Applying for capital one to build a credit rating (18 year old)

Tremour-88

The first thing I did at 16 was open a Current account, then got myself a phone contract & credit card at 20.
2 (or 4 years if banks report to CRA's while your 16-18) years worth of good 0's from a Current account will enable you to start building up a history.

You've got no chance of getting credit because from the sounds of it your desperate for it and probably already have plenty of searches against your name.

Jeff_Bridges_hair

drjones wrote: »

I was paraphrasing the deluge of "advice" that the OP been given so far in the threads he has posted over the last couple of days.

Let's sum up what we actually know about the OP.

1) He's 18
2) He wants to buy a laptop
3) He wants to build his credit history
4) He has career plans for the future
5) He is posting on this forum asking for advice

Most of the advice and warnings about his impending financial suicide have stemmed from the fact he's 18 while totally ignoring the final 3 points. It's based on the assumption that he 18 and wants credit so will end up in debt, just like everyone else. My opinion of him is based on his conduct and what he's said in his threads, not ageism. He came here for practical advice not to be preached to.

I think you may find that people have given him practical advice. I admire him - he knows what he wants and he is going to get it one way or another BUT reality needs to kick in also and that is what people have explained.

TrueUnitedFan

Im not applying for anything as it stands from now. I already applied for a few which was declined. I have taken things what people have said on board such as speaking to my bank, to give me a low limit card ect, forget getting credit (enjoy being 18, getting laid) which i am, (not the laid bit though (:P)

I just wanted to build up a credit report/history for me i would be looking to get mortgage in a few years time. I know all the consequnces of getting into debt ect and anything i would take out, i would make sure i pay it. It wasn't my intention to get things on credit and not pay for them ect. My phone bill is coming up to £40 plus a month so logically, it made sense for me to apply for a phone contract would would save me a bit of money here and then.

bur yea, i really don't think i will apply for anything else until another 6 - 12 months.

thanks for the responses!

Jeff_Bridges_hair

You must be doing something wrong if you cant get credit nor get laid

Have a good christmas

TrueUnitedFan

Jeff_Bridges_hair wrote: »

You must be doing something wrong if you cant get credit nor get laid

Have a good christmas

Hahaha i second this.

You too. :rotfl:

jamesd

TrueUnitedFan wrote: »

Yep, currently in college as well, then go on to Uni after i finish my course. ... My Nan has told me she would give me 12k gift don't have to pay it back when i decide to go for it.

Don't take it then. Take the maximum possible student loans. Get the 12k when you need it for a property deposit. It's harder to accumulate the capital for a property deposit than it is to repay student loans. So your maximum benefit comes from the property deposit approach. Discuss this with her now so you and she both know the situation and possible plans. Read the MSE guide to the new student loans if you have any reservations about maximising student loans.

If your own bank won't give you credit then you might see whether there are any student deals that apply to you while in college. There will be when going to university, I don't know the college market but it's probably not as good. If your own bank says no you might try the Barclaycard eligibility check to see what that says. Note that success there doesn't guarantee success with a full application, it's just indicative.

Failure there means that you should instead consider a prepaid card or one of those for people with poor credit histories or none.

dealer_wins wrote: »

I would have thought that mortgage companies would value someone who managed to get to his 20s or even 30s without needed credit, much more than someone who started borrowing the day he turned 18!!

They don't, though. What they value is visible credit history so they can see whether the person has a record of properly repaying debt. For them that looks safer than guessing how someone with no visible history will do.

andrew-the-cat

I didn't even consider getting a credit card until about 8 months ago (I am almost 23 years old). Admittedly I did not really know anything about them until I started to apply, my view is that if I want something I need to be able to afford it. Buying it on credit and paying it back over a year or whatever is not 'affording' it to me. I opened my first real bank account when I was 16, I still have it now although it's not my main account. One day I got curious while browsing online banking and I clicked the 'apply for overdraft' button. I asked for a £500 limit and they gave me £150, a year later that was up to £1000 (this is before I was even in full time work). While I would occasionally dip into it in the few days before pay day, I did not depend on it (and even then the interest was so low while I was a student it was negligible). I started my first phone contract when I was 20, was obviously accepted but it was a BIG MISTAKE. Although I ended up getting a £400 phone for free, I paid £35 a month for almost 2 years (downgraded my tariff about 5 months before the end to £25) for a crappy allowance, overall it cost me more money than buying the phone out right and getting a decent PAYG deal. I never missed a payment but I won't be going back on any contract like that again, I am now on a 1 month rolling contract for £15 a month with a better allowance, I can cancel any month and it still builds history on my report.

Basically don't rush, there's probably a lot of stuff you want which you could get quickly with a credit card but remember you do have to pay it back! And the interest on your first card will be so high you'll end up paying back masses, it is just not worth it. Just wait a while, and once you're earning you'll be able to start buying stuff. I always wanted a big TV, a laptop, a flash phone, all that sort of stuff. With a bit of patience, and once I had started earning (I don't have a particularly well paid job) I was able to afford it and now I have it.