No Credit History
If you've never had credit before and are applying for your first credit card, the likelihood of qualifying for one of the marketing leading deals is slim. The most attractive deals are often reserved for those with glowing credit scores and impeccable credit history. With no credit history a credit card company has no means to judge your reliability as a borrower and therefore will have difficulty in determining what is known as your creditworthiness. Students studying at university or young people just starting out in employment will not usually have borrowed money before and as a consequence will not have built up a sufficient credit profile for a lender to judge their creditworthiness. Having a small number of existing credit facilities and paying these credit commitments on time will be regarded positively by a lender. Since the credit crunch, banks have become ever more choosy about who they want as customers, so your credit score matters considerably. Your lack of credit history is termed within the industry as having a 'thin' credit file, and will mean your access to products will be restricted. What you need to do is apply for a credit card which gives you the opportunity to build your credit score. Some cards, such as Barclaycard Initial, are aimed at people with no credit history. Although the rates are higher, using one of these cards sensibly will help you construct a credit history. In addition to credit history, being at your current address and on the electoral roll for a number of years as well a being in stable employment for a number of years will improve your chances of acceptance. Credit cards suitable for people with no credit history
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