Student - How To Build Credit History

Henradical

Hi folks,

Starting Uni this September. Being money savvy I'm interested in trying to build up a credit rating. I've currently got several current accounts shifting money with TSB, Nationwide and Lloyds paying 5% and 4% Gross.

Would it be worth opening Student Credit Card accounts with TSB / Lloyds / HSBC / Hallifax / Capital One, with the intention of paying back the bills instantly via direct debit? This would give me the benefit of building a credit rating, plus reaping the additional benefits thrown in with the cards (e.g. cash back, discounts etc.)

Thanks,
Henry

Thrugelmir

One card will suffice. Choose one that suits your requirements.

CLAPTON

Henradical wrote: »

Hi folks,

Starting Uni this September. Being money savvy I'm interested in trying to build up a credit rating. I've currently got several current accounts shifting money with TSB, Nationwide and Lloyds paying 5% and 4% Gross.

Would it be worth opening Student Credit Card accounts with TSB / Lloyds / HSBC / Hallifax / Capital One, with the intention of paying back the bills instantly via direct debit? This would give me the benefit of building a credit rating, plus reaping the additional benefits thrown in with the cards (e.g. cash back, discounts etc.)

Thanks,
Henry

unless you have a earned income you will struggle to get anything but a student credit card with a low credit limit.

but yes, if used proper;ly and paid in full each month they will build a decent credit file for you.

Henradical

CLAPTON wrote: »

unless you have a earned income you will struggle to get anything but a student credit card with a low credit limit.

but yes, if used proper;ly and paid in full each month they will build a decent credit file for you.

Thanks, do you think it's worth having a couple of accounts (There are a few with nice incentives) or would it just be overkill and unnecessary. Managing multiple accounts doesn't bother me in the least. If it benefits the credit history that's great.

Cheers

CLAPTON

Henradical wrote: »

Thanks, do you think it's worth having a couple of accounts (There are a few with nice incentives) or would it just be overkill and unnecessary. Managing multiple accounts doesn't bother me in the least. If it benefits the credit history that's great.

Cheers

by 'accounts' do you mean credit cards?

Henradical

CLAPTON wrote: »

by 'accounts' do you mean credit cards?

Yes, sorry

CLAPTON

if you are a student with no earned income, then it is difficult to get normal cards as they usually require a minimum income.

Student CC usually are associated with student banks a/cs and have low credit limit (say max 500) and no real benefits; however they will hold you in good stead later when applying for cards with benefits.

No harm in having more than one as long as you pay them in full each month.

Henradical

CLAPTON wrote: »

if you are a student with no earned income, then it is difficult to get normal cards as they usually require a minimum income.

Student CC usually are associated with student banks a/cs and have low credit limit (say max 500) and no real benefits; however they will hold you in good stead later when applying for cards with benefits.

No harm in having more than one as long as you pay them in full each month.

Thanks, yep I have no intention of borrowing money at all, just building a credit record. Yep I know I would have to use student credit accounts but most banks are doing those nowadays.

Thanks again