Cellphone contract approval for someone with no credit history

[IamMe18]

What are the chances of getting a cellphone contract approved on the same day of applying if you have been buying things with cash and have never had a store account or some sort of credit in the past?

 

[cr@zydude]

What are the chances of getting a cellphone contract approved on the same day of applying if you have been buying things with cash and have never had a store account or some sort of credit in the past?

Close to zero. I got rejected by Cell C for a R99pm contract as I had never used credit before. It was humiliating and ironic as they didn't bother with bank statements or payslips, just my ID number. Also, I had just spent R70 on lunch before applying.

 

[Progenix Oj101]

Close to zero on all but the cheapest contracts. Been there, done that (about a decade ago).

 

[Progenix Oj101]

Close to zero. I got rejected by Cell C for a R99pm contract as I had never used credit before. It was humiliating and ironic as they didn't bother with bank statements or payslips, just my ID number. Also, I had just spent R70 on lunch before applying.

Funny thing with Cell C is in December I took a massive upgrade on my contract, from one costing R 300 per month to one costing R 900 per month. They denied me, saying the increase is too large. I told them to check my last 12 months spending habits with them - they checked, apologized and approved me xD

 

[IamMe18]

Funny how you're denied things for not having debts. I guess an Edgars account is a perfect place to start to build my credit score.

 

[Arthur]

Hehe.

Of course you know it's not having debts that's the decider. It's having a record of reliably paying your debts, of actually doing what you've undertaken to do.

No sane person would lend money to a stranger without knowing whether they have enough income to pay it back, and a record of doing so with others.

 

[IamMe18]

Hehe.

Of course you know it's not having debts that's the decider. It's having a record of reliably paying your debts, of actually doing what you've undertaken to do.

No sane person would lend money to a stranger without knowing whether they have enough income to pay it back, and a record of doing so with others.

So after how many months should I try applying for one after opening a few accounts here and there (and paying them on time, every time)?

 

[animehero]

Easy, go to Edgars.Get some credit.Use said credit at CNA and buy something fairly expensive.Pay it off over 6 months then apply for a contract.or better yet just buy a phone from edgars and pay it off monthly

 

[maumau]

Edgars charge R20 pm, even if your account balance is zero.

 

[IamMe18]

Easy, go to Edgars.Get some credit.Use said credit at CNA and buy something fairly expensive.Pay it off over 6 months then apply for a contract.or better yet just buy a phone from edgars and pay it off monthly

It's actually more expensive to buy a phone at a store on credit than on contract. I'm not 100% sure with Edgars but it's true for the TFG stores.

 

[CataclysmZA]

Funny how you're denied things for not having debts. I guess an Edgars account is a perfect place to start to build my credit score.

Set up an Edgars account, get the card, and sign up for the mobile airtime service. Buy your airtime through Edgars for a month or two, pay it up, and then go take out the contract you want. That's the easiest way to do it manually. Make sure you're on the six month option, and make sure you specify it to the person signing you up.

 

[IamMe18]

UPDATE: I tried my luck and applied online on the MTN site. They called back and asked the necessary question and I answered, now I wait to see if I've been approved or not.

UPDATE 2: APPLICATION APPROVED. Looks like I didn't need a credit history. But I do think the amount of the contract also helped, it's R149 pm.

 

[C_hristo]

Funny how you're denied things for not having debts. I guess an Edgars account is a perfect place to start to build my credit score.

avoid store cards. rather get a credit card. or and independent card such as rcs or istore card.

 

[Dairyfarmer]

Credit cards are the easiest and cheapest way of maintaining and increasing your credit rating. But you must pay every month and you must pay more than the minimum. Paying only the minimum every moth actual reduces your credit rating.

I buy my cars on 4 year HP but pay them off in 2 years. That is fine except that 6 months after settling my credit rating starts slipping. I went from a 950+ to 850 (on TransUnion) in 12 months after paying off the HP I had. I only have 2 cell contracts and used to have DSTV. No store cards!

I do not use my debit card only my credit card and pay the whole amount off every month before pay day. There are no POS charges and I pay before any interest or charges are due. The yearly card fee is not all that much compared to store cards. And I buy everything with my card. Diesel I buy at the co-op (a lot cheaper than service stations) and it is charged out as goods not fuel, so no extra charges (don't know if they have done away with charges for fuel on credit cards).