Credit limit increase now, in April?

born_again

If you are paying on time. Then nothing will increase your credit history. That is based on not missing payments.
Credit score. Don't bother it's not seen by lenders. 

D3xt3r5L4b

Don’t improve your “score” - it’s not real. 

Even a £200 limit card being paid in full each month increases your credit history as much as spending £3000 per month and paying it back. 

abc.xyz

gyorfitam said:

abc.xyz said:

If you've been managing your card as well as you say, I would shop around first. You may be eligible for a better card now.

The only reason I want to increase my credit limit is to work on my credit history, credit score, etc. It's really challenging to do anything with £200.
Anyway... I checked out some reward cards and basically I won't have chance to spend £3000+ in the 1st 3 months. I mean how now? With groceries ? And I'm not sure what other credit cards could offer to be honest other than lower interest rate that I'm not even going to make a use of because I'm always pay back in full. Any suggestions? We have a Sainbury's close and we are shopping there from time to time. Maybe one of their credit cards?

I'm guessing what you have is a Barclaycard Forward? They are cards for people with poor credit, and those sorts of cards have low limits and high interest rates. What I meant by a "better card" is those offered to people with decent/good credit, with higher limits and lower interest rates. But if you're just looking to improve your credit history, don't apply for another card. Actually, don't even request a limit increase. It doesn't matter what your limit or balance is. Paying back on time is paying back on time, regardless of the amount.

gyorfitam

abc.xyz said:

gyorfitam said:

abc.xyz said:

If you've been managing your card as well as you say, I would shop around first. You may be eligible for a better card now.

The only reason I want to increase my credit limit is to work on my credit history, credit score, etc. It's really challenging to do anything with £200.
Anyway... I checked out some reward cards and basically I won't have chance to spend £3000+ in the 1st 3 months. I mean how now? With groceries ? And I'm not sure what other credit cards could offer to be honest other than lower interest rate that I'm not even going to make a use of because I'm always pay back in full. Any suggestions? We have a Sainbury's close and we are shopping there from time to time. Maybe one of their credit cards?

I'm guessing what you have is a Barclaycard Forward? They are cards for people with poor credit, and those sorts of cards have low limits and high interest rates. What I meant by a "better card" is those offered to people with decent/good credit, with higher limits and lower interest rates. But if you're just looking to improve your credit history, don't apply for another card. Actually, don't even request a limit increase. It doesn't matter what your limit or balance is. Paying back on time is paying back on time, regardless of the amount.

So if I don't change anything, just continue to do what I've been doing so far (paying back on time fully, only spending like 10-20% of the available credit), this should give me a good credit history? I mean will this put me in a better position when I will actually would like to have a loan/mortgage/etc.?
What do you think about what this guy is saying in this video: https://www.youtube.com/watch?v=ukaWAjgkH9M?

jay1804

Personally I think a bigger limit show future lenders that you are more trustworthy as long as you manage the CC well (Pay on time, keep below the limt, no cash withdrawals).

For my Barclaycard it went from £250 - £500 - £900 – £2700 in a 16 month period. Obviously this depends on your individual circumstances (Income, stability, other accounts). 

D3xt3r5L4b

gyorfitam said:

abc.xyz said:

gyorfitam said:

abc.xyz said:

If you've been managing your card as well as you say, I would shop around first. You may be eligible for a better card now.

The only reason I want to increase my credit limit is to work on my credit history, credit score, etc. It's really challenging to do anything with £200.
Anyway... I checked out some reward cards and basically I won't have chance to spend £3000+ in the 1st 3 months. I mean how now? With groceries ? And I'm not sure what other credit cards could offer to be honest other than lower interest rate that I'm not even going to make a use of because I'm always pay back in full. Any suggestions? We have a Sainbury's close and we are shopping there from time to time. Maybe one of their credit cards?

I'm guessing what you have is a Barclaycard Forward? They are cards for people with poor credit, and those sorts of cards have low limits and high interest rates. What I meant by a "better card" is those offered to people with decent/good credit, with higher limits and lower interest rates. But if you're just looking to improve your credit history, don't apply for another card. Actually, don't even request a limit increase. It doesn't matter what your limit or balance is. Paying back on time is paying back on time, regardless of the amount.

So if I don't change anything, just continue to do what I've been doing so far (paying back on time fully, only spending like 10-20% of the available credit), this should give me a good credit history? I mean will this put me in a better position when I will actually would like to have a loan/mortgage/etc.?
What do you think about what this guy is saying in this video: https://www.youtube.com/watch?v=ukaWAjgkH9M?

Again utilisation means nothing if you’re paying it back in full. 

And ignore any “advice” to improve your score, especially USA based advice where the scores ARE actually relevant (and they’re NOT in the UK). 

gyorfitam

D3xt3r5L4b said:

gyorfitam said:

abc.xyz said:

gyorfitam said:

abc.xyz said:

If you've been managing your card as well as you say, I would shop around first. You may be eligible for a better card now.

The only reason I want to increase my credit limit is to work on my credit history, credit score, etc. It's really challenging to do anything with £200.
Anyway... I checked out some reward cards and basically I won't have chance to spend £3000+ in the 1st 3 months. I mean how now? With groceries ? And I'm not sure what other credit cards could offer to be honest other than lower interest rate that I'm not even going to make a use of because I'm always pay back in full. Any suggestions? We have a Sainbury's close and we are shopping there from time to time. Maybe one of their credit cards?

I'm guessing what you have is a Barclaycard Forward? They are cards for people with poor credit, and those sorts of cards have low limits and high interest rates. What I meant by a "better card" is those offered to people with decent/good credit, with higher limits and lower interest rates. But if you're just looking to improve your credit history, don't apply for another card. Actually, don't even request a limit increase. It doesn't matter what your limit or balance is. Paying back on time is paying back on time, regardless of the amount.

So if I don't change anything, just continue to do what I've been doing so far (paying back on time fully, only spending like 10-20% of the available credit), this should give me a good credit history? I mean will this put me in a better position when I will actually would like to have a loan/mortgage/etc.?
What do you think about what this guy is saying in this video: https://www.youtube.com/watch?v=ukaWAjgkH9M?

Again utilisation means nothing if you’re paying it back in full. 

And ignore any “advice” to improve your score, especially USA based advice where the scores ARE actually relevant (and they’re NOT in the UK). 

So what matters in this case? What's the right (best) strategy to get better loans / mortgages in the future? I'm already doing what jay1804 mentioned. Is there anything else?

D3xt3r5L4b

gyorfitam said:

D3xt3r5L4b said:

gyorfitam said:

abc.xyz said:

gyorfitam said:

abc.xyz said:

If you've been managing your card as well as you say, I would shop around first. You may be eligible for a better card now.

The only reason I want to increase my credit limit is to work on my credit history, credit score, etc. It's really challenging to do anything with £200.
Anyway... I checked out some reward cards and basically I won't have chance to spend £3000+ in the 1st 3 months. I mean how now? With groceries ? And I'm not sure what other credit cards could offer to be honest other than lower interest rate that I'm not even going to make a use of because I'm always pay back in full. Any suggestions? We have a Sainbury's close and we are shopping there from time to time. Maybe one of their credit cards?

I'm guessing what you have is a Barclaycard Forward? They are cards for people with poor credit, and those sorts of cards have low limits and high interest rates. What I meant by a "better card" is those offered to people with decent/good credit, with higher limits and lower interest rates. But if you're just looking to improve your credit history, don't apply for another card. Actually, don't even request a limit increase. It doesn't matter what your limit or balance is. Paying back on time is paying back on time, regardless of the amount.

So if I don't change anything, just continue to do what I've been doing so far (paying back on time fully, only spending like 10-20% of the available credit), this should give me a good credit history? I mean will this put me in a better position when I will actually would like to have a loan/mortgage/etc.?
What do you think about what this guy is saying in this video: https://www.youtube.com/watch?v=ukaWAjgkH9M?

Again utilisation means nothing if you’re paying it back in full. 

And ignore any “advice” to improve your score, especially USA based advice where the scores ARE actually relevant (and they’re NOT in the UK). 

So what matters in this case? What's the right (best) strategy to get better loans / mortgages in the future? I'm already doing what jay1804 mentioned. Is there anything else?

Use the card as you’ve been using it currently, get a second one when you can and use it in the same way. Get a SIM-only phone contract that reports to your files. Some utility companies report to credit files as well. 

Also don’t aspire to be able to get “loans in the future”. They’re not needed. 

A mortgage, yes. A loan, no. 

gyorfitam

D3xt3r5L4b said:

Use the card as you’ve been using it currently, get a second one when you can and use it in the same way. Get a SIM-only phone contract that reports to your files. Some utility companies report to credit files as well. Also don’t aspire to be able to get “loans in the future”. They’re not needed. A mortgage, yes. A loan, no. 

I was more thinking about business loans, not planning to get loans for unnecessary things . Right now it seems I won't even need that but it would be nice to have the possibility in certain scenarios.
Mortgage: yeah, we are renting now and it's painfully expensive AND we won't even have anything at the end this way. For example my partner's parents are paying less for a 4 bedroom house (mortgage) than what we pay for a 2 bedroom flat (private rent) in the same town. And they have a 15-year mortgage with a not really great credit history.

abc.xyz

gyorfitam said:

So if I don't change anything, just continue to do what I've been doing so far (paying back on time fully, only spending like 10-20% of the available credit), this should give me a good credit history? I mean will this put me in a better position when I will actually would like to have a loan/mortgage/etc.?
What do you think about what this guy is saying in this video: https://www.youtube.com/watch?v=ukaWAjgkH9M?

You should use a credit card to pay for all of your food, petrol, subscriptions, etc - then pay it all back in full by direct debit each month. You do not need to worry about what % of your limit you are using if you're paying in full each month. Just don't go over your limit or withdraw cash. Obviously, with a £200 limit you aren't going to be able to pay for much on there. If you're confident you won't go and spend the money sitting in your bank account which you need to keep to pay off your balance then, sure, go ahead and apply for a higher limit. I would still suggest looking around for a better card though. If an unexpected bill arises and you're unable to pay off your full balance, wouldn't you prefer a lower interest rate?