Credit Smart Solutions

How to Build Credit From Scratch in Australia (2025 Edition) New to credit? Whether you’re a student, new migrant, or just haven’t used credit before, building a strong credit profile in Australia is essential in 2025. Why Credit Matters Your credit score affects your ability to get approved for loans, credit cards, rental properties, and sometimes even jobs. Building it early gives you more financial freedom. Steps to Start Building Credit Apply for a Low-Limit Credit Card: Look for beginner cards with no annual fee. Use the Card Responsibly: Spend only what you can pay off in full each month. Pay on Time: Never miss a payment — punctuality is 35% of your credit score. Register for Utility Bills: Services like rent and phone plans now contribute to your credit. Check Your Score Regularly: Use apps like Credit Simple or ClearScore for free tracking. Tips for Success Don’t apply for too many credit products too quickly Don’t close your oldest credit...

How to Build Credit from Scratch in Australia If you're new to Australia, recently started working, or simply haven’t had a credit card before — you might not have a credit history. But don't worry. Here’s a step-by-step guide to building your credit score from scratch. 1. Open a Basic Bank Account Start with an everyday account and savings account with a reputable bank. Choose banks that report your behaviour (like overdraft management) to credit agencies. 2. Get a Low-Limit Credit Card Start with a secured card or student card Keep your credit usage below 30% Always pay the full balance by the due date 3. Become an Authorised User If a family member or partner has a solid credit card, they can add you as an authorised user. Their good habits help build your history too. 4. Use Buy Now Pay Later Services Wisely BNPL platforms like Zip and Afterpay now share some repayment behaviour with credit bureaus. Use these only if you can repay in full on time. ...