Build up your credit history before applying for credit cards online
16 June 2008
When you apply for credit cards online - ask yourself: How does my credit history look? If you have some concerns about your eligibility about getting a credit card, make an effort to prove that you have the ability to pay back the money.
Lenders need to know that you can pay them back. Part of their assessment may include accessing your official credit history. Your credit history shows all the credit applied for by you, plus all overdue accounts listed as either a default or clearout.
So when a lender looks at your credit history, you want them to confident in your ability to pay them back. Here are some steps to help you get approved for a credit card by having a good credit history.
- Establish a credit history - A mobile phone plan, electricity account, or an internet account in your name can be helpful as proof of payment commitments.
- Pay your bills on time - A simple but highly effective way of proving that you are reliable.
- Stay in one place - By staying in the same address and same job for at least 12 months will reassure your lender by proving that you have staying power.
- Be friends with your bank - If you already have a properly maintained bank account with your lender, they may know that you're reliable, especially if you don't have any overdue fees.
Building up your credit history takes time and effort, but the rewards can be great.
Think your credit history will get you a credit card? Have a look at our credit card comparisons page for the best credit card for you and apply online today.
