Can I extract £20 from Vanquis?

heavy_t

Just got a leaflet from Vanquis this morning for a shocking 39.9% APR typical credit card.

However, it says "Apply before November 30th and get £20 credit when you apply online and use your card".

I order to qualify you must apply at http://www.vanquis.co.uk/offer and be accepted before 30/11/06 and have spent £50 or more by 31/12/06, the £20 will then be credited to you within 28 days of 31/12/06.

So...... how about this:

- I apply for the card and transfer £60 onto it onto it from my current account.

- I use the card to spend just over £50 on something I need anyway, like petrol or groceries.

- Once I've got the £20 credited I cancel the card.


Does this sound worth it or am I misssing something?

Will it affect my credit rating? Will my credit rating improve when I cancel the card?

I can see this company is preying on the desparate and I would be more than happy to extract £20 from them, although I suspect it would be a drop in the ocean with their profits :eek: I live in a fairly deprived area, so it's nice to see they're targetting the poor just before Christmas...

Tom

Paul_Herring

Does this sound worth it or am I misssing something?

Depends on how you value the £20.

Will it affect my credit rating?

No more or less than applying for different card.

Will my credit rating improve when I cancel the card?

Depends on who's looking at your CRA report. Some ratings put more emphasis on the number of cards/credit limit you have with them. Some consider more as a positive, some a negative. The fact that it's Vanquis (which is what I think is behind your question) will have no effect on the decision.

grumbler

heavy_t wrote:

...- I apply for the card and transfer £60 onto it onto it from my current account.

- I use the card to spend just over £50 on something I need anyway, like petrol or groceries....

If you decide to apply for the sake of £20 and if you are accepted, there is no need to transfer £60 onto it before spending. Just spend at least £20 on purchases and pay the resulting balance if full and on time after they credit £20 incentive and send you your first statement. This statement will show the payment date - the date when your payment must reach the account. If you pay on time, there will be no interest added.

I have a feeling that you don't have any other credit cards. In this case IMHO it is better not to cancel the CC, but to keep it even without using. This could only positively affect your credit history.

heavy_t

Hey, thanks for the advice

I fancied trying this one just for my own amusement really, rather than to gain £20 or improve my credit rating. It's only a few minutes effort to get an extra twenty in January (when everyone's skint)