The truth of the matter is that you do indeed need a credit card to exist in this society. I know it sounds a little sad and over dramatic, but you are quite literally nothing unless you have a credit rating either from a credit card, a loan, or a mortgage…
The money institutions of the world need to know on which level you stand so they know who they can safely lend money to. The irony here is that they only really lend money to those people who already have it! (particularly in this financial climate). Those of us who need 5 grand to go out and buy a car can’t get a penny because our job says we don’t earn enough to cover the repayments; and no, it doesn’t matter if you do a little cash in hand work at the pub on a Friday night; you’re not allowed to count it!
So once you get some credit, you won’t have any problem getting more, and that’s the way it has always been; and that’s the way the world of credit appears to be staying. It can be an enormous bind if you get into financial difficulty with a credit card when you’re young because this can seriously effect your ability to get a mortgage for a house when you are older; you are left pretty much on the scrap heap when you can’t get credit!
Tags: credit cards, credit scoring, refused credit