First time credit card?

YoungBaker

Hi there
I am new to this board and am looking for some advise.
I am 20 years old and have never had any sort of finance or credit before.
I am pretty good with my money and am simply looking to start building a credit rating as I am saving for a house and am aware I need to start building my credit.
I currently hold a reward account with the bank of scotland and when I was last in they began the process of offering me a credit card aware that it was my first, but unfortunately their system went down.
I decided to just apply online - but was declined.

I am aware companies may be reluctant to give me any sort of credit card as I have no credit history - but I need to start somewhere, so am just wondering if you guys could point me in the direction of a started card that I could use to build a rating. I plan to only use the card to make purchases which I will immediately pay off straight away - simply with building a credit score in mind.

Thank you.

kerrypn

Hello and welcome

You could try moneysupermarket-they have a tool on there which supposedly works out the best card for you.

You could try a sub prime card-if you are paying in full each month the APR isnt an issue-try Vanquis or capital one.

Lastly try ONE and no more-too many credit searched at once can count against you.

HTH

bengalknights

Vanquis, capital one or barclaycard initial are the ones you would stand the most change getting if you are on the electoral roll and have a bank account.

drewwhonumba2

Hi Allan,

try going back into your bank and reapplying, the reason that they offered it to you in the first place was because you became eligible based upon their internal scoring system whereas applying online wont take into account the good history you have managing your bank account.

If that doesn't work then try the cards above

barclays has an online pre application too that checks o see if you are eligible without leaving a full footprint on your credit file, google 'apply with confidence barclaycard' and you will find it

YoungBaker

Thanks.

I naively applied for credit at the end of last year from littlewoods and also from goldsmiths (before I even realised being rejected was worse than not applying at all) and so I guess this will probably affect my score also.

Thanks for the advise.

I don't actually need a credit card for anything just now, as like I say it will simply be used as a tool to build a credit score. Do you guys think I would be better off waiting for now rather than applying somewhere again and being risk to being rejected? Is there anything I can do in the mean time to build a credit score?

I am on the electoral role (just voted today) and like I say have a bank account.

Thanks for the advise so far and I will look into what you guys said, like I say I am new to credit cards and stuff and appreciate your help.

Thanks
Allan

drewwhonumba2

Allan, you may want to check your file just to be on he safe side that a company hasnt put en entry on your file by mistake....not common but certainly not unheard of

I would wait one or 2 months until the littlewoods and goldsmith search have been over 6 months. Having 1 credit card search and decline shouldn't be a problem, but you probably do want to go for one of the subprime cards listed above which you should have no problem getting. Run this well for 6 - 12 months and you are ready for mainstream borrowing.

YoungBaker

drewwhonumba2 wrote: »

Allan, you may want to check your file just to be on he safe side that a company hasnt put en entry on your file by mistake....not common but certainly not unheard of

I would wait one or 2 months until the littlewoods and goldsmith search have been over 6 months. Having 1 credit card search and decline shouldn't be a problem, but you probably do want to go for one of the subprime cards listed above which you should have no problem getting. Run this well for 6 - 12 months and you are ready for mainstream borrowing.

Thanks very much for that post - very helpful.

So are the vanquiss one and that of listed above ones with much greater interest? Although this will be unaffective for me as like I say I will be paying anything off immediately.

In order for me to make a check on my credit, is experion the best just to use?

Thanks again.

drewwhonumba2

experian is the largest and most likely to hold all information....which rings true because i have a default on my experian that isnt on my equifax (biiig smiles lol) but best to search both really.

You can do the credit score for your own interest but its essentially pointless...I have 2 CCj's, a default (which isnt on my equifax) and im not on the electoral register...so all round rubbish (But soon to be much repaired) bu experian still gave me 758 and equifax gave me 255 lol

And for the reasons i said about going back into your bank...essentially credit providers use information from the CRA but also info on income etc etc

Yes the Vanquis is very high interest and should only be used to build your credit history, pay in full each and every month by direct debit and you will be fine....people following this strategy will use the card to make purchases that they would have made even without having the card, groceries, petrol etc, that way you arent increasing your expenditure, but you are building credit history