Advice needed for 0% credit card

1poundwatcherman

Hello all,

I am new to this site and have just registered. I am retired and soon want to purchase a new lens for my dslr camera,using a 0%credit card for the transaction. I wondered if there are any single-use cards available to do this and if so, what are the benefits? or would a standard card be the best option?

I did browse through the relevant section and see that Tesco are doing a card at present offering 13 months interest free on purchases..has anyone any experience with them please?

I intend to pay the credit in full within the 0% period and then cancel the card before any interest can be charged.

Any helpful advice would be welcomed

Regards, Phil.

izools

You may find it hard to obtain a 0% card given your employment status.

Tesco are a very good 0% purchase card and worth applying for, but don't feel bad if they knock you back. They're somewhat strict.

What is your credit history like? Do you have any open credit card accounts at the moment? In the past?

1poundwatcherman

izools wrote: »

You may find it hard to obtain a 0% card given your employment status.

Tesco are a very good 0% purchase card and worth applying for, but don't feel bad if they knock you back. They're somewhat strict.

What is your credit history like? Do you have any open credit card accounts at the moment? In the past?

Hi, I did have a card just over a year ago with Halifax to enable me to upgrade my camera that was 0% for 9 months,which i paid off and then cancelled.They are still doing a similar one,but i was hoping to get one with a longer interest free period. My situation was the same then.

I have never done a credit check on myself, the above was my first-ever credit card,and i don't have any others,as i had only ever bought with either cash or debit card before and i can honestly say that i have never been in debt,so therefore i assume i have a very good credit history.

I just thought that by using a credit card for a fairly large one-off payment would be my best option for spreading the cost and being protected at the same time.

Regards, Phil.

Consumerist

I think your major problem will not be to do with a bad credit history but more to do with there being no credit history to speak of. This is one of those situations where cancelling your previous card might work against you.

A "good" credit record would, for example, show a number of credit cards, all being paid on time every month over a period of 36 months or more.

I feel that your lack of a credit history may hinder your chances of being accepted for a 0% card. Being retired should not, itself, have any effect on your chances but, depending on your pension, may affect your credit limit.

izools

Absolutely.

A big misconception in the credit world is that 'Having never been in debt' = 'Having a good credit record'.

An analogy if you will - This is like saying having only had one job for six months in the last decade leaves you with a good employment record on the basis you've never been fired.

The same considerations apply. Hold several jobs over a long time acting responsibly with good references = good job record.

Holding several credit cards over a long time acting responsibly with good repayment and sensible debt levels = good credit record.

A lack of history with cards is just as detrimental as a lack of history with jobs.

You may get a 0% card but your chances are slim. Your employment status, age, and credit history (or lack thereof) will unfortunately count against you.

Your best bet would be to approach your BANK for a card as they can base your application on the running of your current account as well as everything else.

An application elsewhere won't take into account the performance or turnover of your current account.

1poundwatcherman

OK guys,thanks for that.

I have no intention of holding several credit cards as that is not the way i do things. If i had kept my previous card open after the interest free period all it would have shown is a zero balance as obviously were i to start buying with it again i would have incurred interest charges which would have defeated the original object of 0% finance.

As i understand it many credit card companies are only too pleased to offer 0% periods to new customers.

izools

1poundwatcherman wrote: »

I have no intention of holding several credit cards as that is not the way i do things. If i had kept my previous card open after the interest free period all it would have shown is a zero balance as obviously were i to start buying with it again i would have incurred interest charges which would have defeated the original object of 0% finance.

As i understand it many credit card companies are only too pleased to offer 0% periods to new customers.

If that stance suits your approach to finance, fine.

Just remember that credit card companies are only too pleased to offe 0% customers to new customers with a proven and thorough track record of running similar comittments well.

They will avoid applicants who's credit history is thin on the ground in favour of those with a more proven history.

This approach may very well be biting off your nose to spite your face.

You can always try applying for a 0% purchase card, but I fear you stand little chance of acceptance.

There is a lax lender who offers 0% on purchases for three months - they are much more likely to accept your application than the likes of Tesco or MBNA.

Creation Finance are more sympathetic with applicants - their Silver card may be just what you're looking for:

https://www.your-application.co.uk/NetFinanceCertegymicrosite/silvermastercard/PaymentProtection.aspx

Best of luck with the application, I hope it goes well.

If you are successful, I would urge you to revise your approach to credit cards by leaving the account open with a NIL balance once you've paid off your purchase.

This will put you in a MUCH better light for lenders that offer longer 0% periods.

Again, good luck :beer:

1poundwatcherman

izools wrote: »

If that stance suits your approach to finance, fine.

Just remember that credit card companies are only too pleased to offe 0% customers to new customers with a proven and thorough track record of running similar comittments well.

They will avoid applicants who's credit history is thin on the ground in favour of those with a more proven history.

This approach may very well be biting off your nose to spite your face.

You can always try applying for a 0% purchase card, but I fear you stand little chance of acceptance.

There is a lax lender who offers 0% on purchases for three months - they are much more likely to accept your application than the likes of Tesco or MBNA.

Creation Finance are more sympathetic with applicants - their Silver card may be just what you're looking for:

Best of luck with the application, I hope it goes well.

If you are successful, I would urge you to revise your approach to credit cards by leaving the account open with a NIL balance once you've paid off your purchase.

This will put you in a MUCH better light for lenders that offer longer 0% periods.

Again, good luck :beer:

Hi Izools,
Thanks for your input and link,however the 0% period is with them is only for 3 months and i could get one with my bank for 10months so may do that.

I take your point about leaving my previous card account open...just that i thought there would be no point if i didn't intend using it again..an error on my part i now realize!

Regards, Phil.

Degenerate

1poundwatcherman wrote: »

I have no intention of holding several credit cards as that is not the way i do things. If i had kept my previous card open after the interest free period all it would have shown is a zero balance as obviously were i to start buying with it again i would have incurred interest charges which would have defeated the original object of 0% finance.

You missed a trick. You could have used it for your regular spending and paid it off every month. Then you would have incurred no interest and also gained the benefit of legal protection on your purchases. Some CC providers will even give you a cashback bonus.