Your credit report could indicate that all your credit accounts have a limited performance history or that you don’t have any mature active accounts. This means that you either have very few credit accounts and/or your credit accounts are relatively new. Just like Rome wasn’t built in a day, neither is a solid credit history. However, there are things that you can do to bulk up your credit file.
Steps to building a good credit history
- Don’t apply for too much credit. You need to be picky with your credit applications and make sure that you take care of your existing accounts. Pay your accounts on time and have reasonable credit card balances.
- In order to start building credit, you should try stay away from credit cards that come with a whole lot of charges. There are good cards with minimal fees and they are great ways for you to start building your credit history. Why not apply for a Virgin Money credit card here.
- Make sure that you use the credit. Some credit scoring tools cannot produce a credit score if it’s been a while since your credit reporters have given information to the bureaus. You should look to making small monthly purchases, but then make sure that you pay this off right away. It will take some time for your credit history to build, but if you make these small, regular purchases you will begin to see the results.
- Be on time with your credit card payments. One of the best ways of creating and maintaining a good credit history is to ensure that you make your credit card payments on time. With a Virgin Money credit card, you can set an automatic payment for an amount that you select. This will help to make sure that you’re not accidentally missing a payment.