O/T credit card question

[babycrazy1706]

if i take out a credit card just for the sole purpose of to get a good credit rating for the future (i.e when we want a mortgage etc) and i pay it off in full every month, will i get charged interest still?? right now i have no credit rating because i've never had a loan/credit card. i dont want it to borrow the money as such because i dont like buying things if i cant afford them first. yes so will i get charged interest if i pay it off straight away in full every month? thanks Xx

 

[Mindy_mini]

Providing you pay it with in a certain time no you won't get charged interest. Just go careful because these credit companies are desperate to get you to spend

 

[babycrazy1706]

thanks. yes i'd be really careful!! i can imagine what theyre like!!!
also.... i have a next account, would that count when getting a credit rating? Xx

 

[Luluchaos]

Any form of credit counts, as far as I'm aware, including store cards. And no, interest is only if you don't pay off in full every month x

 

[lepaskilf]

Yeah, the next one would count as will store cards and phone contracts x

 

[babycrazy1706]

ohhh ok. phone contracts aswell!!? never thought of that! maybe i have got a credit rating then! thanks Xx

 

[ahcigar1]

If you pay your credit card on time then no you will not get charged interest. It is only after your due date that they tack it on.

 

[babycrazy1706]

If you pay your credit card on time then no you will not get charged interest. It is only after your due date that they tack it on.

thanks totally off topic, but your baby is adorable!! Xx

 

[BandK]

Just a note as well, if you dont pay off the full balance every month you will get charged interest on the whole amount...

So if you had $500 charged on it, and you paid off $499 they would still charge you interest on the full 500 instead of $1.

 

[dwl]

Warning about phone contracts they make your credit rating go down. I have only had a mortgage and phone contract and did a free credit check, it was done out of 5 and I got a 3. I did a bit of research and found out the reason is that you are paying your DD one month behind. This means you are in debt to the phone company each month....hence bad credit rating. If you are really interested in all this stuff I would suggest www.moneysavingexpert.com

 

[My_First]

Warning about phone contracts they make your credit rating go down. I have only had a mortgage and phone contract and did a free credit check, it was done out of 5 and I got a 3. I did a bit of research and found out the reason is that you are paying your DD one month behind. This means you are in debt to the phone company each month....hence bad credit rating. If you are really interested in all this stuff I would suggest www.moneysavingexpert.com

Thats not strictly true, because with all credit you are ALWAYS in debt to a company, as you have borrowed the money and paying one month behind, as thats how they charge interest. It is possible that your credit was lower than anticipated possibly because you have only had two accounts, or maybe you are not on the electroral role? Linked to someone else who has not as good credt etc. etc. You dont automaticially get good credit just because you have a small amount of credit outstanding.

To the OP, yes you can get a credit card and it will be good for your credit rating.

 

[babycrazy1706]

Just a note as well, if you dont pay off the full balance every month you will get charged interest on the whole amount...

So if you had $500 charged on it, and you paid off $499 they would still charge you interest on the full 500 instead of $1.

what!! Robbing *******s!
I'd only ever spend on a credit card what i already have saved up in the bank and totally pay it off in full every time!!
But you can see how they make their money now! Crooks!!

 

[babycrazy1706]

^^^ lol. I didnt know we're not allowd to swear!! It blocked it out for me! Whoopsie!