How To Get Accepted For Your First Credit Card (UK)

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Getting your very first credit card can be daunting - I hear a lot of people constantly getting declined, not knowing what it is that they are doing wrong and not sure how to get started.
Credit cards have a bad reputation for getting people into perpetual debt and some of that is very much warranted - they can cause a lot of financial trouble for some people.
But used right, getting your first credit card can help you start building your credit which is incredibly important in life.
Everything from qualifying for cheap phone contracts to getting a mortgage relies on credit and the best way to build that credit in the UK is through getting a credit card and using it the right way.
In this video I will walk you through all the key steps to getting your first credit card in the UK.
Many will be immediately eligible and I'll explain the best ways to check this and if so - that's great!
If you are not, however, there are a number of things you can do to improve your situation and make yourself eligible in the future.
I will cover a lot of the options available and the ways to improve your eligibility for credit cards in the future.
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Опубликовано:

30 июл 2024

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Комментарии : 84

@hamedbeats6413 3 года назад

Quality on this content for a channel this small is criminal, fair play bro you lay it out very well

@SashaYanshin 3 года назад

Thank you!

@wiogirl 3 года назад

Very needed video, thank you!

@SashaYanshin 3 года назад

Glad it was useful! 👍

@mcafrique9699 Год назад

Nice trim👍🏿

@rotflolZRJH 3 года назад

Amazing video Sasha, thank you

@SashaYanshin 3 года назад

Thanks for watching!

@joacom 3 года назад

Hi Sasha. Great video, thanks for this. In another topic, I thought it would be great if you could do a video showing and explaining the difference between spreads in free stock & shares platforms versus paid ones. This is probably the ultimate means of hidden fees, but I have never seen a youtuber addressing this... I guess it's pretty difficult to compare prices between two platforms at a same instant, dynamic as they are... but if that price difference is more than 0.5% or another threshold, that can make a paid platform way cheaper than T212, FT or eToro... Not sure how that analysis should be done, but again, never seen it around here. Sorry for the off topic comment, but I thought you would probably read comments on more recent videos :)

@SashaYanshin 3 года назад

In the UK it is illegal to mark up spread for regular investing or ISA accounts so this does NOT happen - if you hear this from other channels it's because they simply don't understand this. Having said that - the spread will be slightly different between different providers because there is ALWAYS a natural market spread between the BUY and SELL price of anything. And because the different providers use different companies to actually execute their trades, the volumes that those companies trade and the places where the trade happens CAN have an effect on spread. But in truth that effect is going to be miniscule and unless you're buying huge amounts in the millions, you will probably never notice any meaningful difference. There are spread increments on CFD accounts but I don't really cover them and don't advocate them AND they are clearly marked in the fees section of those too.

@seraho 3 года назад

Absolutely agree about checking if you can get a credit card with your bank first. I have been with my bank for over a decade and was able to get a low interest rate card with significantly higher credit limit than I had on my existing card. Also worth researching the credit cards company's reputation when it comes to increasing credit limit. My biggest regret was not doing this for Capital One who are very stingy. I have not had had a single credit limit increase in two years.

@SashaYanshin 3 года назад

I'd say if your objective with the first credit card is to build credit, it doesn't really matter what the rate is or when they might increase the limit. If you're not rolling a balance over, the interest rate makes zero difference and if you use it right, in 12-18 months you should be able to get an actually half-decent card with a higher limit and probably some kind of perks on top instead.

@aisyahnuttall9525 2 года назад

@@SashaYanshin i have been banking with Bank of Scotland since i moved to the UK 7 years ago. I have no mortgage, no debt, no phone contract, always pay by debit card. i have 6 figures in my bank account now but BOS relies on Experian and simply rejected my application. I’m thinking of taking out the money from BOS and open a new account with Barclays if they could offer me a credit card? Which bank do you suggest please?

@SashaYanshin 2 года назад

@@aisyahnuttall9525 You don't have to get a credit card from the same place you bank with... Check out some of my videos about bank accounts - I personally use Starling and am a big fan.

@benalbrego2994 3 года назад

This video dropped just on time haha, I've been planning on getting one but it seems a bit daunting. Quick question though, does student loan affect eligibility of a credit card?

@SashaYanshin 3 года назад

It'll affect your affordability (in terms of how much money you have coming in because of deducting the Student Loan repayments), but student loans are not a debt (despite how many people position them) so they don't count on that front. It's just a progressive form of tax.

@benalbrego2994 3 года назад

@@SashaYanshin Interesting, student loans can be confusing since there's tons of misleading information out there that range from "you don't have to pay your student loan back" to "pay it off ASAP etc." Perhaps a future video idea could be about explaining and understanding student loans? I'm sure many of us would appreciate it!

@cristianiosub5120 2 года назад

Hi a have a bank account at the Metro Bank 🏦 I don’t have a Credit card yet ! Can I get one from them or can I switch to onather bank or can I get a Credit card from o another bank without having a bank account opened with the specific bank ? Thank you

@julianatlas5172 3 года назад

I'm thinking of getting the Tesco credit card as my first CC. Because I don't like credit cards so I can use that only for groceries. Because I have monzo as my only bank account I don't have a CC option from my bank

@SashaYanshin 3 года назад

Make sure you follow the steps to check but the Tesco Foundation card is a decent option for people with limited history. Then again I'd say that as I launched it 🤣

@kevinhughes9801 3 года назад

Brill tips thanks

@SashaYanshin 3 года назад

Thanks Kevin!

@tyron.0196 2 года назад

Does checking your credit report with the 4 companies you recommended affect your credit if it’s your first time applying for your first credit card and can I check on multiple companies or just stick with one ?

@SashaYanshin 2 года назад

Checking by signing up to the services will not adversely impact your credit at all. Absolutely no real reason not to check the lot.

@GoKu-ip2yn 3 года назад

Top man 👍🏼

@SashaYanshin 3 года назад

Thanks!

@BOKIKOKIKO 3 года назад

Thanks for creating the content on this channel, truly appreciate all the effort you are putting in to financially educate internet strangers. I have a quick question - I have a 'fair' credit score and in an effort to improve it I have taken a bunch of 0% interest V12 Finance loans (summing up to 1700£). Are these actually doing my credit score any good? I don't actually need the loan and can settle them right away. The oldest one of these is from 6 months ago, due to be paid out fully in a couple of months. Thanks again!

@SashaYanshin 3 года назад

Are these short term (under 12 months) point of sale loans? If so, the answer really is "it depends" but in many cases it really won't help. Using a credit card is the best way of building credit in the long term - check out this video I did on the topic: ru-vid.com/video/%D0%B2%D0%B8%D0%B4%D0%B5%D0%BE-nzbYMqZQ4yY.html

@BOKIKOKIKO 3 года назад

@@SashaYanshin Yes, all of them are short term. I can settle one of them and observe if it does anything to the credit report. Thanks!

@sirendr 3 года назад

Hello, you mentioned using an overdraft to increase credit data. I currently have chosen to opt out of the overdraft on my current account and I'm not planning on using the overdraft as I have a credit card. I was wondering if I requested an overdraft on my current account and didn't use it would build any credit history? Thank you!

@SashaYanshin 3 года назад

It still would yes although if you already have a credit card, you don't really need the overdraft and I'd say there isn't really a benefit there as you won't be using it.

@sirendr 3 года назад

@@SashaYanshin Thank you!

@seanjbattle 3 года назад

Just what I needed! Thanks Sasha :)

@SashaYanshin 3 года назад

Cheers Sean!

@Samuel-mm7sc 3 года назад

What do you think of things like Loqbox? I signed up for it in Jan

@SashaYanshin 3 года назад

I am personally not a fan because it is just making money off you giving them cash and it's making a complete mockery out of credit reporting because there is no actual credit being provided. Personally think it shouldn't exist as it does not help in any way determine whether somebody actually has a history of managing credit and there are free ways of building credit history (like by getting a credit card that you repay in full) that work better too.

@irjoker1436 3 года назад

Can you do a video on the credit building app “bits” please?

@SashaYanshin 3 года назад

you mean the credit bureau ones? What about them?

@irjoker1436 3 года назад

@@SashaYanshin sort of, its an app that advertises that they can increase your credit score with a monthly subscription. I just wondered if they are any good?

@wilsonemeka1833 11 месяцев назад

you were talking so fast and i wasnt able to pick the comparison companies or websites you mentioned. Can you reply me with the names please?

@OsbiaNnight 3 года назад

Great timing, just looking at getting my first credit card at age 28. Unfortunately don't earn enough for a lot of cards :(

@SashaYanshin 3 года назад

Many of the "credit builder" cards have minimum salary requirements of as low as £5k...

@OsbiaNnight 3 года назад

@@SashaYanshin Forgot says thanks. I got approved for a credit card by my bank. Never would of thought of going through them if it wasn't for you.

@SashaYanshin 3 года назад

@@OsbiaNnight That's awesome! Great news and good luck with your credit journey! 👍

@AlisterNoronha 3 года назад

Just the thing I was searching for!! Can I get a credit card if I have recently moved to the UK (6 months)? I wanted to build my credit score but all the credit card eligibility checkers including the ones to check your score require to put in more than a years address in the UK.

@joacom 3 года назад

If you have a job and your salary is paid into that bank, they should have no problem giving you a credit card... Presenting your payslips and a permanent work contract could help too, in case you have it... That was my case two years ago when I first came to the UK, got a credit card one week after that. HSBC bank, by the way.

@AlisterNoronha 3 года назад

@@joacom Great! Thanks for that info. I do have these, just did not want to get a reject mark on the credit file.

@joacom 3 года назад

@@AlisterNoronha much better if you get to do it in person though, with an account executive, IMHO...

@SashaYanshin 3 года назад

Make sure you do the checks I mentioned and follow the steps too as some of these can help. Do check with your bank if they do credit cards as per earlier comments as that can often be an easier route in. Also - there is no such thing as a rejection mark on the bureau. The bureau only registers searches made, NOT the decision. And just because you have a search but no account means very little - you could have declined after applying when you saw the rate, some companies take a few months to actually start reporting data so don't worry about that.

@goldi3618 3 года назад

Omdz I legitimately just got accepted by a credit card company(Aqua) by following this video 🤩🤩 Thank you so much bro ❤👌

@SashaYanshin 3 года назад

That was fast! Also - I originally designed that card way back when when it had a major relaunch :) I expect literally everything about it now is entirely different from that time though!

@goldi3618 3 года назад

@@SashaYanshin yh all I had is to fill few details and it only took me like 5mins 😂. I think we need a how to properly use your credit card to improve your financial life video 🤩😂

@SashaYanshin 3 года назад

@@goldi3618 I do have that video linked in the Description!

@thunderbolt4579 2 года назад

@@goldi3618 How has the the credit card been, would you recommend it because I’m looking to get my first credit card but not really sure which to get. Also, did you get the advanced or classic one?

@goldi3618 2 года назад

@@thunderbolt4579 hey mate, it's been amazing tbh, I got the card within 5 working days after I applied for it. At the start my limit was 600 but 3 months down the line to increase it to 1600 and after 2 more months its gonna be 3000 I believe so I would totally recommend it only if you can control your spending of course so you not paying interest. And it was the classic Aqua because it's the one they give to people with little to no credit history. Hope this helps you take the right decision buddy 👍

@seraho 3 года назад

Good to see another credit card video from you.

@SashaYanshin 3 года назад

Need to do a broader mix of content!

@jonathaneduardo7332 3 года назад

A bit random, but do you have an affiliate link to that map in the background? haha for reals, thanks

@goldi3618 3 года назад

The video we were waiting for 🔥😂

@SashaYanshin 3 года назад

Hope it’s useful!

@goldi3618 3 года назад

@@SashaYanshin yup it's very hopefully and It got me accepted 🥳🥳 thank you Sasha for the great content 👌

@SashaYanshin 3 года назад

@@goldi3618 No problem! I still have mine which I got when I worked for Newday 😂

@mr.kalagh9879 3 года назад

Hey Shasha, I bought a pair of trainers from USA & I’ve been charged extra £ for foreign exchange conversion! Do you know why?

@SashaYanshin 3 года назад

Because most credit cards have a foreign transaction fee so if you spend in a currency other than £, you’ll get charged a fee - usually 3% or thereabouts.

@mr.kalagh9879 3 года назад

@@SashaYanshin thanks for letting me know mate

@lucag4402 2 года назад

Which credits cards allow authorised users for u18s

@SashaYanshin 2 года назад

None - there are legal restrictions like requiring to run fraud and AML checks and as it's a credit product, they won't accept under 18s, even as an additional cardholder to a main account.

@TheGhost-dl5nb 3 года назад

I’ve lied about my income and got accepted for my first credit card so I don’t think they check affordability as thoroughly as they should 😬

@SashaYanshin 3 года назад

Be careful as that app form data will be submitted to credit reference agencies so future applications MAY be referenced against the number you just provided.

@JagOnline 3 года назад

Nice video from the credit king himself

@SashaYanshin 3 года назад

Thanks Jag!

@paulhayes7972 3 года назад

I wish I knew I could only get a student credit card when applying for a student account😭

@SashaYanshin 3 года назад

Can probably still apply further down the line though...

@paulhayes7972 3 года назад

@@SashaYanshin yep I will deffinately, but I applied for a HSBC student account so that I can hopefully get a HSBC student credit card and I think the application went through well👍

@SashaYanshin 3 года назад

@@paulhayes7972 Awesome - good luck with it!

@sidkings 3 года назад

I needed this video 20 years ago :-) Also, on a sperate note. It looks like alot of banks are jumping on the Cashback band wagon. Lloyds are ending thier Avios card and switching it to a cashback, got no choice. Meanwhile Barclays have asked me if I want to switch from Platinum to Cashback rewards...

@SashaYanshin 3 года назад

Interesting point on the cashback front - I hadn't noticed it (mainly as I've not been paying attention) but it is an interesting thing if that's happening across the board. Thanks for the tip.

@bufordmaddogtannen 3 года назад

1. Have a pulse 2. Apply for a card with Vanquis 3. Enjoy that lavish £250 credit limit with a 39.90% APR 😂🤣

@SashaYanshin 3 года назад

You must have seriously good credit to have gotten that 39.9% rate! 🤣🤣🤣

@bufordmaddogtannen 3 года назад

@@SashaYanshin they never increased the limit in 2 years, and in the end they closed the card as I was not using it. They probably could not grasp I did not want to go above 30% utilisation and screw the credit score further (it dropped 180 points after I was approved for the card). 😁