Help - I don't know where to start!

Sve_2

nomoneytoday wrote:

Why do you want a credit card?

To start building credit history. As I said in my previous post - I'm open to suggestions if there are other ways to do this.

jamalfatty

Are you a UK Citizen (noticed you said just moved to UK) , are you on electoral roll?

Contract mobile phone is easier than credit cards to get and will help build up credit history.

I've often found store cards easier to get as well, if you fully intend paying off in full each month, are there any retailers you use regularly?

techno_geek

Unfortunately, NatWest don't report your current account to the credit reference agencies (Experian, Equifax, CallCredit) unless the account has been conducted badly. Even overdrafts don't show up!

I believe you can write to them, asking them to provide this account conduct information to the credit reference agencies.

suki43

Getting a credit card is difficult if you have just moved to the UK. My partner had this problem too.......until he got a mortgage and was registered on the electoral role. Now he can be up to his eyeballs in debt if he wants to be.......
It's true, you have to be in debt of some kind, to get credit.

If you can do something else like a mobile contract, this would be preferable to a CC.

Sve_2

I have tried to go for a contract mobile phone - applied 3 times with different operators and retailers - got refused due to lack of credit file. That is why I have actually decided to go for credit card as a way to start building up credit history.

I'm not on an electoral roll yet - I'm not UK citizen but as an EU citizen I can be included in the electoral roll and vote for EU parliament and local authorities only. I've read on this forum that it is a plus if you are registered on the roll but wasn't sure whether to go for it or not...

I will try and speak to Natwest about my current account and ask if they can provide information to the credit agencies.

Since my last post I have contacted all three credit agencies and explained my situation. They have basically confirmed that if I don't have a credit file with them (one of the advisors said literaly not to bother paying to request my credit file as they wouldn't have any data to report), everytime a search is made, the result they will return is ... POOR credit score (?!?!). They couldn't explain why they shouldn't just return that the person has no credit record as a result... I thought it is a bit unfair. One of them suggested it is a loop hole that nobody actually thought about, which I kinda doubt. They also said that in order for me to have a credit file, somebody must "set it up for me" - whatever that means...

I will try getting on electoral roll and will speak to Natwest and see what options I have.
I'd like to thank you all for your posts - they have been really informative and helpful - especially to a person who has not got a clue of the UK financial system!

Thank you.

jamalfatty

The credit reference agencies dont report a score back to companies so the people you have spoke to are clueless, they simply provide factual data back. In this case that would be that you have none!

I would imagine that you would now already have a file set-up with the searches that have been done so far recorded on.

Have you tried contacting one of the sub-prime lenders (Capital One / Vanquis etc) to see if they would issue you a card if you pay a deposit? E.g. £200 deposit and then they give you a credit card with £200 limit?

Sve_2

Yes I have contacted them and explained the situation but to no avail. None of the searches have been recorded on my file as there wasn't any file to record them on - I specifically asked them. That is why they explained that in order to have those searches recorded on my file, the file itself should be "set up" by a lender - Capital One for instance or Vanquis, etc. And this is where catch 22 comes into force - Capital One and Vanquis refuse my application based on the fact I have no credit record at all...

jamalfatty

I think you will already have a file, it doesnt need 'setting up' by a lender, when a search comes in for someone who the CRA have no record of, a new file would be automatically set-up. If anything to monitor bogus/fraudulent applications so I'm pretty sure you will already have one.

When you contacted them, did you specifically ask about a deposit though? My mate got himself a capital one card a few years ago with quite possibly the worst credit history in UK, he gave them a deposit equivalent to the credit limit and they were more than happy to do this.

Sve_2

I have never asked if I can get a card with deposit - didn't cross my mind as an option.

As for the credit file - may be you are right I don't know - I am just repeating what they have told me. I specifically asked if the searches would be recorded on my file and if that was the reason I got turned down. They said that until I actually start having real credit relationship with a lender I do not have a credit file, therefore the searches can not be recorded.