Worried about my credit rating

BrookesAndrew

I recently turned 18 a month ago. On my birthday I applied to get a phone contract. I got rejected on orange and also t-mobile but the women in the shop rang up vodafone and I was accepted with them. I applied for a Santander credit card and I was rejected and then I applied for a tesco credit card but was rejected for that. This was all within the past week. Last night after I got rejected for the Tesco credit card I applied for a barclaycard credit card. It was one of those ones to help boost your credit rating and it had 3 months 0% interest. After the credit search it asked me to create an account and a password and that and then they said they would write to me in a few days time and let me know. They said it could be down to there system going down or they need more information.

As things stand I have been rejected a few times. I tried getting a free credit report from equifax but it wouldn't let me do it. I did one with experian a few days after my birthday and it said my credit rating was 'FAIR'.

Can anybody give me some advice on what I should do and maybe a site that could give me a credit rating that is accurate. Also what should I do about the barclaycard?

23 June 2013 - Orange and T-Mobile rejected me for a phone contract but Vodafone accepted me. - 3 searches against my credit file.

Thursday 25th July 2013 - Santander rejected me for a credit card. 1 search against my file.

Wednesday 31st July 2013 - Tesco rejected me and Barclaycard said they need more information. 2 searches against my file.

I earn 14,000 a year and because I am only 18 and living with my Mum my outgoings are low! Any advice you can give me on what to do will be great. Thank you!

Cycrow

you will need to wait, you now have alot of searchs on your credit report, and little to no history, you will struggle to get anything.

do you have a bank account ?
you could apply for an overdraft, but i would wait at least a few months (6 months preferably).

no site can give you an accurate crediting rating, as credit scoring is done when you apply for credit, and is different for each lender and each type of credit you apply for.

you say barclaycard wanted more information, it sounds like you might get lucky there, as it wasn't an automatic rejection. What information are they asking for ?

Also, make sure you are registered on the electoral roll

Naf

Probably not a good move just going and applying for everything in such a short space of time. At just 18 you don't have a credit rating, you've never had credit so there is nothing to score you on; how a company might view you (in risk terms) could vary even more wildly than someone who has slightly adverse credit. But the excessive number of searches will,probably count against you - wait a while.
Why are you so desperate to dive right into credit all at once? The phone contract is a good start - focus on keeping up to date with that, then perhaps dip into the barclaycard a little (always paying off the full balance, of course! I.e. only use it for things you would purchase anyway with money you already have). If you can manage those two accounts well, then perhaps try to have an overdraft applied to your bank account, but never use it.

You-kip

BrookesAndrew wrote: »

I recently turned 18 a month ago. On my birthday I applied to get a phone contract. I got rejected on orange and also t-mobile but the women in the shop rang up vodafone and I was accepted with them. I applied for a Santander credit card and I was rejected and then I applied for a tesco credit card but was rejected for that. This was all within the past week. Last night after I got rejected for the Tesco credit card I applied for a barclaycard credit card. It was one of those ones to help boost your credit rating and it had 3 months 0% interest. After the credit search it asked me to create an account and a password and that and then they said they would write to me in a few days time and let me know. They said it could be down to there system going down or they need more information.

As things stand I have been rejected a few times. I tried getting a free credit report from equifax but it wouldn't let me do it. I did one with experian a few days after my birthday and it said my credit rating was 'FAIR'.

Can anybody give me some advice on what I should do and maybe a site that could give me a credit rating that is accurate. Also what should I do about the barclaycard?

23 June 2013 - Orange and T-Mobile rejected me for a phone contract but Vodafone accepted me. - 3 searches against my credit file.

Thursday 25th July 2013 - Santander rejected me for a credit card. 1 search against my file.

Wednesday 31st July 2013 - Tesco rejected me and Barclaycard said they need more information. 2 searches against my file.

I earn 14,000 a year and because I am only 18 and living with my Mum my outgoings are low! Any advice you can give me on what to do will be great. Thank you!

Don't apply for anything for 6 months and then apply for Vanquis or Cap1 classic credit building card.

Or ask your bank in a few months!

BrookesAndrew

I have bank account yes. I don't know what it is that they want yet, they are going to write to me I think. The Santander credit card is in an appeal they are going to let me know in a few days telling me if I have been accepted or not. I am keeping up to date with the phone bill. I just want a credit card to get my credit rating up and then when it comes to apply for a house and things I will be able to. I will leave it for at least 6 months anyway. Thank you all for your advice.

zaax

A few (20+) years ago a friend started to racked up over £30,000 on credit cards and monies on the never never, he started his spending spree at 18. At the age 40 he went bankrupt, all his delbits were wiped and now they are offering him credit cards again. He lived in bedsits and now a rented house with his family.

So the moral of the story use credit cards to go on good holidays and buy cars etc. as you will have more fun than I did not having credit.

BrookesAndrew

zaax wrote: »

A few (20+) years ago a friend started to racked up over £30,000 on credit cards and monies on the never never, he started his spending spree at 18. At the age 40 he went bankrupt, all his delbits were wiped and now they are offering him credit cards again. He lived in bedsits and now a rented house with his family.

So the moral of the story use credit cards to go on good holidays and buy cars etc. as you will have more fun than I did not having credit.

That doesn't seem that good to me!

BMN

I'm also 18 and I earn a few thousand more than you but I got accepted for a Barclaycard Initial (which I think is the same one you applied for).
The same thing happened to me when I applied online though. Then a few days I got a letter through the post informing me that I'd been approved and to send in some photocopies of ID.

I'd say you've still got a good chance of being accepted. But who do you have your current account with? Could be worth going into a branch and they might be able to give you a yes or no straight away without any credit searches.

izools

BMN wrote: »

Could be worth going into a branch and they might be able to give you a yes or no straight away

True.

without any credit searches

Not true.

Naf

izools wrote: »

Not true.

True, actually. Some banks can give a yes or no without actually performing a credit search, if you hold other accounts there already. But there would still be a credit search to actually open the account.

izools

Naf wrote: »

True, actually. Some banks can give a yes or no without actually performing a credit search, if you hold other accounts there already. But there would still be a credit search to actually open the account.

And depending on the results of the credit search they have the right - and often do - change their mind. I remember one time I went to open a second account the bank in question did, and subsequently closed it along with the other two accounts I had with them at the time