Page 2 | How am I supposed to build my credit?

TheWy · 2023-02-01T19:53:04+00:00

I'm on sickness benefits. My credit score is 770/999 I have no CCJs on file. No missed payments. I just have no credit. I'm told to build my credit. But even the 39.9% credit builder/poor credit cards won't accept me for one to build my credit up! I can't even get a mobile phone. I'm so sick of it. I have money left over each month. I just don't know how to move upwards with my credit?! My ultimate goal is to get a car on finance but I don't think it will ever happen. I can't even open a catalogue.

LipsSoScarlet · 01/02/2023 21:40

N1Co · 01/02/2023 20:46

How have you found out your credit score? I signed up with experion and can’t get further than the ‘we can’t confirm your identity’ message.

They did the same with me a few years back. I signed up with one of the other credit reference agencies instead and they had no trouble finding me. Try Equifax or TransUnion instead.

Quveas · 01/02/2023 21:45

Coffeepot72 · 01/02/2023 21:31

I don’t think bad credit is the problem, I think it’s lack of income?

I suspect the same. It's not even the benefit income I think - it's the fact it's sickness benefits. Realistically, if the OP is sick enough to qualify, then there's little realistic chance of their situation getting better any time soon if at all, and a very good chance it'll get worse. And sorry OP, but I can see absolutely no chance of building up a good enough record to get a car on credit. It isn't just about the car and the cost of the (long term) credit. Its also about how you afford all the associated costs. Any reputable company will want to factor in how you afford on costs and maintenance of the asset they are loaning you money on.

LondonQueen · 01/02/2023 22:10

Being unemployed will have a significant impact on your credit. Once you are back to work and have a solid income you will be able to get a credit card, use it each month and pay the balance off in full. This will build your credit slowly but surely. Have you tried a sim only contract, just a cheap one £10 a month or so and you should get accepted even with your sickness benefits.

Original poster

TheWy · 01/02/2023 22:39

LondonQueen · 01/02/2023 22:10

Being unemployed will have a significant impact on your credit. Once you are back to work and have a solid income you will be able to get a credit card, use it each month and pay the balance off in full. This will build your credit slowly but surely. Have you tried a sim only contract, just a cheap one £10 a month or so and you should get accepted even with your sickness benefits.

I've got sim only for my kids.

They're rolling though. Not contract.

I've been on sickness 8 years. It's long term, not anything I will get better from :(

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Original poster

TheWy · 01/02/2023 22:40

I've not had any hard checks.

I've done soft checks on 3 'poor crwdit' cards the last few days with refusals.

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Original poster

TheWy · 01/02/2023 22:41

When doing these they don't t ask what kind of benefits so I don't think the sickness have anything to do with it?

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titchy · 01/02/2023 22:47

If you have money left over why can't you save that for a car?

You're benefit dependant, long term. To be blunt you shouldn't be given credit. You don't know what austerity measures the Gov could introduce in the future that will see you benefits reduce. You have no control over your income - that's why you can't, and shouldn't, get credit.

MadeForThis · 01/02/2023 23:08

A monthly rolling contract is still a contract. After 6 months ask to upgrade to a 12 month contract or a contract with a phone. You have a direct credit relationship with them so you will have a better chance.

However only take a small contract that you can afford.

Original poster

TheWy · 01/02/2023 23:14

titchy · 01/02/2023 22:47

If you have money left over why can't you save that for a car?

You're benefit dependant, long term. To be blunt you shouldn't be given credit. You don't know what austerity measures the Gov could introduce in the future that will see you benefits reduce. You have no control over your income - that's why you can't, and shouldn't, get credit.

OK Rishi, calm down.

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Original poster

TheWy · 01/02/2023 23:17

God forbid someone on benefits tries to improve their credit rating to be more financially stable.

The scrounging peasants should know their places.

I said a car was the dream and probably not going to happen. But it would be nice to just build up my credit. Lots of people on benefits have, and manage, small credit cards, hire purchases and even loans. It's not illegal.

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TheWy · 01/02/2023 23:22

I'm hiding this now and won't read anymore or reply as I feel shit enough about my illness and situation without being put down further.

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Original poster

TheWy · 01/02/2023 23:23

I'm hiding this now and won't read anymore or reply as I feel shit enough about my illness and situation without being put down further.

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NewNovember · 01/02/2023 23:24

Don't tick unemployed tick retired because you are medically retired.

Stressybetty · 01/02/2023 23:59

Op do you get the high mobility element of pip? Could you get a car on the mobility scheme?

Ariela · 02/02/2023 00:01

@TheWy There's not a lot wrong with your credit score - it's higher than mine which is low as I have no mortgage, no credit cards (and being older have older kids, no debts, luckily no need to borrow either).
The reason you don't have a perfect score is that (quite rightly) the card companies worry that you would struggle to pay back any card debt given you are on benefits only no earnings so no prospect of a pay increase other than if the government determine it.
Is there any way you can come off sickness benefit or reduce your claim /increase your income by WfH earnings, sell stuff you no longer need on eBay/vinted perhaps? Or scour car boots for 10p/50p bargains to sell (my friend does this, knows what will sell and earns herself a tidy few £ a week extra)

Gingerkittykat · 02/02/2023 14:15

The first place that gave me credit was Paypal when my credit history was terrible. It was just £150 which I would use and then pay off and they raised my limit to £300.

Then I got a phone contract from the company I had a PAYG sim for years. They could see I was paying x per month already.

Eventually I got a mainstream credit card with a high limit but this process took about 3 years.

shrunkenhead · 03/02/2023 06:18

Have you tried PayPal or Klarna? Does your disability qualify you for motorbility where you get a free car? Apologies if you've already looked into this.

BarbaraofSeville · 03/02/2023 06:45

What does it say in the drop down boxes? The yellow icons suggest there is an issue - can they correctly verify your identity and address?

It sounds like you haven't actually made any applications. These credit reference services and acceptance checks aren't definitive. If you apply, you might get accepted. But you need to make sure there are no errors on your file first, otherwise you just get sent down the 'computer says no' route. Maybe double check all your credit reference information is correct and then apply for one of the credit builder cards.

You also don't actually have a credit score, it's just something made up by the reference agencies to try and get you to sign up to paid services, which you don't actually need. Look at Credit Karma and MSE Credit Club, both of which are free.

Another route to try could be your own bank. They might let you have a card based on good conduct of your current account.

Don't worry about mobile phones, contracts are expensive and unnecessary these days. You get the same allowances from Giff Gaff etc without having to commit to 2 year contracts and just pay monthly by debit card.

Stepuptowardsinfinity · 03/02/2023 06:51

You don't have bad credit. The issue is no credit and I sympathise a lot. A friend of mine was in the same position because he hadn't ever borrowed and had lived off cash savings for years. He had no presence effectively and could not even get a basic bank account. He went to a bank like Monzo I think is the name and got something small to build up a name. They were very helpful.