How I improved my credit score as an 18 year old

Author

George Beecroft
July 11, 2025

👋 Hey guys - Noah here,

When I was younger, I had zero clue what a credit score was.

But it’s actually more important than most people realise. Here’s everything I did to improve my credit score as an 18-year-old.

Why Your Credit Score Matters (Even at 18)

If you think credit scores are just for mortgages, think again.

Your credit score affects:

  • Phone contracts

  • Car finance rates

  • Flat rental applications

  • Some job applications

  • Energy bill payment options

  • Even some gym memberships!

Starting at 18 gives you a 5-10 year head start on everyone else. By the time you want to buy a house, you'll be golden.

The 3-Step System That Took Me From 0 to 850+

Step 1: Get On The Electoral Roll

This takes 5 minutes and boosts your score instantly.

Just go to gov.uk/register-to-vote and register at your current address. Even if you're living with parents or in uni halls.

Why it works: It proves you are who you say you are and where you live. Lenders love this.

My score jumped 50 points just from this one move.

Step 2: The Credit Card Trick

"But Noah, I thought credit cards were bad?"

When used wrong, yes. But used smart? They're great for your credit score.

Here's what I did:

  1. Applied for a basic credit card (easier approval)

  2. Set up ONE small direct debit on it (Netflix, Spotify, etc.)

  3. Set up automatic FULL payment every month

Result: Perfect payment history building every single month without thinking about it.

Best Starter Cards for 18-year-olds:

  • Aqua Reward/Tesco Bank: High acceptance rate

  • Capital One Classic: Good for beginners

  • Student cards from your bank

Step 3: The Phone Bill Hack

Most 18-year-olds are on their parents' phone plans. Here's why that's costing you:

When you pay your own phone bill monthly, it reports to credit agencies. It's like a mini-loan you're paying off perfectly every month.

I switched to a £20/month SIM-only deal. Within 6 months, my score shot up another 75 points.

The Mistakes That'll Wreck Your Score

Never Do These:

  • Apply for multiple credit cards at once (each application drops your score)

  • Miss ANY payment (even £5 can haunt you for 6 years)

  • Max out credit limits (stay under 25% usage)

  • Close old accounts (length of history matters)

The Overdraft Trap

Your bank will offer you a "free" overdraft. Don't take it unless you REALLY need it.

Being constantly overdrawn looks terrible on your credit file. It screams "can't manage money" to lenders.

The Long Game

Building credit is a marathon, not a sprint. Do these things consistently for 12 months and you'll have a score most 25-year-olds dream of.

When your mates are getting rejected for car finance at 21, you'll be getting the best rates.

When they're struggling to rent a decent flat, landlords will be fighting over you.

Start now. Thank yourself later.

Let me know how your credit building journey goes - love seeing people take control of their financial future early!

All the best, Noah