Best Credit Card For Young Person?

Joewilliams1997

Hi there,

I'm 18. I want to build up my credit rating because I want to have good credit. Now I'm 18 and live with my mum. I don't pay any direct debits yet. I have a decent amount of money saved and am good at not touching it. So I just want to know, for someone like me who wants to build up there credit rating, which would be the best credit card for me?

Thanks guys :j

[Deleted User]

Joewilliams1997 wrote: »

Hi there,

I'm 18. I want to build up my credit rating because I want to have good credit. Now I'm 18 and live with my mum. I don't pay any direct debits yet. I have a decent amount of money saved and am good at not touching it. So I just want to know, for someone like me who wants to build up there credit rating, which would be the best credit card for me?

Thanks guys :j

Try your own bank, as they will have the best view of your history, as you will have very little on your credit files.

Failing that, try a sub prime provider, such as aqua, Vanquis or Cap One.

Whatever you end up, use it regularly (for things you would buy anyway) and clear in full each month, every month.

Paul_1977

My own bank refused me for my first card, I went to Metro Bank, (opened a current account first for six months and used), and got accepted straight away with a very high limit.

[Deleted User]

You sound very responsible, you could utilise a credit card which can provide you with cashback for example.

There are quite a few options for you,

- Amex Platinum Everyday
5% cashback for first 3 months + up to 1.25% after

- Asda Money
Shopping at Asda can earn you 1% cashback, get 0.5% elsewhere

- Aqua Reward
For those with poor history: 0.5% cashback

To build up your credit rating with a credit card, firstly make sure you pay in full (easiest done by setting up a direct debit).
Secondly, utilise around 15-30% of your credit limit each month to maximise the effectiveness of improving your credit rating.

Applying for a non secure loan is also another way of improving your credit rating.

jonesMUFCforever

[Deleted User] wrote:

You sound very responsible, you could utilise a credit card which can provide you with cashback for example.

There are quite a few options for you,

- Amex Platinum Everyday
5% cashback for first 3 months + up to 1.25% after

- Asda Money
Shopping at Asda can earn you 1% cashback, get 0.5% elsewhere

- Aqua Reward
For those with poor history: 0.5% cashback

To build up your credit rating with a credit card, firstly make sure you pay in full (easiest done by setting up a direct debit).
Secondly, utilise around 15-30% of your credit limit each month to maximise the effectiveness of improving your credit rating.

Applying for a non secure loan is also another way of improving your credit rating.

Please ignore the last sentence - it is so wrong to pay interest on a loan just to ''improve'' a credit score which is meaningless.

[Deleted User]

He was asking for ways to improve his credit rating. It is still a valid way to show lenders that you are capable of repayments over long periods thus improving your credit score. He can keep that in mind for when he does need the money.

Superscrooge

If you don't have any success with your bank try the MSE eligibility checker to see which credit builder cards you are likely to be accepted for.

https://creditcards.moneysavingexpert.com/?bad-credit

Whilst you could take out a loan to build your credit history. This seems an unnecessarily expensive way of doing it when credit cards are free as long as you pay your balance in full each month.

jonesMUFCforever

[Deleted User] wrote:

He was asking for ways to improve his credit rating. It is still a valid way to show lenders that you are capable of repayments over long periods thus improving your credit score. He can keep that in mind for when he does need the money.

Sorry but this is codswallop!

Typhoon2000

Yes take a loan out only if you need to borrow money. No point taking out loan and paying interest just so you can improve you credit history so you can ........ take out another loan.

Being on the electrol roll, a credit card that you payoff in full and small phone contract is more than enough history to get a mortgage.