I will be debt free by March but....

ryan121

A credit check for renting only checks public information such as bankruptcy and ccjs. Defaults don't matter.

A credit card will make no difference to your ability to rent.

Efcapr

I’m in same position almost as OP debt free from end feb after 5years of paying off a DMP

My salary is fairly high £30-40K so I’ll be saving for my own house with my other half and obviously for mortgage I’ll want to improve my credit score.

Credit card for shopping is my plan and checking my report for errors. Anything else I can do.

For OP I’ve been in a DMP for 5 years and sailed through credit checks for rented property every time

soon2b_debt3

Hi All,

Its comforting to know it may not be as difficult renting a property as I originally thought. I haven't had any CCJ's or bankruptcies, just the 2 defaults in 2016.

I'm on the electoral register so at least I have that going in my favour at the moment :rotfl:

I think I'm going to stay clear of credit cards because I honestly don't trust myself with one.

Thank you everyone for your advice so far, its great to speak about these things without any judgement

db2016

really, i was in 2016, discharged a year later, from my credit files they all have a tick or smiley face etc next to ccj or bankruptcy, it WAS on the gazette etc, for a year as per the norm,
should i be glad its not on the files, or should i ask for it be corrected (as in do i have a duty to make them have it on), or am i "lucky" its not on there and someones made a good lil admin error in my favour?

ryan121 wrote: »

A credit check for renting only checks public information such as bankruptcy and ccjs. Defaults don't matter.

A credit card will make no difference to your ability to rent.

[Deleted User]

Firstly, there's no such thing as a universal credit rating.

https://www.moneysavingexpert.com/loans/credit-rating-credit-score/

Secondly. when letting agents perform a credit check the only part of your credit files they can access are your public credit files and the only thing your public credit files show are CCJ and insolvency. Therefore a letting agent wouldn't know you have any defaults unless you tell them.

Unless you are thinking about accessing credit in the future, eg for a mortgage, then I wouldn't bother with a credit card unless you really want one and can trust yourself to repay it in full each month.

Jami74

It is entirely possible to live life without a credit card and still be able to get credit if/when you apply for it. It surprises me that getting a credit card seems like such a high priority on a money saving website. They certainly do have their place, but for people for who whatever reason may get into difficulty with them the benefits probably do not outweigh the risks.

I got my first credit card a couple of years ago in my forties. Prior to that I've had no problems renting, getting phone contracts, a loan with my bank, using buy now pay later 0% deals on furniture etc.

EssexHebridean

Credit cards - used well - can be of huge benefit, which is why they very much have their place on this site. We've used 0% cards (allowing us to leave money in savings, earning interest) and also cashback cards (paid off in full each month) for years now without paying a penny of interest - when they are used for planned, budgeted spends for which the money has already been set aside then it is perfectly possible to make them work in your favour. It's when people are tempted to overspend BECAUSE they have the card that it becomes a problem.

fatbelly

Use them sensibly and they have benefits - whether it be clubcard points, nectar points or whatever.

tealady

Hi
I have credit cards which I use to get the section 75 protection.
However before I use the card I make sure I gave the money available to pay the bill.
As soon as I use the card I pay it IN FULL. That way when the statement arrives there is nothing to pay.
Also each time my card provider tries to put my limit up I ensure they dont.
That way I know I am in control.
HTH

Jonathan_Kelvin

soon2b_debt3 wrote: »

Hi everyone,

I will finally be debt free by March this year after having a DMP through Stepchange. However I'm not sure what I actually do after the debt is gone in regards to building my credit rating?

I've read about credit building cards but I'm very wary of these as I don't want to get myself in the same situation as before.

This the first time I will be debt free since I was 21, I'm now 34 so I'm completely clueless about how to improve it.

All my credit card accounts are closed and the only bills in my name are for the internet and my mobile phone.

How about instead of improving your credit rating, which only matters if you want to get back into debt, you concentrate instead on living within your means and building up some savings?