High Balances:

tomxlisa

eskbanker wrote: »

Unfortunately, it's not how you see it that matters, if you're doing this to build a history then you need to consider how credit ratings agencies would see it. If you can pay them off in full, do so, it'll save you money and look better to lenders....

This is true I think i will change my habits, and maybe just run a small balance on them.

tomxlisa

20aday wrote: »

OP what are the limits on your cards?

I agree with the replies above; the interest might be minimal but it's daft to pay any at all when you don't need to.

Only £200 and one £250.

m4rc

tomxlisa wrote: »

This is one way but unfortunately capital one seem rubbish at increasing the limits, my vanquis I've only had for a month, that is suppose to have a raise at month 5 apparently.

I have read this so many times from you and I always try to resist saying anything, but I'm going to this time. You are desperate for limit increases, and that is a real worry. Forget about them, capital one won't increase it, and I'm sure Vanquis won't for a while, in fact it would be a bad idea if they did as you would just spend to the limit. If your genuine reason for wanting more credit is say a mortgage then the limits are not the issue. Your history is. Stop spending, all you need to do is make your usual household purchases on the cards and pay off in full by direct debit. If you can't afford to do that then I'd suggest maybe you shouldn't be spending on the cards.

If you do that then within a short space of time as long as you don't have defaults CCJs and the likes and as long as your income is good enough there is no real reason you won't get a mortgage.

Who told you to get a better credit history you need to hold a big balance and pay interest? Or get limits increased and increased?

Those limits will go up but not fast, and if they did I think it would be dangerous for you. Get this wrong and you can forget a house purchase.

In a couple of years from now doing nothing more than I said above you will have no trouble getting a mainstream card and it will have a much higher limit.

You just need some patience, you are in a real rush with thei stuff, jealous other people get increases to limits when they have had defaults and CCJs when the reality is they may have 20 times your income and a much better history.

Let it go, forget chasing a credit history, it will grow and evolve by itself, I don't think it's possible to cheat the system, but it is VERY possible to get it wrong and mess it all up for 6 more years.

Good luck

Gizmo247

Good advice from m4rc here. Take note.

A4445

tomxlisa wrote: »

Only £200 and one £250.

I have absolutely no idea how Capital One works out credit limit and risk and who gets what.

I've got awful credit being an ex bankrupt, admiting it's old now and will be gone off credit reports this year. Capital One I feel as been over generous with me 2x Cards both with £1500 limits.

I don't hold a balance I literally spend £50 a month on each and pay it in full. The only reason I have them is to build a good credit history for a mortgage in the next few years. I'm not really bothered if they increase the limits tho because I'm never gonna hold a balance on them. I've learnt a hard lesson and won't make the same mistake twice!

eskbanker

tomxlisa wrote: »

This is true I think i will change my habits, and maybe just run a small balance on them.

Why would you run any balance on them if you can afford to pay them off in full each month? Using them sensibly and paying them off in full every month looks much better then running balances if you're trying to (re)build credit history as it shows you can manage debt. Can you?

tomxlisa

m4rc wrote: »

I have read this so many times from you and I always try to resist saying anything, but I'm going to this time. You are desperate for limit increases, and that is a real worry. Forget about them, capital one won't increase it, and I'm sure Vanquis won't for a while, in fact it would be a bad idea if they did as you would just spend to the limit. If your genuine reason for wanting more credit is say a mortgage then the limits are not the issue. Your history is. Stop spending, all you need to do is make your usual household purchases on the cards and pay off in full by direct debit. If you can't afford to do that then I'd suggest maybe you shouldn't be spending on the cards.

If you do that then within a short space of time as long as you don't have defaults CCJs and the likes and as long as your income is good enough there is no real reason you won't get a mortgage.

Who told you to get a better credit history you need to hold a big balance and pay interest? Or get limits increased and increased?

Those limits will go up but not fast, and if they did I think it would be dangerous for you. Get this wrong and you can forget a house purchase.

In a couple of years from now doing nothing more than I said above you will have no trouble getting a mainstream card and it will have a much higher limit.

You just need some patience, you are in a real rush with thei stuff, jealous other people get increases to limits when they have had defaults and CCJs when the reality is they may have 20 times your income and a much better history.

Let it go, forget chasing a credit history, it will grow and evolve by itself, I don't think it's possible to cheat the system, but it is VERY possible to get it wrong and mess it all up for 6 more years.

Good luck

Thanks for the advice, most of it was good information, but i do not want a mortgage and the only reason why i have balances on my cards at the moment is i don't see it as a major priority to pay them off in full (unless it is gonna damage my credit file) and from what i've read it doesn't do much negative to your credit reports it just looks more favourable if your paying them off in full, i guess as like you've all said as this may look like you can afford to use them, i think in the future i will pay most of the balance off and just leave a tiny amount, like £20 quid or summat instead of the current £150 or so.

tomxlisa

eskbanker wrote: »

Why would you run any balance on them if you can afford to pay them off in full each month? Using them sensibly and paying them off in full every month looks much better then running balances if you're trying to (re)build credit history as it shows you can manage debt. Can you?

The reason i choose to leave a balance is the card looks active on my credit reports then as i am paying towards it each month which gets me the on time markers, if i pay it off and don't use it for 5 months it will show inactive and no markers then?.

SnowTiger

tomxlisa wrote: »

Only £200 and one £250.

Extremely low limits, which suggests the two card providers are taking a punt on you.

You should pay the balances in full every month. To do otherwise suggests even those limits are problematic for you.

PeacefulWaters

Clear the balance in full every month. Stop chucking away money on interest you don't need to pay. That's madness.

Make a normal purchase every month on each card. Not something extra, just your ordinary day to day spending. Get statement. Pay in full. Repeat.

Costs you nothing. Establishes payment history.