How To Improve Your Credit Card Score When You Have Zero Debts?

November 26th, 2019

Is It Possible to Get A Credit Card Without any Credit History?

You may consider yourself as highly responsible when it comes to finances. As you have never been found under debts, the credit card providers may be reluctant to offer you a card service. They get an impression that you are not borrowing money and so may not be the most suitable person for offering their services. As you have no borrowing history, it leads to a ‘thin credit report’. You score low on the credit report and so lose out on chances of getting the best credit cards.

A thin credit report suggests that you have little to do with credits. You either have very few accounts or you are new to the credit card world. In all the scenarios, the chances of you getting the best credit card deals become really low. It also suggests that although you have no credit history, you also don’t have a bad credit history. A thin credit file can be easily boosted by filling gaps in the credit report and creating a credit history through responsible borrowing. Find here, the content of your credit report.

Which factors decide your credit score?

Your authorised identity is the first step towards creating a credit score. For this, your address details and electoral registration are a must. Credit card providers check your nationality and citizenship through the electoral register. Your name must have an entry into it to assure that you belong to the UK.

Again, your address details are an authorised proof for your presence in the country. If you stay at one place for long period and have no habit of changing houses frequently then this leaves a good impression on the card provider.

Financial details like your account details including those pertaining to loans, mortgages, credit cards and current accounts are considered to create your credit score. These play a major role in suggesting your financial health and monetary behaviour.

Past credit applications give away your borrowing pattern and are considered to find your credit score. If you have any missed repayments of loans then this reflects in your credit score. Any incidences of bankruptcy, fraud notice warnings or County court judgements also impact the credit file.

How to create a good credit history?

First of all, you need to check your credit report from any of the reputed agencies like Equifax, Experian and CallCredit. Find the holes in these reports and correct them. If you do not have electoral registrations then get it done. If there is any cases of fraudulent notices and if you are innocent then prepare a document giving proper justification and reasons.

An alternative to try would be a credit builder credit card which allows limited credit with high interest. This card helps to minimise bad credits and aids in creating a good credit history. Use this card responsibly and do not spend on them. You can gradually build a positive credit score by not missing any repayments and staying within the credit limit. You can know more about bad credit cards here!

To get a credit builder card which is the best fit for you, just click credit cards. You can call us on 02034757476.

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