Credit Score Basics > What is the easiest phone contract to get with bad credit?

What is the easiest phone contract to get with bad credit?

Wollit Team2 minute read · Updated 14th October 2024

First of all, why do you need a credit check for a phone contract?

The answer is simple: mobile phone companies ask to run a credit check on you because when you sign up for a phone contract, you're actually renting the phone from them until it's paid off.

The latest iPhone, for example, costs around £1,000. Giving it to you with £0 upfront is a big risk for the company if you can't pay your monthly contract bill. Hence, they need to know if you have a history of paying bills and debt on time.

Which phone networks run credit checks?

Most mobile networks perform credit checks, especially if you're looking at a contract that comes with a premium phone.

This includes:

BT Mobile,
EE,
iD Mobile,
Plusnet Mobile,
O2,
Sky Mobile,
Tesco Mobile,
Three,
Virgin Mobile,
and Vodafone.

How does a mobile phone credit check work?

Typically, most networks will ask you for your name, date of birth, current address, address for the last three years, and employment and marital status.

They might also ask you questions about your bank account and credit card, so you should have those details ready as well.

How can I get a mobile phone if I have bad credit?

Before getting a phone contract, try to improve your credit score. This will give you more deals to choose from. A phone contract might even slightly improve your credit score if you make each payment on time.

But if you can't improve your credit score right now, you still have some options:

Choose a deal with a cheap phone. It's easier to pass a credit check for a contract with an older phone than for one with the latest iPhone, Samsung, or Google Pixel.
Choose a deal with a refurbished phone. Even easier if you have a bad credit score.
Save and buy a phone without a contract, then sign up for a 30-day SIM-only plan.

Where can I get a phone contract if I have bad credit?

The UK has many mobile networks to choose from, and the good news is that some of them let you sign up even if you have a low credit score or no credit history at all.

Here are the best networks for bad credit mobile phone contracts:

VOXI,
Lebara Mobile,
giffgaff,
Talkmobile,
Lycamobile,
Asda Mobile,
SMARTY.

All of these networks offer 30-day SIM-only plans and don't require credit checks. However, you'll need to buy the mobile phone outright.

A SIM-only plan won’t have the best data or voice plan, and it won’t come with a phone, either. This is why it’s important that you take these steps to build your credit history and improve your credit score:

Register to vote;
Pay all your bills on time;
Open a bank account;
Avoid opening joint accounts or sharing utility bills with people with bad credit;
Consider a credit-building credit card or loan (just be careful, they have incredibly high interest rates and fees);
Don't use more than 25% of the credit limit if you already have a credit card;
Make only a few loan applications at a time, and always use an eligibility checker for loans, credit cards, etc.
Sign up to Experian Boost – a free and quick way to add a few points to your credit score by making your Netflix, Amazon Prime, and other subscriptions count;
Download a credit-building app like Wollit, which reports your monthly subscription as a loan repayment, helps you build a credit history, and hopefully boosts your score in the process.