First Timer need help

Dingz

Hello, Looking to apply for my first credit card but really not sure what would be the best sort of card for me. The main reason im looking at a credit card is to build some sort of credit history (if thats the right way to put it) as i tend to save then pay in full.
The only items i currently have on monthly payment are
- Phone contract
- Car finance
- Car insurance

So i dont have much in terms of "credit history" i dont think.

The way im looking to use the card is to buy items with it then pay off in full the following month.

Any help or info would be Great thanks.

Sagz_2

I use a Visa and American Express from Barclaycard that earn me around £17 a month - not much, but it's free money
:money:

Strummer22

Dingz wrote: »

So i dont have much in terms of "credit history" i dont think.

The way im looking to use the card is to buy items with it then pay off in full the following month.

That's the way to do it. Set up a direct debit to pay off the full balance.

No credit history is pretty much bad credit history. Put your details in here: https://creditcards.moneysavingexpert.com/?bad-credit and see what you have a good chance being approved for.

KxMx

I would also be worthwhile looking at your own banks offering.

Anthorn

Dingz wrote: »

Hello, Looking to apply for my first credit card but really not sure what would be the best sort of card for me. The main reason im looking at a credit card is to build some sort of credit history (if thats the right way to put it) as i tend to save then pay in full.
The only items i currently have on monthly payment are
- Phone contract
- Car finance
- Car insurance

So i dont have much in terms of "credit history" i dont think.

The way im looking to use the card is to buy items with it then pay off in full the following month.

Any help or info would be Great thanks.

Go straight to MBNA. They have a compulsory eligibility check which won't affect your credit history and the offer they make if any is likely to be accurate and confirmed after a full search. Go for one or the other Credit Builder cards.

A shame though that the MBNA low rate Mastercard which I have appears to be no longer available for new applicants. But the Lloyds Bank Platinum Low Rate Mastercard is almost identical and is pretty easy to get. For Lloyds Group try the eligibility checker on moneysupermarket.com first.
http://www.lloydsbank.com/credit-cards.asp?WT.ac=TopLink/Navigation/ccimlookin#low-rate-cards

Ben8282

Sagz wrote: »

I use a Visa and American Express from Barclaycard that earn me around £17 a month - not much, but it's free money
:money:

Nice for you but the OP is not likely to be given this unadvertised product as their first credit card.

GingerBob_3

My son, in his early 20s, has just obtained his first credit card, from Barclays (not his bank). £2000 limit. Apparently it was an easy application, but he had to wait five days for acceptance. OP - this might be worth a try.


Definitely avoid Post Office, or any other company that uses the Bank of Ireland.

Anthorn

Dingz wrote: »

Hello, Looking to apply for my first credit card but really not sure what would be the best sort of card for me. The main reason im looking at a credit card is to build some sort of credit history (if thats the right way to put it) as i tend to save then pay in full.
The only items i currently have on monthly payment are
- Phone contract
- Car finance
- Car insurance

So i dont have much in terms of "credit history" i dont think.

The way im looking to use the card is to buy items with it then pay off in full the following month.

Any help or info would be Great thanks.

Alternatively, try Barclaycard. They probably have the best range of cards ranging from prime to sub-prime. Their eligibility checker is pretty much unique in that you don't need to apply for a particular card. Just fill out the simple form and they will give you a probably maybe on cards from their own products. Then you select one from your offers, fill out the full application and they do a full credit search and maybe finalise your application.

Ebe_Scrooge

In addition to the useful advice already posted, I'll just reiterate one thing that's already been said - set up a direct debit to pay the bill every month.


Most cards will allow you to set up a DD to pay the minimum, a fixed amount, or the full amount every month - you want the last option. You absolutely MUST pay at least the minimum every month - if you don't, then as well as being hit with charges you'll have a very negative affect on your credit history, which is obviously the direct opposite of what you're trying to do. But only paying the minimum all the time is also bad - you'll be paying interest, and it'll also look bad on your credit history, it looks as though you're struggling.


So, a DD for the full amount every month - no interest to pay, and good for your history.


You need the payment to be made AFTER the statement date but BEFORE the "payment due" date - typically there's 2 weeks or so between the two dates. But when you set up the DD it should be fairly clear as to when they'll take the payment.


Finally, just keep a close eye on your account for the first month - it's not unheard of for the DD to not be collected in the first month, so just be prepared to make a manual payment if needs be. But once it's in place, use the card for your every day spending ( don't be tempted to spend more than you ordinarily would ! ) and let your good history gradually build up.


Oh, and good for you for referring to "credit history" rather than "credit score" which is totally meaningless

TheDebtinator

Anthorn wrote: »

Go straight to MBNA. They have a compulsory eligibility check which won't affect your credit history and the offer they make if any is likely to be accurate and confirmed after a full search. Go for one or the other Credit Builder cards.

A shame though that the MBNA low rate Mastercard which I have appears to be no longer available for new applicants. But the Lloyds Bank Platinum Low Rate Mastercard is almost identical and is pretty easy to get. For Lloyds Group try the eligibility checker on moneysupermarket.com first.
http://www.lloydsbank.com/credit-cards.asp?WT.ac=TopLink/Navigation/ccimlookin#low-rate-cards

Does that apply for all of their cards?

Anthorn

TheDebtinator wrote: »

Does that apply for all of their cards?

MBNA? As far as I know, yes. The eligibility check is a compulsory first step. But you have to choose the card to apply for whereas Barclays eligibility check will match you and your credit history with cards across their whole range.