Will I benefit from a Credit Card?

amylouise39

I have worked hard and managed to pay off all 3 of my credit cards and close the accounts, as well as all finance agreements (Argos, Simba mattress etc) except my Car finance. I currently only have an arranged overdraft on my current account of £1000, and i'm £800 into it with a plan of paying this off over the next 6 months.

I am hoping to be in a position to get a mortgage in around 2 years.

My question is, as I don't have any open credit accounts, is this something necessary to have when looking to get a mortgage?

Any help would be greatly appreciated! x

[Deleted User]

It's not absolutely necessary, but a credit card is a useful, easy and free way of building and maintaining some credit history.

Get two or three (space out the applications) and use regularly/occasionally, clearing in full each month.

macman

So you don't have a mobile contract, a gas/electricity/water/landline account? All are credit accounts.
The above advice is sound: what lenders want to see is a steady record of credit being taken and repaid on time.

amylouise39

No, nothing else in my name!
Thank you for your reply.