavingexpert.com/banking/credit-rating-credit-score#improve

krato

I'm on the electoral roll yeah, I've already read that page which is where I got the idea of applying for a credit card. I'm just really scared in case I get declined. Is the capital one card deffinately ok for people who are unemployed? =/
if I get declined I'm doomed!

seeya23

so is vanquis card is deffinately ok for people who are unemployed

krato

Just applying now, what's "other household income"?