Do pre-paid credit cards improve on your credit rating

mackers8923

Hi Folks

I have been working hard over the last 5 years or so to get my credit history improved from my early 20's of spend spend spend and not pay pay pay.

Tell me this do prepay credit cards help to improve your credit rating? Are they shown on the likes of your credit file and recorded as having a positive balance?

VMT

Bongedone

No. They are prepaid cards NOT prepaid credit cards. There is no credit check to get them. They will not show on your credit file.

If you want to increase your credit rating then get an real credit card and manage it correctly. There are a few providers that will issue one if you have no history.

System

Hi mackers

This one could: Cashplus Creditbuilder (not affiliated) but it'll cost you.

As Bongedone says, the best way is to use a credit card responsibly, or a catalogue account, contract mobile etc.

How is your credit rating?

Regards
UNDERGROUND

mackers8923

UNDERGROUND wrote: »

Hi mackers

This one could: Cashplus Creditbuilder (not affiliated) but it'll cost you.

As Bongedone says, the best way is to use a credit card responsibly, or a catalogue account, contract mobile etc.

How is your credit rating?

Regards
UNDERGROUND

My credit rating is getting better and I have not applied for anything until this month for the past 2.5/3 years. Mortgage is up to date and no arrears, I do have defaults on my file which are due to drop off in Sep this year and May next year and everything on my file will be showing a nice colour of green.

Back when I was a bad boy with credit I had something like 5 credit cards, now I have none but applied for and was accepted for a Capital One Card with £500 limit last week, I think they told me the APR will be 24.9% but will need the letter to confirm.

My only live credit accounts are:

Mortgage
3G Card
O2

I have recently moved from Virgin to Sky, do they record payment on your credit file?

Thats about it really......

Bongedone

Sky do not record anything on the credit file. Just use the credit card every month and pay it off in full. By May next year your are laughing.

You need credit to get credit. Even if you don't need them you should have a credit card on the go.

mackers8923

Bongedone wrote: »

Sky do not record anything on the credit file. Just use the credit card every month and pay it off in full. By May next year your are laughing.

You need credit to get credit. Even if you don't need them you should have a credit card on the go.

Thanks for the information, one other thing I have found having compared the credit file of a friend, my bank does not record anything is this usual? I do have an agreed overdraft, only £100 and a Debit / Cheque Card if that makes any difference at all.....

Bongedone

It is a new thing the bank recording on your file. I cannot explain why yours does not.

I signed my OH up to creditexpert and it did not see any of her credit items until we sorted it out. Once they had matched her correctly then everything appeared.

Did you use the free trial to get yours? If so, call them as they are very good.

mackers8923

Bongedone wrote: »

It is a new thing the bank recording on your file. I cannot explain why yours does not.

I signed my OH up to creditexpert and it did not see any of her credit items until we sorted it out. Once they had matched her correctly then everything appeared.

Did you use the free trial to get yours? If so, call them as they are very good.

I have been using creditexpert since joining this site..... Just to keep an eye on things and the odd text comes through about changes to accounts etc

Thanks for your info..

System

Bongedone wrote: »

Just use the credit card every month and pay it off in full. By May next year your are laughing.

You need credit to get credit. Even if you don't need them you should have a credit card on the go.

Completely agree, once those defaults are gone you'll have a good credit file with a good mix of responsibly run accounts.

Don't bother messing about with pre-pay cards.

Also make sure you're on the electoral roll, which you probably are if you've managed to get a mortgage.

Regards
UNDERGROUND

never-in-doubt

Bongedone wrote: »

Sky do not record anything on the credit file. Just use the credit card every month and pay it off in full. By May next year your are laughing..

You do not have to pay it off in full, this has proven to make no difference to lending policies so long as the minimum required payment has been made and to bypass this, you simply pay minimum via DD and then send a tenner through BACS which then shows that you paid more than the minimum with the CAIS data feed.

Bongedone

never-in-doubt wrote: »

You do not have to pay it off in full, this has proven to make no difference to lending policies so long as the minimum required payment has been made and to bypass this, you simply pay minimum via DD and then send a tenner through BACS which then shows that you paid more than the minimum with the CAIS data feed.

Only said pay off in full to avoid interest. Did not mean to come say that it had to be paid off in full.