Overdraft and credit rating

whyso

I have a £1000, 0% interest overdraft.

I don't need to use it. I have no need for credit. I got it to to help boost my credit rating for when I buy a house. I cannot get a credit card. I tried but have no credit history due to not needing any.

I need to know how to effectively use a 0% overdraft to boost my credit score. All the information I read says that I must use it just a little and pay it off before the end of the month. But I don't need it.

Will having the overdraft and not touching it get reported and boost my rating? I thought I would need to use it at least once to have the full overdraft amount show on the file, otherwise it gets reported as £0.

Should I move my money into another account each month and then dip into the overdraft a little, repaying it before the end of the month by moving my money back into the current account?

Ebe_Scrooge

Regular use of an overdraft is bad for your credit rating.  Having it available but not using it is good.  Ignore your score, it's a meaningless marketing gimmick, and is not used - nor even seen - by any lender.

As you've discovered, having little or no credit history can be almost as bad as having a bad history.  Try one of the "credit-builder" cards - they are specifically marketed at people who need to build a credit history.  https://www.moneysavingexpert.com/credit-cards/bad-credit-credit-cards/

They typically have higher interest rates than the more mainstream cards, but that doesn't matter as long as you use it correctly.  Use it regularly for everyday essential purchases (food, petrol, whatever) and always pay the statement in full when it arrives, every month, without fail.  It's safest to set up a Direct debit for the full amount.

Doing this over a period of several months will begin to build up a positive credit history, which is what any future lender likes to see.

martinbainbridge1975

As above credit score means zippo, the lenders make it up to suit their business model

I have a £250 overdraft facility - never used for numerous years, the bank will give me 3k overdraft but not a credit card.

As ebe scrooge says above go with the card and not the overdraft as the 0 per cent on the overdraft could be withdrawn by the bank if they change terms and conditions on the account