Things I can do to make my self look better to lenders

DCFC79

BrookesAndrew wrote: »

As somebody has already pointed out and as I already know credit scores don't exist, I am trying to make my self look better to lenders. I want to get a good credit history so when I am older I can own my own house. I don't get what you mean when you say 'what do I want to buy with that debt?'. I just want to make my self have a good credit history so when the time comes I can get a mortgage and own my own house.

Hope that answers your question.

It comes naturally or did for me.

sirwiggum

Thrugelmir wrote: »

Focus your efforts on saving. Demonstrate to a potential lender that you manage your money well. There's no secret really. Just common sense.

But then, the lenders aren't going to have access to his current account / savings account totals, just markers that he isn't in an unauthorised overdraft.

I'd say do not miss a payment on the credit card. Occasional usage, but don't fill it up with > 50% total.

BrookesAndrew

Okay, thank you for all your help. I guess it is just going to take time.

DalePie

1. No such thing as a credit score. Each lender to their own although you can take an educated guess as to how easy it is to get a certain line of credit e.g: Getting an AMEX card would be something to plan for yet a store card should generally be much easier.
2. To boost your credit file you just need to keep paying your cards, phones and ensure your bank account is healthy (No unauthorised OD's) - keeping an eye on your credit file is a good idea but no need to pay Experian every month! Paying £2 to get your file every year or two is more than enough to see where you're going.
3. My guess is that you're being rejected because you're applying for too many things at one time. Spacing applications every 3 to 6 months is the way forward, 3 months for lower types of credit and 6 months for higher types.
4. Please be careful getting laptops on credit and Argos cards, look at this article so you know what i mean.

http://www.moneysavingexpert.com/credit-cards/store-card-discounts

These types of debt are expensive and a bit "cheap" if you know what i mean. If i was in your shoes i would be spending my time boosting my credit so i could get really useful things like 0% deals, low cost loans, good phone deals and cash back cards. There are exceptions however! Some store cards have extra perks so weigh your options up as you go along.

At the end of the day you're doing fine. You have a young credit file and the privilege of shaping it up nicely so you can move from sub prime to mainstream and hopefully onto higher end stuff like the 0% deals and cash back stated above.

Please be careful with debt though! Nothing wrong with planned borrowing and using good credit to save money, everything wrong with using it recklessly. Have a read through the debt free wannabe forum to see what happens when it goes wrong and always have those people in the back of your mind when taking out new credit

Thrugelmir

sirwiggum wrote: »

But then, the lenders aren't going to have access to his current account / savings account totals, just markers that he isn't in an unauthorised overdraft.

Save with a lender that you intend obtaining the mortgage through. That'll earn brownie points.

The point about saving. Is that it demonstrates self discilipine. Producing a savings account statement with regular deposits when making a mortgage application. Says far more about the potential borrower.

Far more than someone who pays off their credit card bill every month. Might as well have paid by debit card.

Experian_company_representative

It will help if you let your existing credit products mature and, as others have said, space your credit applications out. Some more advice on improving credit ratings on our website.

James

macman

Are you on the electoral roll at your present address?