How can I build up my credit score?
If you use a credit card sensibly, over time it can help to improve your credit score. If you meet all repayments and repay outstanding debts on time, your score is likely to improve. But the opposite is true if you miss payments.
If you’re concerned about having a poor credit history, you could think about applying for a credit-building credit card. If you are accepted for one of these cards, you may be able to improve your score and potentially unlock better deals in the future as you have a chance to prove that you’re able to make all of your repayments on time and can manage your lines of credit.
Find out more about how credit building cards can help you by giving you access to funds and, if used in the right way, can help you build up your credit rating. With this type of card you can expect any initial credit limit that you’re offered to be fairly low, and interest rates to be high. So therefore it’s crucial that, before you decide to apply for more credit, you have worked out a budget and a plan so that you’re able to pay off more than the minimum payment due each month on your credit card bill. Setting up a direct debit is one way to help you do this.