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I’ve been thinking about getting my first credit card, however I’m somewhat confused as to how someone is supposed to get one if they have no previous credit history, as this would be there first credit card?
I used a multi-bank eligibility checker on this site to see what cards are available to me, only to get a whopping 0% chance on every card in the system. I tried on the sites of individual banks/lenders as well with similar results. On Barclaycard I also had no chances, Amex gave me a 3.5 out of 10 chance, and a solid No from CapitalOne. Even Aqua and Ocean also got me an instant rejection. So how exactly can am I supposed to get a credit card then?
Start with a bank account. Get an “easy” credit scoring account like a mobile phone contract.
Sometimes banks will allow you to get a credit card based on internal scoring after you’ve been a customer for a while, rather than external credit scoring. That’s how I got my first credit card.
Keep your nose clean for a little bit and then you’ll have the chance to go for other credit.
Start with a bank account. Get an “easy” credit scoring account like a mobile phone contract.
Sometimes banks will allow you to get a credit card based on internal scoring after you’ve been a customer for a while, rather than external credit scoring. That’s how I got my first credit card.
Keep your nose clean for a little bit and then you’ll have the chance to go for other credit.
I do already have a bank account of course, had for many years, however even my own bank doesn’t want to give me their credit card.
Do you have a relative that could give you a card as a supplementary card-holder? Though even that won’t necessarily help your credit score as you won’t be responsible for paying the bill.
Or do you have a relative that is willing to be guarantor for you? Not something I’d do for anyone other than my direct children (not that i have any) but you may be luckier.
I would approach your bank where you hold your primary current account. They usually offer you a credit card with a low limit to start with.
How long have you had a current account? And is it with a high street bank?
Do you have a mortgage or high rental outgoings and student loan repayments etc which may affect the affordability criteria?
Also helps if you have a steady job that pays a salary, ideally some way north of £25k that you’ve been in for a while.
Perhaps consider having a bank account where your employer’s is. That way, provided the employer is financially sound, the bank is likely to consider you more favourably
Do you have a relative that could give you a card as a supplementary card-holder? Though even that won’t necessarily help your credit score as you won’t be responsible for paying the bill.
Or do you have a relative that is willing to be guarantor for you? Not something I’d do for anyone other than my direct children (not that i have any) but you may be luckier.
I would approach your bank where you hold your primary current account. They usually offer you a credit card with a low limit to start with.
How long have you had a current account? And is it with a high street bank?
Do you have a mortgage or high rental outgoings and student loan repayments etc which may affect the affordability criteria?
Also helps if you have a steady job that pays a salary, ideally some way north of £25k that you’ve been in for a while.
Perhaps consider having a bank account where your employer’s is. That way, provided the employer is financially sound, the bank is likely to consider you more favourably
Had my current account with them since like 2015 or 2016 but still got denied by them. And it’s with a pretty household name. I don’t pay anything in mortgage, rent, much in terms of any other expenses so that isn’t a factor either.
Have you tried these?
Store credit can be a way. Buy something over a short few months that you could actually pay cash for and take store credit. You’d probably need 3 years at same UK address or something I suspect.
Do it a couple of times with different lenders behind it – you’d pay a bit more but could give you the beginnings of a credit record. I am not sure which shops but pre Covid maybe Dixons, Halfords? plus a department store. Maybe Argos.
Sadly not having to pay rent and not having a mortgage either is for most people not helpful for credit either. Make sure you are on electoral roll at your address.
If parents, employer, partner can’t introduce you are you in a union at work or in a profession whose professional body might just possibly have an arrangement for members?
Or have you ever thought of becoming a university student? Banks regard them as good prospects and I’d guess good offers are still being made by the major banks
(Sign up to moneysavingexpert dot com and take their emails – their card advice section may have similar content to the link kindly provided by @Froggee above which has reminded me of this – same ownership so might be similar but MSE content is broader.)
Just tried it, sadly couldn’t give me any cards either.
As I said above, and as Lady London above mentioned, go for low hanging fruit of potential credit. Once you start it gets easier.
Get a copy of your credit report and double check there is nothing weird on it! Money supermarket provides this free of charge or you could go direct to one of the agencies.
You could do this:
https://monese.com/gb/en/features/credit-builder
But it seems nuts to me to pay £30 for a credit history. As others have said, maybe start with a phone contract. Also, do you have an overdraft facility with your bank?
My first credit card was a Vanquis specifically created for people without a credit history. After a few months I could get almost any I wanted – might not be the case in the current market conditions.
Try buying something <£50 or so from https://www.freemans.com/ or similar (there’ll be a decent discount for first credit order if approved).
Make payments on time, and after a few months you’ll be seen as a better credit card etc risk.
Also, Zilch, Klarna and Laybuy all now report to UK credit reference agencies (Clearpay still doesn’t).
My first card in the UK was with my bank after a year and a half. I would go into a branch and apply there rather than trying to do it online. Speaking to someone in person is always better and they could also approve lower limits, will know who to call, etc.
<a href=”https://www.headforpoints.com/forums/topic/getting-a-credit-card-with-no-credit-history/#post-514027″
Had my current account with them since like 2015 or 2016 but still got denied by them. And it’s with a pretty household name. I don’t pay anything in mortgage, rent, much in terms of any other expenses so that isn’t a factor either.The fact that you don’t pay anything in rent or mortgage can perversely work against you in tge same way paying too much can. Your problem is proving that you can pay monthly bills.
I also think the advice of getting store credit is the way to go.
I also think going into tge bank and speaking to them in person might be worth the effort.
There’s something you aren’t telling us here.
Are you bankrupt, have you been involved in fraud, CCJs, banned from being a company director? Let someone from the internet let money rest in your account or bank cash for someone else?
Are you on the voters roll?
If it’s none of those, then you desperately need to get a copy of your free report from Equifax, Experian, and TransUnion?
There’s something you aren’t telling us here.
Are you bankrupt, have you been involved in fraud, CCJs, banned from being a company director? Let someone from the internet let money rest in your account or bank cash for someone else?
Are you on the voters roll?
If it’s none of those, then you desperately need to get a copy of your free report from Equifax, Experian, and TransUnion?
Nope, got no negative strikes of any kind, even already looked up my reports as well on Equifax, Experian, and TransUnion. And I am on the electoral roll.
You haven’t said, so here’s the really crucial question. What’s your employment status or do you have any other identifiable regular income? Have you actually applied for any cards or just used an online checker (they’re pretty inaccurate if you don’t fall into the conventional neat boxes)? Monthly mobile bill is the really obvious place to start, and beyond that agree that face to face might serve you well here.
Can you give more context on your situation please? Which bank are you with right now? Previously bankrupt? New to country as an expat? Or just a young professional starting your career? Can give more advice for new expats having gone through the whole thing. Otherwise just general advice try creditbuilding cards such vanquis/ aqua/ even Barclays forward etc. Yonder also doesn’t require a credit history.
By the way the qualification checkers aren’t always right.. they take the strictest criteria which lenders might not actually use.
There’s something you aren’t telling us here.
Are you bankrupt, have you been involved in fraud, CCJs, banned from being a company director? Let someone from the internet let money rest in your account or bank cash for someone else?
Are you on the voters roll?
If it’s none of those, then you desperately need to get a copy of your free report from Equifax, Experian, and TransUnion?
Nope, got no negative strikes of any kind, even already looked up my reports as well on Equifax, Experian, and TransUnion. And I am on the electoral roll.
Ok, so what score does the free Experian or Clearscore service give you?
I am confused by this thread.
Are you the @gh148 who started a thread in June about minimum income requirements for Amex? Also on that thread you said your income was £16.3K.
Then today (Monday as was when I started writing this reply) there is a thread on MSE started by somebody called gh148. Are you that person?
The confusing part is that on that the thread the OP said they had an income of £5k as they were self-employed/director of their own business.My first card in the UK was with my bank after a year and a half. I would go into a branch and apply there rather than trying to do it online. Speaking to someone in person is always better and they could also approve lower limits, will know who to call, etc.
This is exactly what we did when arriving in the UK with zero history. Definitely only had a debit card for some time, but did DD with phone bill and eventually utilities/rent.
i remember clearly at the beginning that we couldn’t rent because we didn’t have a bank account/credit history, but we
couldn’t open the bank account because we didn’t have an address…ended up going through a “friend of a friend” route!Somethings not adding up here. For Aqua and Vanquis to block you is a real worry here. My first CC was an Aqua which I would pay £100 a month and pay it off. Someone did say if you buy something then immediately pay it off then it’s not as useful? I’m not sure if that’s the case.
Don’t miss any payments. Good luck.
@MichaelC They allowed us to rent because we said we are going to pay six months rent upfront plus deposit. We paid deposit in cash directly to the agency and the next day or same day (can’t remember) we opened a bank account. There used to be a bank account for new arrivals to the UK with HSBC with no need for much checks if you were depositing a certain high figure. I can’t remember how much. But it was in the days before financial crisis, things were much different back then.
@MichaelC They allowed us to rent because we said we are going to pay six months rent upfront plus deposit. We paid deposit in cash directly to the agency .
That’s EXACTLY what we ended up doing in the end!
Bit eye-watering in Oxfordshire ;o))Can you give more context on your situation please? Which bank are you with right now? Previously bankrupt? New to country as an expat? Or just a young professional starting your career? Can give more advice for new expats having gone through the whole thing. Otherwise just general advice try creditbuilding cards such vanquis/ aqua/ even Barclays forward etc. Yonder also doesn’t require a credit history.
By the way the qualification checkers aren’t always right.. they take the strictest criteria which lenders might not actually use.
Currently with Nationwide, never been bankrupt, been living in the UK for something like 16 years now. And no, never been bankrupt. Like I mentioned, I can’t even get creditbuilding cards such as Aqua right now.
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