Revolving Credit Account - What is it?

054123

I presume it's a new mobile phone contract it took out with 3 in June of this year?

Appraently it's having a 'negative' effect on my credit rating!!!:rotfl:

wiseshark

Revolving credit best describes credit cards and HSBC Flexi loan whereby the borrower is continually extended that credit facility and free to borrow again provided they stay within the T&C.

A personal loan would not be considered revolving credit, and as for mobile phone contract, I guess it might possibly be classed as another form of revolving credit, but is much more limited.

054123

Thank you for the response!

Interesting. i do not have a credit card and only a standard loan with HSBC.

Is it worth investigating further? I sometimes think i worry to much about 'credit score' and reading this board only compunds that feeling!

wiseshark

If you can get a CC, it is the best way to improve a credit rating if used responsibly. Try your bank first, if declined, wait six months and apply for a sub-prime card from the likes of Vanquis, Capital One etc. remembering to repay in full to avoid high interest charges.

As for a credit score, pay no attention, they are meaningless numbers made up by CRA to generate extra revenue and are a con.

There is a huge difference between a rating and a score. Every bank and CC company will assess you on their own criteria and generate their own score which will either accept or decline your application.

Tixy

054123 wrote: »

Appraently it's having a 'negative' effect on my credit rating!!!:rotfl:

Is this some interpretation from experian?
If so are you sure it doesn't say the negative is that you don't have any revolving credit accounts?
That is something I've seen before from experian (and could potentially be true in terms of how a potential lender would assess your file).

wiseshark

054123 wrote: »

I presume it's a new mobile phone contract it took out with 3 in June of this year?

Appraently it's having a 'negative' effect on my credit rating!!!:rotfl:

Make sure that you pay your bills on time. Mobile phone companies are very quick to report late payments etc. to the CRA which will trash your credit file and rating and then you won't be:rotfl:with laughter.;)

054123

Tis my mobile phone account which i took out in June.

Wish i would have just stuck with Orange!