next steps?

RaspberryRuffle

Hi all, I've been trying to fix my credit for years now, and have reached a place where I feel I've now got it the best it can be.

It has been updated today reflecting the clearing of my credit card and I now am using 0% of my available credit and have 0 missed payments in the last year. (I know the score is irrelevant but I've had ny first 999 today too).

So obviously I'm pleased, although I do have some 1-5 missed payments from 3-4 years ago as they cancelled my overdraft unexpectedly but only time will see that gone.

So now I've done all I can do to a degree, I'm wondering if there's any "good" next steps I could take? What I currently have is a capital one card, EE phone contract and current account with £0 overdraft.

Should I now be trying to apply for a better credit card? I am looking to buy a tumble drier so would taking one on credit be good now that I'm more likely to get one to show another good credit arrangement?

If I'm applying is it ok to apply now, since my credit card was so recently cleared, or should I be waiting a few months? Thanks to anyone who can help.

Tixy

Is your intention to use the existing credit card at all?

A good, free way of maintaining a positive credit history is to use a credit card each month for a couple of purchases and repay in full each statement.

You could alternatively buy the tumble drier on your credit card and repay that (if you cannot afford to repay in full each month then pay what you can afford, but make it more than the minimum payment). Obviously this would cost you in interest.

Or you could try applying for a credit card offering 0% on purchases for x months and use that for the tumble drier purchase.

You could check out the MSE eligibility checker to see if you are likely to be accepted for various cards - http://www.moneysavingexpert.com/credit-cards/best-0-credit-cards?_ga=1.220994384.91994898.1404996998#preapply

RaspberryRuffle

There's about £100 odds on it that I will clear next Friday on payday and plan to keep doing this, yeah. Just small payments that I can clear.

I could buy the tumble outright, I just thought that if taking a credit account for it would be beneficial (argos buy now pay later for example), then I would be as well doing it that way. Not sure if less credit agreement as are seen as better or if another settled account on my record would look good.

I want to apply for a mortgage in about 4 years so want to use my time wisely till then to keep improving.

CBU2004

You should get the tumble dryer from Very or IsMe (shop direct) or maybe Curry's as they offer BNPL - I found Shop Direct ones better as there was no charges when you payed off in full before your 6/9/12 months of BNPL.

Curry's use Creation Finance and each time I take out credit with them, usually a £25 fee for doing so.

As for a Credit Card, I started with a Vanquis and paid off in full (got accepted for £1250 or so at 39.9% APR) This is now £2250 limit, however I no longer use it.

I now use an ASDA cashback credit card, I have a £3,500 limit - up from around £1,500 when I first took it out. Bonus also, 1% CB at ASDA, 0.5% everywhere else and they usually throw other offers at you.

Tixy

I would only consider using a credit account (such a the argos one you mention) if it is the cheapest place to buy the drier. Usually they are not the cheapest places to buy white goods from, with some catalogues they can cost 20% more than the cheapest places.
Otherwise better to shop around for the drier and either pay in full, or buy on your card and pay next month.

A small credit account now for a few hundred quid is unlikely to make much impact on your ability to get a mortgage in a few years.

CBU2004

Tixy wrote: »

I would only consider using a credit account (such a the argos one you mention) if it is the cheapest place to buy the drier. Usually they are not the cheapest places to buy white goods from, with some catalogues they can cost 20% more than the cheapest places.
Otherwise better to shop around for the drier and either pay in full, or buy on your card and pay next month.

A small credit account now for a few hundred quid is unlikely to make much impact on your ability to get a mortgage in a few years.

^^^ This ^^^. Also sign up to Quidco (or other cash back sites) for some cash back and discount codes. I know Very and IsMe gave me £50 off first order above £xxx - cannot remember exact amount but I'm certain a Tumble Dryer would be within this range.