best way is have 1, use it every week to buy petrol on, pay it off in full without fail every month.

worked for me, and i had just come out of a bankruptcy, you cant get worse credit history than that, and now they are throwing cards at me.

ps – on the insurance thing. if you pay by debit card for something then the company goes bust (like that hamper company did) then you have to try to claim your money back from receiver. if you pay by CREDIT card and the same happens you are covered by the credit card insurance and will get your money back.
so worth buying holidays etc on credit cards.

Before creditors lend money, they need to be assured that the funds will be repaid. In other words, is the prospective borrower creditworthy?

How to Establish Credit

Begin by opening individual savings and checking accounts in your name. Over time, your deposits, withdrawals, and transfers will demonstrate that you can handle money responsibly.

Applying for a loan is another option, but be aware that this method of establishing a credit history will cost, since loans require the payment of interest.

You could take out a bank loan secured by the funds you have on deposit or by items you own, such as a car. You could also ask a friend or relative who has good credit to cosign a loan, which means that he or she shares liability for the loan with you.

You could also apply for department store and gasoline credit cards, which generally are easier to obtain than major credit cards. Before you apply for any credit, however, make sure you understand the terms. For example, how long is the grace period or the time you have to pay the current balance in full before finance charges are added? Is there an annual fee or other fees associated with the credit? If you believe that you will carry a balance, you need to know how finance charges are calculated.

Patience is important in this process. It takes time to establish credit and build a record of consistency in making payments to demonstrate your creditworthiness. And it is much better to go slowly and develop a strong credit record than to apply for too many credit cards or a loan that is larger than you can handle.

Start slowly, be cautious, keep track of your overall debt, and pay on time. Most importantly, remember that credit actually represents real money and has to be repaid with interest.

If you can you should aim to get a credit card with 0% interest, there are plenty of them around. Mostly credit cards should only be used in an emergency and if you can always try to repay your balance in full each month by setting up a direct debit from your bank account. This will help you to avoid getting into longer term debt but will allow you to build a credit rating. Also if you are offered a silly credit limit (one by which I mean it would be impossible for you to repay in one hit i.e. £5,000) you could request that they reduce the limit to a more manageable amount such as £1,000 or £500 and that way you know you will never owe more than that as a maximum (so long as you don’t go over limit).

You can look at some supermarket credit cards that offer reward points etc but I think as a rule these generally have higher interest rates.

Well done you for having no credit cards!! Wish I had done the same. Just be careful they can become a habit to use and before you know it you’ve got a mountain of debt!!

Just budget well and keep to your own limits. I think there are sites online where you can compare the best credit cards. As far as i know you dont earn interest on creit cards when you are in credit, its moe that when you owe them money they sting yu for interest on that.

But if you do keep to your repayments they tend to boost yuor cred limit up to sky high amounts with larger repayments… which could be dangerous if you cannot afford the repayments so watch for that. Good luck!