Get A Mobile Phone Contract With Bad Credit History

When applying for a pay monthly contract, the required credit score is based upon the specific phone and tariff plan you choose. The more expensive the phone you choose and the higher the monthly line rental, the harder it is to be approved.

Choosing a more low-end handset on a cheaper tariff will make getting the contract more accessible even if you have a history of bad credit.

Until you improve your credit rating, the chances of you getting an Apple iPhone with a contract of £45 a month is virtually impossible. Steer clear from these expensive combinations and other packages which include free gifts.

Every mobile network operator has a different credit checking process and some networks are easier to be accepted for than others. Out of the 6 UK networks, we have researched that T-Mobile, Orange and 3 Mobile have a slightly easier credit checking criteria.

You are by no means guaranteed for approval when applying with these networks, but you can increase your chances of being approved by applying with a low-end handset and cheap line rental.

T-Mobile

Orange

Three

T-Mobile has also been known to look sympathetically to those with bad credit history. It has been discussed in several forums, that it is best to apply directly on their website for the best possible chance of passing their checks.

They offer a wide selection of tariffs and it is best to opt for their Solo tariff - many people have been known to successfully apply for this package despite having bad credit history.

Depending on your circumstances, T Mobile may offer you a tariff which may have a number of restrictions for the first 2 months (no international calls, no picture messages, no internet access). Once you have paid 2 months bills, these restrictions will then be lifted. Since you will have access to everyday tariffs, the restrictions are quite reasonable.

Everyone has heard of T Mobile and you will have the benefit of dealing with one of the biggest mobile phone companies both in the UK and USA.

T-Mobile are a recommended site if you are suffering from bad credit history.

Orange is a great second choice to T-Mobile since they accept many customers, even those who have a bad credit rating. There are some great deals to be found, and Orange remains a very popular network. You are more likely to be accepted by going for a Sim Only deal.

3 Mobile have been consistently at the front of new mobile technology in the UK; as well as being the first 3G network in the country, they also launched the first video mobile network in 2003 and are continuing to grow from strength to strength.

In their attempts to establish themselves as a leading global network operator, they are very keen on taking on as many customers as possible - even those with bad credit history.

Of course, it will depend on your individual circumstances whether you will be approved, but many people with bad credit history, have been able to get a contract phone with 3 Mobile.

Pretty much anyone can apply with 3 Mobile as long as:

* You are 18 or over
* You hold a debit/credit card
* You have a bank account

Similarly to T Mobile, 3 do not openly advertise that they are more lenient in providing bad credit history mobile phone contracts. This is so that are not flooded with applications from people with adverse credit history, and also because of the stigma that this would give their brand.

SIM only contracts are a great alternative if you have been refused a pay monthly mobile phone because of bad credit history.

Because no handset is included with the contract, in the eyes of the network this makes you less of a 'risk' and therefore you are more likely to be approved for a contract.

SIm only contracts come with better inclusive calls and text each month compared to standard contracts, and also come on a 30 day rolling contract instead of the usual 12 or 18 months.

If you already have an existing handset then perhaps you should consider the SIM card only option?

Networks which offer SIM only

T-Mobile - Recomended, T-Mobile offer Solo Sim-Only plans as low as £10!

Orange - Equally as good as T-Mobile with a range of plans to suit

02 - Although 02 aren't so good with handset deals they acceptance for their sim only deal is over 90%

Recommended network for contract phones for bad credit history - T-Mobile

Each time you apply for a form of credit, the application will leave a 'footprint' of your on your credit report. It is said that the more applications you make and the more footprints you leave in a short space of time, the worse your credit rating will be.

Despite this, In my opinion, if your credit rating is already quite poor, and you are struggling to get credit for a variety of items, then a few more footprints will not affect you too much in the grand scheme of things.

If your credit rating is so severe that you are unable to get a contract with T Mobile, Orange, 3 Mobile or even 02 only then should you stick to PAYG.

If you've ever been declined for such things like a mobile phone, loan or overdraft, you will know how frustrating it can be. This is especially true when all the lender will tell you, is that you have been declined and cannot tell you exactly why you were turned down.

Although each lender has their own particular criteria, there are a number of common factors which can affect your score. These factors can result in your application ether being accepted or declined.

Being aware of these factors can help you improve the chance of getting the finance you require.

1. Previous Bad Credit History
Previous history counts towards around 30% of your score. Things like County Court Judgements (CCJ's), defaults or missed/late payments will have a negative effect on your application.

These factors will remain on your file for 6 years, but things like defaults/late payments will diminish over time. If you have been making regular payments in the last year, then this will great help increase your credi t scoring.

2. Not Being Registered On The Electoral Roll
If you have not applied to be on the electoral roll at your current address, then there is a high chance you will be turned down for your application. The thinking behind this, is that you are not thinking of becoming a long term resident at the address and lenders are very wary of this.

3. At Current Address For Less Than 3 Years
Lenders prefer giving finance to people with continuity and if you have been at your address for 3 years or more, then your score will be considerably higher than if you recently moved to your current address.

Having a number of different addresses in the last 3 years will have a negative impact, and this is especially true if you are a tenant rather than a homeowner.

4. New Job
Having a stable and long term job is as important as living at your address for a number of years. Lenders obviously prefer people who have a steady employment record as they believe this will reduce the likeliness of you not being able to keep up with payments. If you have been at your job for a number of years, this will give a great boost to your score.

However, having two employers in the past 3 years is not all bad news. If you have changed jobs recently and have a higher salary than your previous employment, then this will not affect the check.

Lenders may require copies of your previous pay slips depending on the item you are applying for. If you need replacements, the following companies can help:

Payslipsp60
Replacement Payslips

5. Not Having A Bank Account

If you have been with your bank for a number of years, then your credit score will receive a massive boost. Unfortunately, if you have recently opened a new account, or even worse, if you have no bank account, then this will have a negative impact.

Knowing what is on your credit report can be very useful whether you have bad credit history or not.

The contents of your personal report can have a massive impact on whether or not you are given credit. Your credit rating may also affect the interest rate you are offered by lenders, which could lead to more costly borrowing.

You have the right to view the information contained in your credit report to make sure it is accurate. If errors are found, you are entitled to apply to have them corrected.

Get a FREE instant copy of your credit report here

You should check your credit report if:

-You are about to make a major credit application, such as for a loan, mortgage or car.

- You have denied for a credit card, loan, or other credit-based service.

- You want to check and guard against identity fraud.

- You are planning on getting out of credit and want to make the first steps to clearing your credit history and debts.

Prepaid Credit Cards

When applying for a mobile phone contract, you will usually be required to provide credit or debit card details as a form of identification.

Some people with poor credit rating do not have access to these cards and if you are one of them.

These cards work like normal debit/credit cards except you preload the card with your own money before using them. No matter what your history, you will be guaranteed for approval as there are no credit checks required.

The Cashplus Prepaid Gold is the Award Winning Prepaid Mastercard from APS Cashplus

Prepaid cards work in the same way as a pay as you go mobile phones, you can top it up with cash at high street locations, have your wages paid directly from your employer or transfer money from a bank account to your card.

This is an ideal way to get your hands on a recognised card but without the need to pass any checks. The fact that you will posses a GOLD card will improve your satus somehat even with your friends!

You can spend without fear of debt or fraud at millions of retailers online or on the high street, you can even use it to withdraw cash from ATM's. Mastercard is the most widely accepted payment brand in the UK and Worldwide.

* No credit check or bank account required
* Use at over 25 million retail outlets and over 1 million ATMs worldwide, wherever you see the MasterCard acceptance mark
* Shop securely online, by phone or in store
* Top-up for FREE at 14,500 locations, including any UK Post Office® branch
* Free Purchase Protection
* Credit Builder Program

Once you have managed to obtain a new mobile phone from the companies above, there is an easy way to get rid of your existing phone.

Money 4 Ur Mobile is the UK's first mobile phone trading platform who will pay you to recycle your old mobile phones in exchange for cash.

If you have a look in your cupboards at home, chances are you will find one, or a few unused old mobiles gathering dust. With a few clicks of the mouse, you can earn anywhere between £20 - £210 per phone!

1) Visit the site and look up the model of your phone.
2) Get a quick quote to see how much your phone is worth.
3) If you are happy with the price, you will be sent some details in the post along with a freepost envelope to send your phone.
4) Once the phone is received and tested, you will be sent a cheque.