Credit card providers will require you to be at least 18 years old to qualify for a credit card. However, even if you meet this age requirement, your eligibility will be considered on a case-by-case basis, with providers looking at your credit report and income to determine whether or not you should be allowed credit.
If you’re under the age of 21, it’s unlikely you’ll have borrowed before and you will have a limited credit history as a result. This means lenders won’t be able to see whether you’re good at managing and repaying credit and they may be more reluctant to offer you a credit card. It’s free and easy to access your credit score and report online with a number of companies, including Finder.
Although it’s harder to get a credit card if you’re under the age of 21, it’s not impossible. Before applying, there are a number of steps that are worth carrying out to increase your chances of success.
Once you turn 18, you start to build a credit history, which is recorded in your credit file (AKA credit record or credit report). So a smart first step is to get visibility of your credit record through a free online service. Your credit record is essentially your financial history and will indicate to lenders how reliable you are as a borrower. Whenever you apply to open a credit card or store card or take out a loan or mortgage, the bank or provider will check your credit report to determine if you’re a good candidate to lend money to.
If you’ve never borrowed before, your credit score is likely to be low. This will also be the case for someone who has borrowed in the past but has missed repayments or defaulted on their debt.
By checking your credit report yourself, you’ll be able to see where your credit score sits and how likely you are to be accepted for a credit card. If your credit score is low, don’t panic, there are steps you can take to improve it. These include correcting any mistakes on your report and making sure you’re registered on the electoral roll.
The second step is to use an “eligibility checker” before applying for a credit card. Most banks or card providers now use eligibility checkers which will give you an indication of how likely you are to get accepted for a particular credit card.
Because they use a “soft search”, this won’t leave a mark on your credit file for other lenders to see and it won’t impact your credit score. This means you’ve got nothing to lose by using one. You’ll simply get a better idea of the cards you are likely to get accepted for.
In comparison, if you apply for a credit card without using an eligibility checker, a “hard search” will be carried out and this can affect your credit history.
Comparison sites can check your eligibility with multiple card issuers in one go – so that can save a lot of hassle.
LOQBOX offers a cost-free 12-month savings plan designed to improve your credit so that you can get approved for more products and lower rates.
The simple answer to this is the cheapest credit card you can get accepted for. If you can get accepted for a credit card with a low-interest rate or even one that offers an interest-free period for a number of months, this is likely to be the best credit card for you.
If you’re struggling to get accepted for a mainstream credit card, and you’re in further education, you could consider a student credit card instead. These are credit cards for young adults in part-time or full-time education who are unlikely to have a sizeable credit history. However, they will often require you to have a student bank account with the same provider.
All you need to know about student credit cards
Alternatively, credit builder credit cards are designed for those looking to improve their credit score over time. Generally, these types of cards have a low credit limit and a high-interest rate to encourage you to pay off your bill in full every month. Your provider will regularly monitor your payment history and your credit limit may be raised over time if you prove you’re a responsible cardholder.
These cards rarely have many benefits or extras, but could pave the way for you to progress to a mainstream or low-rate credit card in the future if your credit score improves.
Full guide to credit building cards
Another option is to become an additional cardholder on a family member or partner’s credit card.
Crucially, if you do get yourself added as an additional cardholder, the principal credit card holder will be responsible for repaying all debt on the card. This means that while you’ll be able to spend on the card as if it were your own, there will be no benefit to your credit score.
You can generally contact the card issuer over the phone, online or in its app to request the addition of a cardholder. Most banks and providers usually require the person to be 18 or over and live at the same UK address as the primary cardholder.
Beginner’s guide to credit cards
The best age to get a credit card is when you fully understand how they work and can use one responsibly. This means only ever spending what you can afford to pay back, and doing your best to pay off your balance in full each month to avoid building up debt.
Building up a credit score sensibly and carefully over time can stand you in good stead later on in life when you apply for additional credit products including a mortgage.
How you look to a lender isn’t likely to be wildly different at 19 compared to 18, unless you’ve perhaps registered to vote, started occasionally using an overdraft facility responsibly and/or settled into a steady new financial routine.
Your credit history isn’t the only factor at play. Prospective lenders want to see a dependable, steady income and fairly predictable outgoings. That can allow them to run some numbers and say “Yes, based on their recent financial routines, it’s likely that this individual could manage a credit card”.
The answer as to which type of card really depends on your situation. If you now have some level of credit history, you may qualify for a mainstream credit card – in which case you want a card with a low interest rate or perhaps one that offers 0% interest on purchases for several months.
You can check your eligibility for a selection of cards using a comparison site. This won’t impact your credit score and can save you time and hassle.
If you don’t qualify for a mainstream credit card, you might get offered a credit builder credit card, or could apply for a student credit card if you’re in further education (this would be from the same bank that provides your student current account).
If you want to build up a credit history and improve your credit score, there are several steps you can take:
Alternatively, some prepaid cards can also help you to build your credit score. The big advantage of prepaid cards is that no credit checks are carried out, making them easier to get accepted for. If you choose a credit builder service on your prepaid card, the provider will effectively lend you a year’s worth of monthly fees for you to repay over 12 months. If you do this on time, your credit score will go up.
Another option is to use a credit building service such as LOQBOX or Pave. With LOQBOX, you set up a direct debit to save a regular amount each month. These are then treated as finance repayments which are reported to a credit reference agency.
Similarly, Pave is a personal finance management app that connects your bank accounts and, for a monthly fee, works with you to improve your credit score.
CreditLadder is a tool that can help you show your timely rent payments in your credit file.
If you do qualify for a credit card, it’s crucial that you use it sensibly to ensure your credit score improves over time. To do this, follow the tips below:
If you’re under 18, you’re not allowed to get a credit card. Credit agencies only start building a person’s history from the age of 18, hence why you’re unable to get credit.
As an under 18 year old, your two options are:
Credit card options for teens under 18 years old
Boasting fee-free spending overseas and few fees, the Zable Credit Card (formerly known as the Level Credit Card) is refreshingly simple if you’re willing to set up a CPA.
thimbl. offers a straightforward credit builder card for those with good and bad credit.
Bip promises a “new kind of credit”, offering accessible credit without the need for a card.
All credit cards benefit your credit history when you use them correctly, but these picks aim to support you on your journey to better credit.
Find out how much you need to earn each year to apply for a credit card and compare low income options here.
The opus card is a money transfer credit card for those looking to rebuild a positive credit history.
Secured credit cards can help rebuild a positive credit history. While they are extremely rare in the UK, good alternatives do exist.
Enjoy one rate on all your transactions with this credit builder issued by Capital One.
thinkmoney’s card for bad credit, issued by Capital One, has one interest rate for all transactions.
Newday’s card for “near prime” credit lets you transfer existing card debt to enjoy an introductory 0% rate.
