Yes. Keep your nose clean for 4 months and it looks like they'll improve your credit limit. Just be careful not to mess up so pay it off at the end of the month. I'm assuming you still get an interest free period with this card. It's an opportunity to get your credit rating out of the mud.
Thanks for the advice, have you got a vanquis credit card? if yes when did they up your credit limit 1st time?
Also when advisor phone me up to continue with the application he set up direct debit so if I am paying in full monthly, do I cancel the direct debit or still leave it on? also if I am paying in full monthly, how much will I have to pay in full when my bill is due?
Like for example, if I spend say like £19.99 at argos, do I pay the full £19.99 when the bill is due, and is that without a charge? sorry I am asking all of this as I am new to credit card and I don't know how these work
I haven't got a Vanquis card so can't comment on that aspect.
A direct debit to pay a credit card is usually set up to either pay the minimum amount (say £5 or 5%) or the full amount monthly. You need to check this to be sure. If it is for the full amount I suggest you leave it as it is so you won't accrue interest and the money will come out of your current account automatically.
If it is for the minimum amount, you will need to pay the outstanding amount yourself every month. This will be detailed in your first bill.
Assuming you have an interest free period of a month or more, you will only be charged interest if you fail to pay before the interest free period ends. On your bill there will be written somewhere "pay before xx/xx/xxxx" Pay the amount in full before this date. Allow a 3-4 days for banks to shuffle money around.
Edit: I've just checked and you do get 56 days interest see on card purchases. This effectively means if you pay off the amount in full every month you won't incur interest charges.
Thanks for the advice, have you got a vanquis credit card? if yes when did they up your credit limit 1st time?
Also when advisor phone me up to continue with the application he set up direct debit so if I am paying in full monthly, do I cancel the direct debit or still leave it on? also if I am paying in full monthly, how much will I have to pay in full when my bill is due?
Like for example, if I spend say like £19.99 at argos, do I pay the full £19.99 when the bill is due, and is that without a charge? sorry I am asking all of this as I am new to credit card and I don't know how these work
You certainly, in my view, need to pay in full each month, not just the minimum. So, if you spend £19.99 you will pay £19.99 on the due date. Read the first statement carefully when you get it as it may make it clear whether your direct debit clears the whole balance or just the minimum. If it is not clear ring them up.
You could just wait to see what happens when payment is taken, as if they only take £5 the balance will incur interest at a high rate but low amount, so will cost you around 50p in the first month and you can then ring them to change to a direct debit clearing the whole balance.
Thanks for the advice, have you got a vanquis credit card? if yes when did they up your credit limit 1st time?
Also when advisor phone me up to continue with the application he set up direct debit so if I am paying in full monthly, do I cancel the direct debit or still leave it on? also if I am paying in full monthly, how much will I have to pay in full when my bill is due?
Like for example, if I spend say like £19.99 at argos, do I pay the full £19.99 when the bill is due, and is that without a charge? sorry I am asking all of this as I am new to credit card and I don't know how these work
I'm sorry but if you don't know what "paying your balance in full" means then I would not get a CC.
They didn't 'have you over' you simply didn't read or understand the t's and c's.
Credit cards can be great if used correctly. We use the john lewis partnership card a lot, pay it off every month and receive vouchers back for use in john lewis or waitrose.
So exactly how many people really read the T’s & C’s that come with a CC, not many I bet and even if they did they simply would not understand them anyway and by the time they got to the end of the booklet a new version would be dropped on the door mat.
It’s a sharp practice IMO and they did give the money back so that in its self backs my opinion up as when was the last time a bank ever gave anything back without months of hassle.
Anyway no problems these days as I get paid for using my CC so I laugh all the way to the bank and look forward to paying off my balance each month and watching my cash-back grow and not only that I'm not tied into any one store or supermarket.
Comments
Thanks for the advice, have you got a vanquis credit card? if yes when did they up your credit limit 1st time?
Also when advisor phone me up to continue with the application he set up direct debit so if I am paying in full monthly, do I cancel the direct debit or still leave it on? also if I am paying in full monthly, how much will I have to pay in full when my bill is due?
Like for example, if I spend say like £19.99 at argos, do I pay the full £19.99 when the bill is due, and is that without a charge? sorry I am asking all of this as I am new to credit card and I don't know how these work
A direct debit to pay a credit card is usually set up to either pay the minimum amount (say £5 or 5%) or the full amount monthly. You need to check this to be sure. If it is for the full amount I suggest you leave it as it is so you won't accrue interest and the money will come out of your current account automatically.
If it is for the minimum amount, you will need to pay the outstanding amount yourself every month. This will be detailed in your first bill.
Assuming you have an interest free period of a month or more, you will only be charged interest if you fail to pay before the interest free period ends. On your bill there will be written somewhere "pay before xx/xx/xxxx" Pay the amount in full before this date. Allow a 3-4 days for banks to shuffle money around.
Edit: I've just checked and you do get 56 days interest see on card purchases. This effectively means if you pay off the amount in full every month you won't incur interest charges.
You certainly, in my view, need to pay in full each month, not just the minimum. So, if you spend £19.99 you will pay £19.99 on the due date. Read the first statement carefully when you get it as it may make it clear whether your direct debit clears the whole balance or just the minimum. If it is not clear ring them up.
You could just wait to see what happens when payment is taken, as if they only take £5 the balance will incur interest at a high rate but low amount, so will cost you around 50p in the first month and you can then ring them to change to a direct debit clearing the whole balance.
I'm sorry but if you don't know what "paying your balance in full" means then I would not get a CC.
So exactly how many people really read the T’s & C’s that come with a CC, not many I bet and even if they did they simply would not understand them anyway and by the time they got to the end of the booklet a new version would be dropped on the door mat.
It’s a sharp practice IMO and they did give the money back so that in its self backs my opinion up as when was the last time a bank ever gave anything back without months of hassle.
Anyway no problems these days as I get paid for using my CC so I laugh all the way to the bank and look forward to paying off my balance each month and watching my cash-back grow and not only that I'm not tied into any one store or supermarket.