Credit card for my disabled daughter

adviseme

She is in her early 40s, not in debt, rents her home, has higher rate benefits and would like her own credit card to enable her to have more control over her own finances.

I don't want her as an additional card holder on one of my credit cards. One issuer refused her a card a year or so ago, as an additional card holder on my card. Does this refusal give her a black mark on her credit history?

Any suggestions, please?

CannyJock

adviseme wrote: »

She is in her early 40s, not in debt, rents her home, has higher rate benefits and would like her own credit card to enable her to have more control over her own finances.

I don't want her as an additional card holder on one of my credit cards. One issuer refused her a card a year or so ago, as an additional card holder on my card. Does this refusal give her a black mark on her credit history?

Any suggestions, please?

Being turned down a year ago won't count as a black mark.

Best starting point would probably be her own bank where she's got a bit of history. Be sure that she sets up a direct debit to repay the balance in full to avoid interest.

With no credit history of her own, she may have to start down the sub-prime route to begin with.

jonesMUFCforever

It would not affect her credit rating.
However with no income as supposed to benefits she might find it difficult obtaining a card.

How would a card let her have more control over her finances?

adviseme

More control is perhaps the wrong phrase. Currently, I or another friend buy her items on our credit cards, note these, inform her and/or each other, get the money back from her, etc. etc. It would be easier for us all if we could use her credit card - less toing and froing all round!

adviseme

CannyJock wrote: »

Being turned down a year ago won't count as a black mark.

Best starting point would probably be her own bank where she's got a bit of history. Be sure that she sets up a direct debit to repay the balance in full to avoid interest.

With no credit history of her own, she may have to start down the sub-prime route to begin with.

What is the "sub-prime route", please?

ElkyElky

adviseme wrote: »

What is the "sub-prime route", please?

Sub-prime is a credit card that comes with really high interest rates, as high as 69% but the companies who offer sub-prime credit cards generally accept people with little or not credit. They are targeted at people who are trying to rebuild their credit history.

The companies who offer cards like these are called Vanquis, Capital One Classic, Aqua and Barclaycard Initial.

Whether one has experienced problems in the past, or has no credit history, a sub prime credit card is a good way of getting onto the credit ladder. However, they generally are much more expensive than normal credit cards and should be used with caution.

PasturesNew

Can she not get a debit card to buy things with?

izools

Quite. It seems to me she has no need for a credit card. She needs to buy things... that she has the money for as she gives it back to you or your friends... so surely she should just put her money in to a bank account?

Accounts like the Co-Operative Cashminder or Halifax Easycash offer a debit card and aren't credit scored like full current accounts so should be easy to obtain.

EDIT: And of course, irradicate the risk of her buying things she can't afford. Both the Co Op and Halifax cards are Full Auth, so she can't make transactions that would take her even 1p overdrawn (I tried with my Co Op cashminder... literally 1P they won't allow it)