Been accepted for a credit card

Owen_Kent · 31/12/13 - 05:44

Hi,

I am shocked as I applied for a vanquis credit card last week and advicer from vanquis bank phoned me yesturday (30.12.2013) to continue with my application for a credit card and I am shocked when he told me that I have been accepted and I will get my credit card within the next 7 working days and my pin number will follow.

Also this credit card is designed to help me get my rating good as that what advisor stated on the phone, also he couldn't tell me what my credit limit would be as he just told me to wait till I get my card.

Is vanquis a good credit card company? I never been with vanquis so I don't know what they like.

I didn't think I would get it as my credit rating is a bit poor, anyway does anyone know what credit limit I am expecting to get? if anyone recently had joined vanquis and got a credit card, what was your first limit?

I am not messing this credit card up as I don't want to get my rating any worse, I am always going to make payments on time

So anyone can tell me what my first credit limit will be, would be great thank you.

By the way, I just found out that Vanquis is owned by Provident and 3 years ago I had a loan from them when I was living with family but I was sanctioned by Job Centre and couldn't keep up with payments anyway I am shocked Vanquis has still accepted me yesturday

justatech · 31/12/13 - 06:05

Advice? Cut it up and throw it in the bin as soon as it arrives.You will be absolutely hammered by extortionate interest rates if you use it and will pay massice amounts of money if you default on a payment.

No one with any sense would use such a card, under any circumstances.

Gogfumble · 31/12/13 - 06:40

If you pay off your balance each month before it starts to get interest added on then it MIGHT be a good way to improve your credit rating. If you want to use it for credit purposes then I agree with justatech that you will get stung for high interest rates.

No one can tell you what your credit limit will be. You will have to wait and see. If your credit rating is really bad, expect it to be low, maybe £200 or so.

Ellie666 · 31/12/13 - 06:41

your interest will be 0% IF you pay it off each month, if you go over you'll find it will be nearer 30%

Gogfumble · 31/12/13 - 06:46

Ellie666 wrote: »

your interest will be 0% IF you pay it off each month, if you go over you'll find it will be nearer 30%

39.9% variable according to the website.

DMN1968 · 31/12/13 - 08:24

Its well worth having a credit card to improve your rating - however it is essential that you pay the thing off in full each and every month otherwise you will get hammered with the interest charges. And certainly do not use it for cash. If you do not have the discipline or resources to pay the thing off in full each month, then chop it up.

Also there is no such thing as a "credit rating" or "credit score". What happens is if you want credit, the lender will look at your credit history and some other factors to see if you meet their criteria - which is typically that you will be able to pay them back, but also perhaps that they will be able to make money from you. Different lenders have different criteria.

Another reason for using a credit card is that you get the Section 75 consumer protection. If the item purchased is greater than £100, and there is a problem with the sale (goods not received, company goes into liquidation etc etc) then the credit card company is liable, not you.

A couple of years back, I purchased a sofa for £2200 and used a card. A few days later, the shop went into administration. If I had paid cash, I would have got about £150 back. Fortunately, the Nationwide took the hit instead.

jackol · 31/12/13 - 12:11

Pesonally i would never use Vanquis. Dont be surprised they gave you a card, it isnt difficult off them.
http://www.consumeractiongroup.co.uk/forum/showthread.php?29943-Beware-Of-Vanquis-Credit-Card

Google a little more about them

Smokeychan1 · 31/12/13 - 12:18

Well Owen, I will stick my neck out and answer your question with £200

[Deleted User] · 31/12/13 - 13:49

I'm pretty sure I had to report this lot to ICO as they were spam texting me. 40% APR is nuts though, every card I have had in the last 3 years has been interest free, whether that be purchases or balance transfers (the last giving me 40 months). They will be hoping that a large number of their customers dont pay off in full every month and that is probably exactly what happens, at which point they will have you by the short and curlies.

Do yourself a favour, cut it up when it arrives and save up instead.

Fred E Star · 31/12/13 - 13:52

SPeND SPEND SPEND!!!!!

Mustabuster · 31/12/13 - 14:18

They gave you the card because they want you to screw up and not pay it off every month. If you can't pay off the entire balance at the end of the month don't use it. It is not free money. If you can afford to pay it off every month you wouldn't need to be asking what the credit limit is because the credit limit is the amount of money you actually already have.

Fred E Star · 31/12/13 - 14:23

The OP sounds really excited so this thread will have brought him back to earth with a bang as he's only got a measly £200 to blow.

dmp · 31/12/13 - 14:37

I've been spam blasted with this card through my email, deleted them as soon as I saw who it was. As others have said, only use it if you can repay in full, if you're still receiving benefits with the likely hood of sanctions don't bother it'll cost you a fortune. The only way to use a credit card is to make it pay you to use it, I have two cashback cards and receive around £15 back each month, but I do pay in full by direct debit.
Dave

SkipTracer · 31/12/13 - 16:06

Another thing to be aware of is how they apply interest as I got caught about 10 years ago and never again.

How I got caught was at the end of the month I only had about £1-50p owing on the card so the interest on this would be coppers so I let it go however the following month I bought a nice new computer for about £800 and when I got the credit card bill for that month they added the £1-50p (that I had not bother to pay) to the £800 bill for this month and charge me interest on £801-50p.

Had right old slagging match with them that eventually lead them to give me back the interest on the £800 and just charged for the £1-50p. Apparently they said this was an industry standard but my argument was that I was not given the chance to pay the £800 without interest being added so basically I was being charge ,from memory about £25 interest for lending £1-50.

Lesson learned and they have never had me over since but it’s easy to see how you can fall into the downward spiral of debt without even trying so make sure you pay everything off even if it’s only a penny.

mklass · 31/12/13 - 16:20

I would never go with a credit card company whose name was not one the the big ones!... it's madness as far as i am concerned!... but then again i wouldn't go with any of the big named ones now either!..

I have a debit card and am quite happy to just use that with an overdraft and nothing else, except my savings if i really need to...

Btw, i agree with the others that think your credit limit will be £200 to start and if you pay it off regularly then they will quickly put it up to say!, something like £2000.00. then you will be f****d ...

Throw it away as soon as it arrives op............:)

[Deleted User] · 31/12/13 - 16:24

SkipTracer wrote: »

Another thing to be aware of is how they apply interest as I got caught about 10 years ago and never again.

How I got caught was at the end of the month I only had about £1-50p owing on the card so the interest on this would be coppers so I let it go however the following month I bought a nice new computer for about £800 and when I got the credit card bill for that month they added the £1-50p (that I had not bother to pay) to the £800 bill for this month and charge me interest on £801-50p.

Had right old slagging match with them that eventually lead them to give me back the interest on the £800 and just charged for the £1-50p. Apparently they said this was an industry standard but my argument was that I was not given the chance to pay the £800 without interest being added so basically I was being charge ,from memory about £25 interest for lending £1-50.

Lesson learned and they have never had me over since but it’s easy to see how you can fall into the downward spiral of debt without even trying so make sure you pay everything off even if it’s only a penny.

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.

this_is_me · 31/12/13 - 16:39

mklass wrote: »

Btw, i agree with the others that think your credit limit will be £200 to start and if you pay it off regularly then they will quickly put it up to say!, something like £2000.00. then you will be f****d ...

Depends how you use them.My credit limits are £12000 and £8000 and I'm definitely not f****d. In fact they pay me money, through cashback rewards, rather than the other way round.

platelet · 31/12/13 - 19:17

Owen_Kent wrote: »

Hi,

So anyone can tell me what my first credit limit will be, would be great thank you.

Between £100 and £1,000

http://www.vanquis.co.uk/summary

have a read up here:
http://www.moneysupermarket.com/credit-cards/vanquis/

jacamie · 31/12/13 - 20:05

Just to shed a positive light, I have used the card successfully in the past. I had it for around a year and a half. I paid the balance off each month. Towards the end I was made a 'Gold Member' and finished up with a limit of around £3500. For the duration I paid no interest, and my credit rating improved enough for my bank to offer me one of their cards.

Joystick · 31/12/13 - 20:52

justatech wrote: »

No one with any sense would use such a card, under any circumstances.

That's a nice dream for some, but others like me have no choice but use a credit card, with out it I wouldn't be able to keep my car which is needed.

I'm fairly sensible with it though, I don't use it a lot only with car tax and MOT, I don't go crazy with it and I try and pay a lot back monthly.

paralax · 31/12/13 - 22:17

Just use it to build up a credit rating, only spend what you can pay back every month, otherwise you will build up debt faster than you can imagine.

Owen_Kent · 31/12/13 - 22:26

paralax wrote: »

Just use it to build up a credit rating, only spend what you can pay back every month, otherwise you will build up debt faster than you can imagine.

Yes that is what I am doing

No way in hell I am going to make higher purchases, just small amounts and also what I can afford to pay back. I just need it to build my credit rating so I can get other stuff like overdraft on my bank, catalogues ete.

DJW13 · 31/12/13 - 22:29

I only use a credit card with a variable direct debit to clear the balance every month. Of course you need to make sure that your bank balance will always cover the amount due. If you are basically using the card to improve your credit rating, think of some regular expenditure which is always well within your limit (be it £200 or whatever) and only use your card for that purpose.

Do not be tempted to ever spend more than you can fund from your bank account - why give the credit card company 40%?

bart4858 · 31/12/13 - 22:39

DJW13 wrote: »

Do not be tempted to ever spend more than you can fund from your bank account - why give the credit card company 40%?

That's 40% per year, not unreasonable for small amounts and/or for short periods. And probably a better rate than with pay-day loans.

So spending £100 on credit and paying it back a month later will cost just over £3. But you wouldn't want to pay 40% on a £100K mortgage over 25 years.

Owen_Kent · 03/01/14 - 13:55

I have just rang vanquis to check my credit limit and advisor said my limit is £100 and I was shocked to hear that

I thought people start with £150 or £250? why is my credit limit so low? is it because of my credit rating? is that why?

If I keep up with payments on time and don't go over my limit, is this the way to get an increase or is it another way?

What's the best advice to get a increase? and it stated on the website that people get an increase on the 4th statement, is that true?

By the way advisor said my credit card was sent out on Tuesday so it should be with me shortly

Oh well its a start, at least I have been given a opportunity to make my credit rating good thanks to vanquis.

I am taking care of this credit card and I am not spending anything that I can't afford to pay back as I don't want to default of this card/account.

Mustabuster · 03/01/14 - 14:04

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.

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Been accepted for a credit card

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