Just opened our credit card statement

[Mooycow]

And am so shocked , it’s over 25.000, ! My husband deals with all the bills ( I do everything else) ,he gets online billing and tears up the statement when it arrives , we have together spent the money ,it’s all way too easy ,obs, AIBU to be shocked that we owe that amount .

thank you mamamia that's a relief

lougle
I own my house - I spent over £100k 10 years ago making it just how I want
now I'm starting to save towards later life (no employer pension)
and have one kid at uni and one about to start
so I'm fairly secure but constantly preparing

its been a 20 year slog
and requires constant vigilance and willingness to not spend today
so that we are secure tomorrow

I think being completely debt free and owing nothing is a far better feeling than the feeling you get from buying whatever it is you think you need. People don't need almost all of the things they think they need.

Some people can manage a credit card fine, most people can't. Even if you can, I still don't see the need for one, unless there is other solution to feeding yourself. Usually there are other solutions to this - for example living on cheap bread and pasta for a few months.

namechanger
Its not a choice for most people.
When my kids were small there was no way I could work the hours to sort my income.
As they got older things changed.
I therefore choose NEVER to judge those who are trying to get out of debt.
As it does not help them or anybody else.

That's really well done, TP

We use YNAB to try and shave off costs and build a buffer, etc. We don't have a big income, we have a disabled DD, and we have some costs we can't control (extended family to support), but YNAB really helps us to make the most of what we can control.

The 'you need a credit history' nonsense is really bad advice for a lot of people. You don't need a credit history if you don't need credit. Just save for things, it's far cheaper."

Another bonkers statement. Having a good credit history isn't just about buying stuff. It provides a useful indicator of personal financial judgement and stability that is often a prerequisite to many jobs nowadays.

You don't even have to be earning, or "worth" a fortune, you could have a credit limit of only a couple of hundred pounds, but it will show a prospective employer you know how to manage your money.

Yep daisy... I used to work in a bank. I sincerely hope nobody is taking ANY of the advice on this thread seriously without taking advice from a professional. Bonkers advice re credit ratings.

Being able to manage money well means not getting into debt, surely? I've never heard of employers looking at the credit ratings of employees, if it is true then its disgusting, blackmailing people to live beyond their means.

How on earth can having a credit card make you a better employee? The opposite should be true.

I'm not judging people who get into debt, I'm judging the institutions that persuade people its a good idea.

daisy
you could have a credit limit of only a couple of hundred pounds, but it will show a prospective employer you know how to manage your money.
Could you confirm how looking at a prospective employees credit rating complies with GDPR ?

I have also worked for a bank. I thought some of their tactics were very wrong, I left fast.

I've never heard of employers looking at the credit ratings of employees

I've only heard of it in finance jobs - I do know that there is something in the military about debt and concerns as you may be open to bribes etc.

NameChanger22 Same, left the bank as fast as I could! Having a CC doesn't mean you're living beyond your means. You can use it in the way many PPs here have stated. Use it a bit each month and pay off in full every payday. I've had mine a year now and not paid a penny interest as I've done that.

I've only heard of it in finance jobs - I do know that there is something in the military about debt and concerns as you may be open to bribes etc.
Still a breach of GDPR at the pre employment phase .....

Credit rating and employment should NOT be linked

My CCJ from a DRO came up in a DBS check I need for my job and any jobs in my field. Didn't matter to them but I can imagine jobs where it would.

Actually ignore that I totally misremembered! I thought it would but it didn't in the end 😂

Credit rating DOES NOT come up under DBS
DH has enhanced check

Credit ratings are a con.

Credit rating and employment should NOT be linked

I think it's more to do with being in a lot of debt / bankrupt. Not credit rating as such - but being potentially susceptible to corruption.

You can imagine certain roles where knowing if someone has debt worries could make them susceptible to corruption.

kalapattar
Does not make taking credit checks on prospective employees legal though

Experian pre-employment checks

www.experian.co.uk/background-checking/pre-employment-credit-check.html

Whether they're a 'con' or not, they're important to a lot of people and are a thing that can seriously get in the way of living your life.

Does not make taking credit checks on prospective employees legal though

I think it's legal for people with the Financial Conduct Authority and the security services.

We found it best not to have credit cards at all. Every time we think we should keep one “just in case of emergency” we get into a big money pit of debt on it....never again!

kalapattar
That link is for DBS / CCJ checks (the latter are available for free publicly)
and it will be interesting to see whether it still exists after May 29th
especially as it is an offence to ask for DBS on an ineligible employment.

To do a credit check on a prospective employee is almost certainly contrary to DPA and definitely a breach of GDPR

That link is for DBS / CCJ checks (the latter are available for free publicly

Not really.

What's the process?

When you request a pre employment credit check, our system will quickly scour numerous public and private databases for any adverse financial warning signs. We check County Court Judgements (CCJs), bankruptcies, voluntary arrangements, decrees and administration orders. The Experian Adverse Financial Check also consults the candidate’s electoral roll registration to confirm their current address.

In the unlikely event that our system cannot target a candidate’s address, we will manually process the check with a turnaround time of around four hours.

I agree though - after GDPR comes in, will the private information be available to share?