If you\u2019re new to the UK, you won\u2019t have a credit history which means lenders have no way of assessing how reliable you are as a borrower. Even if you had a healthy credit report back in your home country, this won\u2019t transfer across to the UK, meaning you\u2019ll need to start over. This also means getting a credit card can prove tricky.<\/p>
No matter how good or bad your credit score<\/a> was back home, when you move to the UK, you\u2019ll be starting from scratch. To be able to access the best rates on financial products like credit cards<\/a>, loans and mortgages, you\u2019ll need to build your credit history in the UK.<\/p> To help you do this, there are a number of steps you can take:<\/p> To be eligible for a credit card, you will usually need to meet the following criteria:<\/p> However, even if you do meet this criteria, this doesn\u2019t mean you\u2019ll automatically be accepted for a credit card.<\/p> When you apply for a credit card, the lender will carry out a credit check to see how reliable you are as a borrower. If your credit score<\/a> is low or you have little to no credit history, your application is more likely to be rejected.<\/p> Fortunately, there are credit cards that are designed specifically for those with poor credit scores and no credit history. These are known as credit builder credit cards<\/a> and, as the name suggests, they are designed to help you build your credit score.<\/p> However, you\u2019ll need to be aware that credit builder cards tend to have high rates of interest, so you\u2019ll need to try to pay off your balance in full every single month. Credit builder cards also tend to have low credit limits, although this can increase over time.<\/p> Provided you stay within your credit limit and make your repayments on time each month, a credit builder credit card can help you to improve your credit score. This means that you should later be able to apply for more competitive deals.<\/p> Before applying for a credit card it is sensible to use an online eligibility checker as this will show you the cards you\u2019re more likely to get accepted for without hurting your credit score. Finder's<\/a> checks your eligibility for cards from multiple brands in one go, so it\u2019s a great starting point.<\/p>Credit card eligibility criteria for new residents<\/h3>
Finding the right credit card for you<\/h3>