I returned from a stint abroad to find that as far as credit history goes I am now a clean slate. I have no credit history at all - good or bad. I'm trying to find ways to build up a good credit history again.

Can anyone tell me which banks report positive use of their current accounts to the credit reference agencies and also which moble phone companies do so. I have a contract with O2 for my mobile phone and although I pay my bill every month, o2 doesn't seem to report to the credit reference agencies at all. In fact I heard that they only report anything if you actually fall behind with your payments.

Because of my lack of credit history I was unable to get even a Capital One credit card so far.

I've added myself to the Electoral Roll but my Equifax report does not seem to actually show this yet. I also have a home phone listed under my name and address but it is currently Ex Directory. Is having a home phone beneficial credit-wise even when it's Ex Directory?

What other measures should I be taking?

Is there a particular store card or credit card that even someone with no credit history could get to enable me to start building credit history?

Thanks a lot

Hi,

The first thing you need is a current account. There are various suggestions on the forum for which bank to choose and which not to choose. I personally like Barclays. When you open your current account, you should also open a savings account with them. Deposit into it every month and this will build your ranking within Barclays. Also, apply for a Capital One VISA. Yes, I hate Capital One, but they will give a basic card to almost anyone. You might find yourself with only a £200 limit but this isn't a problem since you are only building a credit history. Keep buying things with your Capital One card and paying it off in full each time. After 6 months, you will have a good credit history.

The Credit Card section of moneysupermarket.com allows you to do a Smart Search based on your credit profile. You will be eligible for some cards, although the APR is high, so be sure to pay off your bills promptly.

I did a search under Equifax and found it highly unsatisfactory. For starters, it didn't even register that I'd held a bank account for over 13 years! A lot of information was actually not updated. Experian was much better.

Ex-Directory doesn't affect your credit rating.

Hi had the same problem. Came back to UK after 4 years abroad about 6 months ago. Worse still had cards before - Egg (10k limit) and First Direct (7k) - but my current account (First Direct) had gone into the red by 100 pounds due to online fraud while I was abroad - I had a 1,500 overdraft limit but they zeroed it. They closed the account causing default on the cards! I paid off the balances anyway as I was "late in complaining so couldnt challange them" the b******* didnt think of emailing me! Also Egg said they dont allow non-resident customers. I did have a whole bunch of cards with 5-10k limits (I used to work in the City) WHY DID I CUT THEM UP! :)

Luckily I was able to reactivate an old Nationwide account with a VISA debit card - luckily I never closed it! If you go abroad OPEN A SPARE ACCOUNT!

Got refused for cards but 2 months ago got a Capital One card with a 100 pounds limit - totally useless really - but hey thought at least improve my rating. Tried my luck with Nationwide and got a 2k limit. Great as easy to monitor with my account and when abroad again it will be handy.

I suppose they saw regular salary coming in and were more lenient. To be honest Nationwide have always been great to me and I strongly reccomend them - especially to travellers.

I have also applied for a Barclaycard - will see what happens! But not bothered now with the Nationwide card. Will wait 6 months and try for another card with cashback this time. So focus on your current account provider first. Note I wasnt on the electoral reg when I just applied - I will be next month. A lender will feel more comfortable if they see regualr income and good account management. Also I think Nationwide used a human to review my application which helped.

The Cashplus pre-paid "credit" card has a facility they call "Credit Builder" which may be of interest. It works by providing a loan of the yearly fees (£59.40 ) for the card which you then pay off instead of paying the monthly fee (£4.95 ). At the end of the 12 months you've paid of the loan and this is registered with the credit reference agencies. There's a link straight from the prepaid credit card section of this site. You don't need any credit history (or can even have a really bad history for that matter) to get one of these cards as they are pre-paid.

Hi there

I am in the same position. I returned from 6 years abroad in December 2006 and didnt retain a UK bank account. When I came back my first priority was to open an account simply as a deposit for my wages and Coventry BS gave me a link card. That was fine but recently I have been trying for a debit card and have struck a blank. This week I have been refused a current account as I have no loans or credit cards!

I havent tried for a Capital One but as I am not yet on the electoral role I fear that would also be rejected and I am concerned about the number of negative searches on my file impacting further on already low score.

If anyone has any suggestions I would really appreciate your help. P.S. I am in full time employment.

Thanks

Until you get on the electoral register you might as well be erm, doing a certain bodily activity in the wind.

Hi Clairebrum, I suggest you try the Halifax Easycash account first. That gives you direct debits and a visa electron card so you can spend money electoncally. They have a nice online service and savings accounts you can use. Use it for a while and get yourself on the electoral register. After say after 6 months go in store and ask them for a full current account with a Visa debit card.

I know how annoying it is. My parents are on a state pension and keep being offered credit cards with 2-3k limits. But someone working and earning from abroad cant get nothing!

Hi,

Just go for it and apply to capital one it is very rarely they say no, I wasnt on the elec register and i was accepted with a instant decission with capital one i recieved my card about a week later. And i had loads of searches going on my credit file at the time.

They may wright to you and ask you to send documentation of proof of address but this is worth sending back you get a crd within 2 weeks.

You dont have to be on the electrol register to get credit, Most days Credit Companys ask for bank details when you apply this will verify that you live at that address.

Also i guess you could change your name my friend did and now they dont stop throwing credit at him LOL!!!! Not sure how he did it but it worked.

Interesting insight Sparky.

I already have a CashPlus card, but could not locate the Credit Builder you mention. Do you have a link you can point me to ?

Thanks a lot,

entropy.

Hi Clairebrum,

Yours is a very straightforward case; I was in that position not too long ago, though mine is a much more complicated situation. 'nough said.

You need to do the following:

1. Get on the electoral role. Depending on the time of year you fill the form in, it can take anywhere between 4 and 12 weeks for you to be appear on the register. Make sure you do not ask for your name to be listed for restricted use. Just a plain, good-old electoral role registration

2. Once on the registered, apply for a Capital 1 Card, giving your Coventry BS account as your bank account. You will get the card even though you have no history. They do say no on this card, contrary to common belief, although they only tend to a) refuse people with CIFAS and b) who already have had Capital 1 debt, which does not apply to you

3. Use it below the limit, and pay the balance less 25% regularly. I.e. for every £100 you spend, pay back £75. This will allow them to earn some money in interest on the unpaid balance, while at the same time showing that there is no large balance outstanding and payments arriving on time on the wretched reference agency files. Do this for a minimum of 3 months.

4. Opening a current account, with all the bells and whistles should and will be a breeze after that.

Another solution: once you have achieved (1) above, go to NatWest or Barclays with a letter of employment and your contract of employment. Both will open you a fully functional account, with Visa or Maestro instantly., provided you have no skeletons in the cupboard. The advantage of the route described above is that you are also building a credit record at the same time.

Hope this proves helpful. Good luck.

Entropy.

hi mate, i hear u need help with ur credit bad. ill deal with ur question on the bank, if u wanna open a bank choose royal bank od scotland and as you have finished that application form ask to fill one out for a credit card (i will still say its a 50/50 chance still as i still got 1 with 2k det). A house phone and a mobile do help. i would also say 02s a rip off for contrcts as i would say vodafone is exspensive but reliable, i would recamend u to 3 as there prices are lower and u get mre for your moni.

- my favourite is to open a joint account in yours and your partners name, what this dose is increases the chances for a loan (how they see it is if u cant afford it they will turn to your partner).

- get sky or virgin (internet, tv)

- i dnt no u as such but if you have a skill in a trade and u no how to run a business go limited (LTD) as this means banks will not look at ur credit and gose 4 your word on your business plan.

-theres a company called BUY AS YOU VIEW which are better and cheaper then bright house they would take u on as there not really interested incredit scoring.

hope this has helped u a little as im 21 and still looking for more loop holes

im a recent discharged bankrupt. one of my lenders was my bank (rbs) so i couldnt get a bank account but did a search on here, applied for a halifax easycash with chip n pin debit card, got accepted then applied for capital one credit card n got accepted. hope this helps

I recommend you to get a good job if you have not any yet, and then start building your credit score with your monthly income. If you have an income, a social security number, and you are at least 18 you can apply for a suitable credit card. Start up from those companies or banks that have very easy terms for those who start just from scratch without any bad or good credit history. Good luck to you!