If you’ve never borrowed currency before, you could suppose this means you have got good credit. In reality, this is impractical to be true.
That’s because when assessing the job, loan providers come across evidence that you’ll be in a position to repay everything you use, thus with zero record off successful money can also be matter facing your.
Experian rates 5.8m people have a good ‘thin’ otherwise non-existent credit history in the united kingdom. Consequently CRAs hold nothing if you don’t zero information about you, that makes your hidden on financial system. This can lead to not being able to availableness activities such because home financing, financing otherwise bank card, otherwise against highest will set you back than others.
Thus, you will probably find your rejected to own a credit card or loan – especially you to definitely on cheapest price – even though you you are going to easily afford to outlay cash straight back.
One to option would be to carry out a credit card created specifically to help you generate – otherwise reconstruct – your credit score.