Building Credit History in the UK while moving address in less than a year.

BRUMMM

Hello

I have a very specific query but could not find any information to answer my doubts on the site. I found lots of useful info regarding how to built up credit history, which I read and took on board.

I've searched for a threat to answer my doubt but could not find anything. If there is one, please do send me the link to the thread and I will delete this one.

Background to my case, I have NO credit history in the UK. I arrived to the UK in 2003 to study my degree. I graduated in 2006 and started working full time straight away, am since then in full time employment. :beer:

I never had a loan. I never though I needed one. I worked part-time through Uni. etc. never spend what I don't have type of mentality. Until now, I want to buy a flat and have saved already for a deposit :T.

I have a bank account (co-operative) since 2005. I had a meeting with the branch director 5 months ago, I inquiry about mortgages. He said I needed to upgrade my account and also apply for a credit card. We did, and surprise-surprise I failed the application :eek:. I was shocked, since I don't own money to anyone (credit history in Spain is a no brainer: No debts = Great credit history).

So my credit history turns from non-existent to BAD, from my bank credit card application failed. The bank manager, does not give me any clue of why my application failed. Useless.

I turn to this site for tips. Great found, thanks a million.:money:

I conclude that is because: A) I have never registered to vote and I've never rented a whole property by myself. I have always shared rented accommodation (only way to save any money!). Therefore, the credit checker systems may find it difficult to track my residence in the UK in general. (?)

I have now registered to vote. But only lived on my current address for 3 months now. On my previous address I lived for 6 months. And the previous one for 8 months. And the previous one for 3 years. But never got registered to vote... I didn't know it was so relevant to my finances. OK, I also moved a lot, but I though since my bank had my permanent address always up to date, it would be sufficient to trace my address for the past 10 years! Apparently not.

Now, I have been offered today the Capital One Classic Extra, credit card, on a "soft" application engine. I scored a big "great" to chances to get approval on this one and scored only "good" for the Aqua Rewards (which I prefer).

Shall I apply for one of these two OR shall I wait until I managed to add up 12 months under the vote registry? What is the minimum re "address trace ability" to get approved on one of these credit cards? I don't want to apply, fail and smudge even further my credit history.

Thanks in advance for any help & :xmassign:!

Tixy

A single application won't have a big impact on your credit file, and it won't be recorded on your file whether you are accepted or declined, it just shows as a credit search.

I would make an application for one of those credit cards now, probably the capital one card for now.

If accepted then once you have say 6months of credit history using and repaying the card you could then apply for a reward card.

If you are declined then I'd wait a few more months and then try applying again.

DivaMum

I had luck with a CashPlus Pre-Paid card enrolled in CreditBuilder. Within two months I was approved for an Aqua Card And I'm not on the electoral roll yet.

Good luck to you!

Anthorn

You've realised that to get credit you already need to have had credit and therefore a credit history. But credit is not necessarily loans and credit cards. Credit could for example be a sim only monthly mobile phone contract.

Not necessarily relevant but I applied for a Cashplus prepaid Mastercard 0n December 22 2014 and that resulted in not a simple anti-fraud ID check on my credit file but a full-blown credit check according to Equifax. I have sent an inquiry about this since I was not aware of an impending credit check.

Anyway, better alternatives to build a credit history if you can get them is a monthly mobile phone contract and a mail order account (jdwilliams.co.uk). But be careful with credit checks: No more than 3 in six months.