If you have been refused a mobile phone the most common reason is down to having a bad credit rating. Even if you have never defaulted on a loan or bill payment your credit score may not be high enough from simply never having a credit history.
Before you can improve your credit history you need to answer two important questions:
1. What is your current score
2. What has caused your score to be below the level required to get accepted for a mobile phone contract or any other form of credit
Both of these questions can be answered by looking at your credit report. A credit report holds important information about your credit history as well as any problems or issues that might be causing problems when you apply for credit.
To apply for your credit report you can log onto Experian or Equifax and get free access. It is also important to note down any defaults or missed payments with anything in the last few years. Missed payments and defaults will be wiped from your file after a set period of time but will harm your chances of approval in the mean time.
Once you have access to your credit report, check all details and check they are correct, this includes past addresses and information such as your full name. If any past details are incorrect you have a right to get them changed. By making sure your financial record is 100% accurate you will avoid triggers that could cause you to be unnecessarily declined for a mobile phone.
If you have no credit history
You may think having a credit card is a bad thing, however without credit history, companies may be less inclined to accept you as they have no track record. It is often advised by experts to start your credit journey early with a credit card or overdraft.
If you have bad credit
Depending on the amount of defaults you may be more likely to be accepted than you might think. If you are sure you have bad credit and have had ccj’s and many defaults then the only real choice is to wait. You could get a phone on finance or ask a relative to guarantee your mobile contract.