Advice on spending on a credit card to build credit
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sbrewer4
Posts: 4 Newbie
Hi all,
I am soon to be 18 and I'm looking at getting my first credit card to help build up a report and score. I understand the key principle of doing some spending, paying off in full at the end of the month etc, however I have a few questions around the types of purchases and if they would make a difference. I travel to college on the bus 5 days a week term time, twice a day at £3.60 per day, would it be advisable to put this on a credit card and pay off in full to build my credit score/report (of course credit limit allowing, so I'm not maxed on the limit), does it matter if the spending on the card is small but frequent (like my bus fare) or is it better to have one larger payment?
Thanks
I am soon to be 18 and I'm looking at getting my first credit card to help build up a report and score. I understand the key principle of doing some spending, paying off in full at the end of the month etc, however I have a few questions around the types of purchases and if they would make a difference. I travel to college on the bus 5 days a week term time, twice a day at £3.60 per day, would it be advisable to put this on a credit card and pay off in full to build my credit score/report (of course credit limit allowing, so I'm not maxed on the limit), does it matter if the spending on the card is small but frequent (like my bus fare) or is it better to have one larger payment?
Thanks
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Comments
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It makes no difference.1
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Doesn't matter so long as it's paid off on time, just don't worry about the gimmick score, it doesn't matter for anything, no-one but you sees it and it has no bearing on whether you will ever get credit
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Churning spend through a credit card proves nothing at all.0
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sbrewer4 said:Hi all,
I am soon to be 18 and I'm looking at getting my first credit card to help build up a report and score. I understand the key principle of doing some spending, paying off in full at the end of the month etc, however I have a few questions around the types of purchases and if they would make a difference. I travel to college on the bus 5 days a week term time, twice a day at £3.60 per day, would it be advisable to put this on a credit card and pay off in full to build my credit score/report (of course credit limit allowing, so I'm not maxed on the limit), does it matter if the spending on the card is small but frequent (like my bus fare) or is it better to have one larger payment?
Thanks
With larger purchases, it's a good idea to buy with a credit card in case anything goes wrong and then it's easier to get your money back.
I'd also advise setting up a monthly direct debit to repay your card - mine's set to clear the balance = no interest to pay. And there's no 'forgetting to pay' that way.
As others have said, it doesn't make any difference whether your purchases are large or small - but if you leave a balance on the card rather than clearing it, you'll be charged interest. Unless you get a 0% purchase credit card. There's some very recent information from Martin Lewis in the link below -
https://www.moneysavingexpert.com/credit-cards/best-0-credit-cards/
As Farfetch says, the score means nothing and it's never seen by anyone but you.Please note - taken from the Forum Rules and amended for my own personal use (with thanks) : It is up to you to investigate, check, double-check and check yet again before you make any decisions or take any action based on any information you glean from any of my posts. Although I do carry out careful research before posting and never intend to mislead or supply out-of-date or incorrect information, please do not rely 100% on what you are reading. Verify everything in order to protect yourself as you are responsible for any action you consequently take.0 -
I would try a card with your own bank first or even not get a credit card if your just turning 18. If you get approved the limit may not be high due to probably a low income. Do you work?
Even if you get it at 18 it could be tempti g to just spend on it and run up debt where you can't pay.Mortgage free wannabe
Actual mortgage stating amount £75,150
Overpayment start date 1/3/23.
Starting balance £66,565.45
Current balance £63,787.160 -
Sncjw said:
Even if you get it at 18 it could be tempti g to just spend on it and run up debt where you can't pay.0 -
Thrugelmir said:Sncjw said:
Even if you get it at 18 it could be tempti g to just spend on it and run up debt where you can't pay.0
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