Bank Day - Improving Credit Rating Score

kiawill91

kiawill91

kiawill91

Permabanned
Joined
17 Aug 2014
Posts
149
Hi Guys,

My credit rating score is FAIR

So not great.....I have never had a credit card as I have never been acceped.

I have just tried and they accepted me :)



Would it be ok to use the £1000 limit in one go.....and pay off the balance using the minimum repayment monthly?

Will that improve my score?


Edit: this is my current score

 
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It would be better to make regular use (Not excessive) and pay it off in full at the end of each month. This will build up a picture of a user who pays up on time.
 
What offer have you taken on the card? If it's not a 0% on purchase then you will incur interest charges for maxing it out and then paying the minimum off. I cannot imagine that maxing out all of your available credit and then only paying the minimum payment each month will have a favourable effect on your credit rating.

Try just using the card normally and paying the bill.
 
Surely the credit card companies don't want you to pay in full at the end of each month? I'd of thought that they would favor the people who pay regular, but not pay it all off, or meet the minimum more
 
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So long as you don't exceed your limit and keep up with the monthly repayments, each payment will contribute towards your score. Having a maxed out balance won't negatively impact but may put lenders off (In all honesty that's likely to make **** all difference unless you're looking for something significant like a mortgage, however if you only just got approved on a credit card then you won't be getting one of those soon either ;) )
 
Deleted quote removed - DirtyJester

Helpful, thanks. Why act like a child?

kiawill91 - agree with others, just use the card normally. It will take you a long time to pay off £1000 paying just the minimum and it won't be interest free forever. Use it for normal purchases paying off in full every month.
 
I'm 21 and just got a card with a £400 limit. He idea for getting it was purely to try and increase my credit rating with small usage payed on time.

Edit : mine is also with Barclays. The limit does not bother me to much and as above I don't understand why someone would find that funny?

the only things I will be buying is my occasional ps4 game ect I take paying it off in full before the required time is a good thing to do ?

I've seen some articles saying it's better to pay off the minimum amount to gain credit score but in my un financially educated opinion that sounds like horse manure. Any advice from you guys to clear this up ?
 
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I personally would get used to paying the balance in full and only pay minimum amount if you can't afford it. You shouldn't use a CC as a temporary loan solution.
 
As long as you can pay it back before the 0% period expires (and at least the minimum every month) then it's free borrowing. Just make sure that you do! It's all too easy just to buy something nice with the "free" money then realise you can't afford to pay it back...
 
kiawill91 said:
Thanks guys.

I won't max it out to the limit. But say I do spend a lot of it. Some months I could pay back more, say £200. Not a problem
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Don't spend on it for the sake of it or because its there. Just spend what you can pay back each month, otherwise thats how trouble starts.
 
Credit cards are brilliant if you use them correctly - I get cashback with mine, and spend around £2k a month across the two I have for business expenses.
0% on them, don't have to pay for things for up to 30 days - winner. I just lump it off at the end of every month.
 
Freefaller said:
I personally would get used to paying the balance in full and only pay minimum amount if you can't afford it. You shouldn't use a CC as a temporary loan solution.
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Why not? If you go on moneysavingsexpert you will find it is highly recommended for small loans to use these introductory offer cards. You won't get cheaper credit anywhere else.
 
mattyprice4004 said:
Credit cards are brilliant if you use them correctly - I get cashback with mine, and spend around £2k a month across the two I have for business expenses.
0% on them, don't have to pay for things for up to 30 days - winner. I just lump it off at the end of every month.
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Few if any cards offer 0% APR *and* cashback. You are probably mistaking the fact that if you pay the credit card bill in ful by the due date you pay no interest. This can give you up to 56 days without interest but it isn't '0%' in the way people would recognise it.

Well done for getting yet another reference to your business spending into a post though, we could play 'Rover parts business bingo' at this rate :p
 
[TW]Fox;27160802 said:
Few if any cards offer 0% APR *and* cashback. You are probably mistaking the fact that if you pay the credit card bill in ful by the due date you pay no interest. This can give you up to 56 days without interest but it isn't '0%' in the way people would recognise it.

Well done for getting yet another reference to your business spending into a post though, we could play 'Rover parts business bingo' at this rate :p
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Not at all trying to play a smart alec, but this cashback card is pretty good especially as there are no charges on international purchases:

http://www.nationwide.co.uk/products/credit-cards/select-credit-card/features-and-benefits

Pretty tiny cashback you'll agree! But I earned a welcome sum from using it on purchases this year and at the time I really made the most of the 0% period. Better than a poke in the eye with a stick :)
 
muon said:
Why not? If you go on moneysavingsexpert you will find it is highly recommended for small loans to use these introductory offer cards. You won't get cheaper credit anywhere else.
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I said, not to get used to using it for small loans - as in, when the offer expires he'll be stung, and it becomes hard to pay it off when you're used to not having to clear the balance.
 
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