Kathryn W
Member
Registered: 12th Oct 03
Location: Widnes, Cheshire
User status: Offline
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Right guys, wonder i f you could all help me.
Looking to buy a house soon, hopefully this year if job goes well etc, although at the minute I have no credit rating whatsoever, and i've heared that its harder to apply for a mortgage.
Basically all i want to know is what would give the better credit rating...
Considering I don't need to buy anything large with finance, or would ever go into an overdraft as i dont really spend, and i have no use for a loan.
Which would you recommend I choose?
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Dean_W
Member
Registered: 13th Dec 05
Location: Downham Market, Norfolk
User status: Offline
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I'd say loan.
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Colin
Member
Registered: 4th Apr 02
User status: Offline
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Cant see why you'd get a loan or finance if you dont need one   Just get a credit card & use it for like petrol & stuff, pay the balance every month.
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MikeE
Member
Registered: 7th Mar 03
Location: Milton Keynes
User status: Offline
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as Colin said, its what im doing to up my credit rating
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Kathryn W
Member
Registered: 12th Oct 03
Location: Widnes, Cheshire
User status: Offline
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Yeah I was thinking of a credit card as again a contract phone would be pointless to
I'll enquire into some credit cards then
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IvIarkgraham
Premium Member
Registered: 27th Mar 04
Location: Ellesmere Port, Cheshire
User status: Offline
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what colin said
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ainsley_brader
Member
Registered: 24th Mar 02
Location: Tattershall, Lincolnshire
User status: Offline
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credit card everytime.
Just buy everything on it petrol etc and pay it off at the end of the month.
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Ian
Site Administrator
Registered: 28th Aug 99
Location: Liverpool
User status: Offline
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Finance, overdraft and loan all cost you money to have so those are out.
Mobile phone contract will tie you to laying out money which could be more than you do already - or could be less? I've always thought PAYG is a bit of a con as you don't have any record of what you spend on it and therefore you wouldn't even know if it costs you more than a contract.
That leaves credit card which if you find one with no yearly fee and you pay the balance off every month won't cost you a penny, so that would be my choice.
You don't even need to find one with a good interest rate as if you pay the full balance off within 30 days you'll never pay interest anyway.
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Kathryn W
Member
Registered: 12th Oct 03
Location: Widnes, Cheshire
User status: Offline
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Thanks guys!!!
I'm going to go and get a credit card! Buy small things of an average price each month i know i can afford and then easily pay it back
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dannymccann
Member
Registered: 9th Aug 06
Location: Doddington, Lincolnshire
User status: Offline
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im a student and i do the credit card thing, i buy pretty much everything on it and it gets a big amount paid off atthe end of every month, this will be improving my credit rating wont it, because if it isnt i CBA with it
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Andrew
Member
Registered: 5th May 04
Location: Skoda Octavia Estate, Ford Puma
User status: Offline
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Credit Card. A phone will stick you into a 12 or 18 month contract.
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RichR
Premium Member
Registered: 17th Oct 01
Location: Waterhouses, Staffordshire
User status: Offline
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I had no credit rating, it had no negative effect on me; however we were only borrowing 2.5times our annual income so may not have been as so high risk. Plus the missus had a full, good credit rating from phones, loans and credit cards
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Tom J
Organiser: South Wales
Premium Member
Registered: 8th Sep 03
Location: Bridgend
User status: Offline
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the good thing about credit cars are if you buy anything online you are protected if things go tits up, whereas if you pay with a debit card you don't have much protection 
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kz
Member
Registered: 9th Aug 02
Location: Southend, Essex Drives: Mini Cooper S
User status: Offline
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well i have/have had all of them apart from a credit card! and my credit ratings good
i personally, am never getting a credit card as ive seen too many people go the wrong way with them 
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Gg_mf
Member
Registered: 10th Oct 05
Location: Brighouse
User status: Offline
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quote:
Originally posted by Kathryn W
Yeah I was thinking of a credit card as again a contract phone would be pointless to
I'll enquire into some credit cards then
Kat, only apply for one credit card and see if they turn you down or not. I made this mistake when i went 18, i had no credit rating so just applied for about 3 cards, one turned me down, then the rest did cos they had looked in my credit file and seen i had been turned down from another company so they all follow suit. Best bet is to get a credit card with whoever you bank with, my bank gave me £5K without battering an eyelid. Once you have one spend a little then pay off min payment or so cos if you pay the whole balance off it wont build up, they like you to be in debt so to speak...Trust me i know work in the industry! 
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AndyKent
Member
Registered: 3rd Sep 05
User status: Offline
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A lot of people moan about credit cards and getting into trouble, but if you treat it like a debit card (ie. only spend what you've got) and set it up to automatically pay off the balance in full they're brilliant.
Use my two all the time, doesn't cost me a penny.
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John
Member
Registered: 30th Jun 03
User status: Offline
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I use my credit card for everything and make money from it.
1% on purchases, 3% on fuel, paid off in full by direct debit every month.
From advice above, only pay of the min payment if you have an interest free credit card, otherwise pay it off in full, would be a bit stupid paying interest on a credit card just to get your rating up.
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AndyKent
Member
Registered: 3rd Sep 05
User status: Offline
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Shell card by any chance, I've got the same
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John
Member
Registered: 30th Jun 03
User status: Offline
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Yip current one is shell, pain in the arse though with not being able to pay online.
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Marc
Member
Registered: 11th Aug 02
Location: York
User status: Offline
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Just don't use you credit card for things you wouldn't normally be buying anyway! You may get drawn in to the temptation of using it thinking thats its ok as you'll be paying next month!
Also get one through your bank. If you have no credit rating now most credit cards won't want to know.
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