I need some advice please

chopperlyons

Hi everybody. Im currently trying to save for a new house.
I have a 'good credit score with Equifax.
I have £6000 in my bank and I get a regular income of £1000 via my benefits (I have mental health issues).
I have no credit cards, debts and the only money I have going out is to pay my monthly rent (£400).
I would like to get my credit score to be as high as possible, for future purchases e.g phone contract, mortgage, car etc etc.
There are so many credit cards out there, Im really lost as to how they work.
I few companies are trying to lure me in with freebies etc. I really don't know what to go for. However, I love a good deal if there's one to be had.
I've had a few issues regarding debt in the past, so Im not too sure if this will affect me.
Any advice would be really appreciated.

Dobbibill

Hi chopperlyons - welcome to the forum.

Take little/no notice of your score with Equifax - what does your report actually say? Does it list your debts from previously? Are you showing as being on the ER? Are all your accounts up to date? Is your address correct? etc etc.

It's the actual facts that lenders take from the CRAs not the score.
Have you checked your report from any other CRAs? If not, maybe check those out too.

Call Credit can be done via Noddle and Experian done via Credit Club here on MSE.

There is also an eligibility checker available for you to see which cards you are likely to be accepted for. We could all list several but there's no guarantee you would get them. Have a look at this link to see what the likelihood is, remember it's only a guide though and never guaranteed.

https://www.moneysavingexpert.com/eligibility/

[Deleted User]

If you have issues with debt in the past do you really want to be getting a credit card?

Woolco

Hi. Can you tell me what freebies the card companies are trying to lure you in with?

Willing2Learn

chopperlyons wrote: »

Hi everybody. Im currently trying to save for a new house.
I have a 'good credit score with Equifax.
I have £6000 in my bank and I get a regular income of £1000 via my benefits (I have mental health issues).
I have no credit cards, debts and the only money I have going out is to pay my monthly rent (£400).
I would like to get my credit score to be as high as possible, for future purchases e.g phone contract, mortgage, car etc etc.
There are so many credit cards out there, Im really lost as to how they work.
I few companies are trying to lure me in with freebies etc. I really don't know what to go for. However, I love a good deal if there's one to be had.
I've had a few issues regarding debt in the past, so Im not too sure if this will affect me.
Any advice would be really appreciated.

Are you working or is your income all from benefits? If your income is only benefits, then that will probably mean mainstream lenders will not open an account for you. You will most likely have to open an account with a sub-prime lender such as CapitalOne or Aqua.

chopperlyons

I have literally just registered on the ER, since reading your comment.
It's being processed.
I have also joined the Credit club.
From what the credit club is saying, the fact I've had no cards or made any payments over the years, I've got a poor credit score/rating.
So what next?

chopperlyons

From what my report is saying, my previous debts aren't cause for concern.
Its the fact I've not had any credit since my previous debts. So it's saying that I need to start showing payments to increase my credit score.
This is why Im on here. Im lost with it all. Sorry to sound so stupid.

chopperlyons

This is what loses me. So if i was to take a credit card out, say with Aqua, does that mean i have to e.g spend on the credit card at Asda and then repay the amount back higher than what I purchased.
I think I need to read 'The idiots guide to money'.
Thank you for being so patient.

Woolco

What freebies?

Terry_Towelling

chopperlyons wrote: »

This is what loses me. So if i was to take a credit card out, say with Aqua, does that mean i have to e.g spend on the credit card at Asda and then repay the amount back higher than what I purchased.
I think I need to read 'The idiots guide to money'.
Thank you for being so patient.

If you use a credit card for purchases, receive a statement from the card company (listing all the purchases you've made) and pay the total amount in full before the 'due date' you don't have to pay any extra at all. If you don't pay it all back in one go, then you will be charged interest and will end up paying more.

By the way, are you sure your only outgoing is £400 on rent? What about gas, electricity, water, council tax, clothing, food, insurances etc?

Are you also certain that your benefits will continue at this level - or do you plan to get a job too? If you do get a job, what impact will this have on your benefits?

You seem to be doing quite well with the savings so far - £6K (and rising?) will certainly go some way towards securing a deposit on a house.

[Deleted User]

Firstly ignore your credit score and rating as it’s not a real thing.

If you were to use a credit card then use it for your usual monthly spends and pay it back in full each month after each statement.