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  • FIRST POST
    • justpassingthrough24
    • By justpassingthrough24 4th Oct 17, 11:29 AM
    • 20Posts
    • 9Thanks
    justpassingthrough24
    First credit card, 0 credit rating, currently on career break..
    • #1
    • 4th Oct 17, 11:29 AM
    First credit card, 0 credit rating, currently on career break.. 4th Oct 17 at 11:29 AM
    Hi all, I've had a read through MSE's credit card advice pages and I have a couple of questions.. I'm hoping to apply for my first credit card (bit late in the game) and hoping for a travel credit card as I'll be travelling a lot this year, but also a card that I'll be able to use here at home and build up my credit rating which is my main aim.

    I know ideally we shouldn't be applying for credit cards when we are on a career break - I'm currently taking one year out of work to do locum work and travel, but still will be earning a similar amount to what I earnt last year. But when I fill in eligibility calculators online it says I have a 10-60% chance of being accepted for a barclaycard travel card, and this figure doesn't change when I increase or decrease my annual income or put myself as part time/full time/self employed. I thought I was pretty solid otherwise from a credit point of view, what exactly are they looking for? (I get a 70% chance of success if I apply for the initial barclaycard, but ideally I want one I can use while I'm abroad).

    Also, would people recommended barclaycard travel or the halifax clarity card? I saw this paragraph on the website re the clarity card: "However, we've ranked this card below the Barclaycard above as cash withdrawals incur interest even if you pay off the card in full - this works out about £1.50/month for each £100 withdrawn (if you get the 18.9% representivite APR)." - does this mean you'll always end up paying interest even if you meet payments in full? Because in that case I don't see how this can be anywhere near the barclaycard one if you always end up losing money?

    Any advice would be greatly appreciated, thank you!
Page 1
    • zx81
    • By zx81 4th Oct 17, 11:40 AM
    • 14,375 Posts
    • 15,157 Thanks
    zx81
    • #2
    • 4th Oct 17, 11:40 AM
    • #2
    • 4th Oct 17, 11:40 AM
    You'll struggle to get either of the travel card options, as you have such a thin file.

    Try one application, but if declined, settle for something lower tier.
    • StopIt
    • By StopIt 4th Oct 17, 11:42 AM
    • 1,449 Posts
    • 1,239 Thanks
    StopIt
    • #3
    • 4th Oct 17, 11:42 AM
    • #3
    • 4th Oct 17, 11:42 AM
    For cash withdrawals on that card, you are always charged interest from the moment you withdraw cash until it is paid off.


    For purchases, you do not pay interest if you pay the balance off at the statement due date.


    What does the Barclaycard charge for cash withdrawals, and when?
    • justpassingthrough24
    • By justpassingthrough24 4th Oct 17, 11:57 AM
    • 20 Posts
    • 9 Thanks
    justpassingthrough24
    • #4
    • 4th Oct 17, 11:57 AM
    • #4
    • 4th Oct 17, 11:57 AM
    Because of my low chance of acceptance am I better off going for a different card?

    I have an 80% chance of being accepted for the amex platinum everyday, but there's no way I can spend up to £3000 a year on it and it sounds like there's not much benefit unless you're spending huge amounts?

    This may seem like a silly question but while abroad, can I book things online in GBP with an amex card, like hotels etc? That's the only way I can see myself spending enough on it. Especially in the first 3 months to make the most of the 5% cashback.


    What does the Barclaycard charge for cash withdrawals, and when?
    "And if you pay off your balance in full each month, you won't be charged interest on overseas cash you withdraw, unlike most cards, incl Halifax below, which charges daily interest on cash until itís paid off"
    • zx81
    • By zx81 4th Oct 17, 12:00 PM
    • 14,375 Posts
    • 15,157 Thanks
    zx81
    • #5
    • 4th Oct 17, 12:00 PM
    • #5
    • 4th Oct 17, 12:00 PM
    You'll book things in the currency they're sold in. So if the hotel is priced in Euros, you'll pay in Euros.

    Where given a choice of conversion (eg at ATMs), always opt to pay in the local currency, not have it converted to sterling.
    • Candyapple
    • By Candyapple 4th Oct 17, 4:03 PM
    • 2,495 Posts
    • 1,862 Thanks
    Candyapple
    • #6
    • 4th Oct 17, 4:03 PM
    • #6
    • 4th Oct 17, 4:03 PM
    Hi all, I've had a read through MSE's credit card advice pages and I have a couple of questions.. I'm hoping to apply for my first credit card (bit late in the game) and hoping for a travel credit card as I'll be travelling a lot this year, but also a card that I'll be able to use here at home and build up my credit rating which is my main aim.

    I know ideally we shouldn't be applying for credit cards when we are on a career break - I'm currently taking one year out of work to do locum work and travel, but still will be earning a similar amount to what I earnt last year. But when I fill in eligibility calculators online it says I have a 10-60% chance of being accepted for a barclaycard travel card, and this figure doesn't change when I increase or decrease my annual income or put myself as part time/full time/self employed. I thought I was pretty solid otherwise from a credit point of view, what exactly are they looking for? (I get a 70% chance of success if I apply for the initial barclaycard, but ideally I want one I can use while I'm abroad).

    Also, would people recommended barclaycard travel or the halifax clarity card? I saw this paragraph on the website re the clarity card: "However, we've ranked this card below the Barclaycard above as cash withdrawals incur interest even if you pay off the card in full - this works out about £1.50/month for each £100 withdrawn (if you get the 18.9% representivite APR)." - does this mean you'll always end up paying interest even if you meet payments in full? Because in that case I don't see how this can be anywhere near the barclaycard one if you always end up losing money?

    Any advice would be greatly appreciated, thank you!
    Originally posted by justpassingthrough24

    Will you be employed during your year out?

    If not, who were you planning to put down as your employer on the credit card application form?
    I'm a Board Guide on the Credit Cards, Loans, Credit Files & Ratings boards. I'm a volunteer to help the boards run smoothly, and I can move and merge threads there. Any views are mine and not the official line of moneysavingexpert.com
    • justpassingthrough24
    • By justpassingthrough24 4th Oct 17, 7:23 PM
    • 20 Posts
    • 9 Thanks
    justpassingthrough24
    • #7
    • 4th Oct 17, 7:23 PM
    • #7
    • 4th Oct 17, 7:23 PM
    I'm steering away from travel cards now, and thinking either the barclaycard rewards or the barclaycard initial - for some reason I have an 80% chance of being accepted for the rewards but 70% for the initial even though this is the card recommended for those with no credit history. Which one is best for someone like me?

    I've been advised to stay away from amex until I've got at least some credit history, is this a good idea?

    Will you be employed during your year out?

    If not, who were you planning to put down as your employer on the credit card application form?
    Originally posted by Candyapple
    I'm still working for my old employer but just doing locum shifts when they become available, I would have put them down as my employer.
    • WillyWonga
    • By WillyWonga 4th Oct 17, 9:33 PM
    • 276 Posts
    • 145 Thanks
    WillyWonga
    • #8
    • 4th Oct 17, 9:33 PM
    • #8
    • 4th Oct 17, 9:33 PM
    Go for the initial, count yourself as a newcomer to the credit card market. Apply, build up a history over a year and look at another card.

    Stop deliberating, apply now. Apply during working hours as online application more likely to get instant response.

    Good luck!!!!
    • djpailo
    • By djpailo 4th Oct 17, 10:11 PM
    • 428 Posts
    • 144 Thanks
    djpailo
    • #9
    • 4th Oct 17, 10:11 PM
    • #9
    • 4th Oct 17, 10:11 PM
    The basic nationwide credit card allows you:

    "A commission-free allowance to use abroad, which accumulates each time you buy something in pounds sterling."

    http://www.nationwide.co.uk/products/credit-cards/ncc/features-and-benefits#tab:Featuresandbenefits
    • eDicky
    • By eDicky 5th Oct 17, 8:56 AM
    • 2,964 Posts
    • 1,304 Thanks
    eDicky
    Without a 'travel' credit card, you can still avoid overseas fees and loaded exchange rates by using prepaid cards, Monzo, Loot or Revolut. No credit checks. Also Starling Bank. Take more than one, and your new credit card as further backup.
    • Vortigern
    • By Vortigern 5th Oct 17, 10:14 AM
    • 2,319 Posts
    • 1,530 Thanks
    Vortigern
    Aqua Reward Mastercard seems to be the recommended travel card for those with a limited credit history.
    • justpassingthrough24
    • By justpassingthrough24 5th Oct 17, 7:01 PM
    • 20 Posts
    • 9 Thanks
    justpassingthrough24
    Aqua Reward Mastercard seems to be the recommended travel card for those with a limited credit history.
    Originally posted by Vortigern
    Definitely liking the look of this one. Can I use it here in the UK as well as abroad? Interest free just as long as I don't withdraw cash?

    Between this one and the barclaycard initial now. Thanks everyone for the replies
    • eDicky
    • By eDicky 5th Oct 17, 7:33 PM
    • 2,964 Posts
    • 1,304 Thanks
    eDicky
    Definitely liking the look of this one. Can I use it here in the UK as well as abroad?
    Originally posted by justpassingthrough24
    Of course, it's a UK card, with no fees for overseas purchases. Aqua Reward has the added benefit of 0.5% cashback on purchases, including overseas, but apparently the contactless function doesn't usually work outside UK.
    • justpassingthrough24
    • By justpassingthrough24 5th Oct 17, 9:06 PM
    • 20 Posts
    • 9 Thanks
    justpassingthrough24
    Of course, it's a UK card, with no fees for overseas purchases. Aqua Reward has the added benefit of 0.5% cashback on purchases, including overseas, but apparently the contactless function doesn't usually work outside UK.
    Originally posted by eDicky
    Thank you, silly question I know I'm new to all this.

    I've read around that aqua can be quite unreliable and freeze accounts when trying to pay their balance to avoid the interest fee and fines. Is this a problem with all cards or are aqua known for being a little sneaky?
    • zx81
    • By zx81 5th Oct 17, 9:19 PM
    • 14,375 Posts
    • 15,157 Thanks
    zx81
    No.

    That's nonsense, generally told by people who like the spending aspect of their cards, but aren't so keen on the paying back bit.
    Last edited by zx81; 05-10-2017 at 9:21 PM.
    • bigadaj
    • By bigadaj 6th Oct 17, 1:08 AM
    • 10,803 Posts
    • 7,100 Thanks
    bigadaj
    Definitely liking the look of this one. Can I use it here in the UK as well as abroad? Interest free just as long as I don't withdraw cash?

    Between this one and the barclaycard initial now. Thanks everyone for the replies
    Originally posted by justpassingthrough24
    It is likely to come with a low limit.

    With hindsight then it's always useful to get these things sorted whilst you are in employment. There's no duty in the uk to tell any financial provider of a change of employment, redundancy etc, so if you get a mortgage, credit card or other forms of credit when you are working then if you take a career break to stop employment then you can carry on, so long as you are solvent.

    It's a different story in the US, there you need to tell your bank about all these things, just different systems and processes.
    • justpassingthrough24
    • By justpassingthrough24 6th Oct 17, 4:49 PM
    • 20 Posts
    • 9 Thanks
    justpassingthrough24
    It is likely to come with a low limit.

    With hindsight then it's always useful to get these things sorted whilst you are in employment. There's no duty in the uk to tell any financial provider of a change of employment, redundancy etc, so if you get a mortgage, credit card or other forms of credit when you are working then if you take a career break to stop employment then you can carry on, so long as you are solvent.

    It's a different story in the US, there you need to tell your bank about all these things, just different systems and processes.
    Originally posted by bigadaj
    Definitely in hindsight should've applied when I was in full time employment. Didn't even think about my credit history until a month or so ago!

    I'm happy with a lower credit limit. The idea of rewards, accepting poor credit histories and being able to use it abroad is the winner for me.

    As I build my credit history I'll try and apply for another card. The Amex rewards really stands out.. I currently have an 80% chance of being accepted even while technically "self-employed".. is it better to wait til I'm back in FT employment before applying for Amex?

    Thanks again for all the advice!
    • justpassingthrough24
    • By justpassingthrough24 6th Oct 17, 7:07 PM
    • 20 Posts
    • 9 Thanks
    justpassingthrough24
    Turned down by aqua
    Update.. just got turned down for the aqua credit card

    First application I've ever made.. I've heard it's bad to reapply for another card straight away? Should I wait a day or longer before I try another company?

    I selected that I expected my financial situation to improve the next year, which is true as I'll be back in full time employment. I thought the rewards card was good for those with no/poor credit history? Don't understand what they want
    • Vortigern
    • By Vortigern 6th Oct 17, 8:11 PM
    • 2,319 Posts
    • 1,530 Thanks
    Vortigern
    You could get another application in now, before your credit file is updated. The update will only show a credit search, not a rejection.

    Probably best to apply for a no frills credit builder card.
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