18, No Credit History - What To Get And When?

Jakg

I have to ask - why do I need to check my credit history if i'm 18? I can understand if in 5 years of loans, credit cards, mortgages and contracts some erroneous data slipped in, but surely there is no way ANYTHING could of got on there in 2 days?

never-in-doubt

Jakg wrote: »

I have to ask - why do I need to check my credit history if i'm 18? I can understand if in 5 years of loans, credit cards, mortgages and contracts some erroneous data slipped in, but surely there is no way ANYTHING could of got on there in 2 days?

I.D fraud but you're right, don't waste the money checking credit file - it will be empty.

The reason you struggle is explained if you read the link I posted above - #9! Its cos you're new to credit and this is a catch-22, i.e. you need credit to build a profile but can't get any so how can you build a profile up!

The JD Williams catalogue reports Green [0]'s to the CRA's which show you can manage an account, i.e. history that you desire! Take anything you can get, you do not have to use it do you?

Read this for details! http://forums.moneysavingexpert.com/showpost.html?p=20670781&postcount=3

Jakg

So make the account, but don't actually buy anything you mean?

I've had my account with A&L for just over a year. It's only even been in credit - but until I was 18 it couldn't go negative so meh.

never-in-doubt

Jakg wrote: »

So make the account, but don't actually buy anything you mean?

I've had my account with A&L for just over a year. It's only even been in credit - but until I was 18 it couldn't go negative so meh.

Then ask A&L for a credit card first and foremost! Have you read that link yet? This explains that principle 1 is ASK YOUR OWN BANK FIRST! If they say no then wait a while..... you need history and whether you use credit or use it simply for the history (green 0's) you still need it.

Word of advice, apply for credit online throughout the working week, office hours or it will be referred for underwriting.

CommitedToChange

I personally would wait until you change banks and get a student bank account, most students accounts will come with the offer of a credit card and you're more likely to get one with your own bank (as never-in-doubt pointed out).

Def wait as it will be easier to manage prob with a happy student rate - BUT always pay it off as otherwise you'll join me in the scary debts threads.

If you only want it to build up your credit score then waiting shouldn't be an issue.

Jakg

A&L's credit card app system is down until the 3rd of August, so no such luck there...

How long should I leave it before applying to Aqua / Vanquis?

bc3000

You can check your file using a cashback site, you get around £6-7 cashback and a free trial Good luck anyway!

never-in-doubt

Jakg wrote: »

A&L's credit card app system is down until the 3rd of August, so no such luck there...

How long should I leave it before applying to Aqua / Vanquis?

You should apply to A&L using online banking.... isn't it just MBNA anyway?

Apply to Vanquis first - they are the best sub prime with higher acceptance levels or try sygma card such as accessory card or flybe card as they give better limits. Vanquis are high apr and low limit (typical £250-£500) but good starter card.....

cash-magnet

TheEffect wrote: »

I'm 18 and have Aqua, Vanquis and CapitalOne, £250, £250, £100.

Vanquis was closed this month, Aqua will be closed next month and I'm keeping CapitalOne.

Hoping in another 6-12 months, I'll get a mainstream card. At the minute, I cannot get an overdraft from any of the two banks I am with.

This might be a very good thing for you. It will teach you live on your income rather than getting used to, and accepting, that being overdrawn all the time is an acceptable way to run your finances. Maybe you should make it a priority to build up a cash buffer in your main account to avoid ever having to use an overdraft and paying heavy penalties for that "privilege"?

Jakg

So I should go for Vanquis instead of A&L (my bank)?

How long should I leave before applying?