I bought my first android mobile on monthly installments, though I had no credit score then. One of my relatives had bought his mobile handset on EMI, and therefore I got EMI facilities on his recommendation. I needed to show only my bank account balance to loan provider. My credit history was created after I repaid all my installments on time. Then I got an credit card offer from my bank.
Credit score can be improved without credit card, but you need to change our necessary habits. First of all it needs to understand that credit score doesn't only depend on the use of credit card, but also rely on your financial discipline, timely repayment, and responsible money management. If you want to increase your credit score, then you should make habit to repay your all due bills on time. Now-a-day many credit bureau include the payment of utility bills in the credit history such as electricity, gas, water, broadband, and etc. Making payment of these utility bills on time shows your financial reliability and helps in improving your credit score gradually.
Apart from this, if you have taken any personal loan, two wheeler loan, student loan, or consumer loan, then don't delay the repayment. Timely EMI payment is one of the main reasons that directly affects your credit score. Delaying in EMI repayment can decrease your credit score, while continuously timely repayment will boost credit score. If possible then repay EMI before its due date, it will have positive impact on your credit profile.
Third important thing is that financial transaction should be stable. Try to keep minimum balance in your bank account and stop doing unnecessary expenditure or taking overdraft. Your banking transactions show your financial discipline, and sometimes indirectly boost your creditworthiness. If you are a salaried employee, then the salary deposit in the bank account every month proves your regular income which may help you get loan in future and indirectly make your credit history strong.
Other than this, stop increasing your number of loans at one time. If you are repaying a loan, then thoughtfully decide before taking another loan. Huge loan burden can hurt your credit profile, which may give you trouble in improve your credit score. If you can balance your expenses and loan, then your credit score will increase continuously.
Those who want to make credit history without credit card, they can take secured loan against their fixed deposits. It is known as less risky loan, and it can help you in making strong credit history if you repay EMI on time.
At the end, It is necessary to check your credit score from time to time. Many times there are mistakes in credit report such as showing of incorrect entries, or wrong due amount. In my case, there was showing another credit card in my credit profile which was not issued to me. I sent an email to credit card company about this issue and removed the errors. Making correction in these errors also improves your credit score.
Using these measures, you can make strong and reliable credit score without credit card. Discipline, regularity, and correct financial decision can make your credit future safer and better.