I remember when I was a kid, the majority of the older generation advised me to never take out a credit card or a loan.
So for most of my life, I grew to only spend what I had. Don’t get me wrong, this a good way too live, to a point. The issue is the world doesn’t operate on a ‘how good are you at spending your own money’ but more on ‘how good are you at paying back money’, it’s stupid, I know.
The three major things in this world that people aim for (in some shape or form) is to own a house, own a car and own their own business. Now the capital you need to gain usually requires the majority of the world to borrow, usually from a bank. Now the bank isn’t able to ask your mates Deji or Kojo wether your good to pay back the odd £5. The only basis they have is to review is your transactional history.
Your history; have you got a phone contract and do you pay your bills on time? Do you have a credit card and regularly pay back the money? Did you finance a tv and pay monthly? If you can utilise this form of creditably, then you can open the doors to various opportunities like starting up our own business or working towards your first car. Start off small, finance a tv, repay 12 months of what you can afford and work your way up. Get a credit card, make a big spend on it with the money you already have in another account. At the end of the month transfer the money you would have used from your current account into your credit card, this alone will peak that credit score. Use these powers that are at your disposal and get your money right.