Worth getting a Cap 1 for the cover?

Empty_pockets

Hi,

Currently have egg card but account is frozen at my request due to the rate rises. No trouble paying the installments. Don't think it can be reopened once you go down this path.

I'm considering applying for another CC to use for internet purchases, tickets, holidays, xbox live etc due to the cover that will come with it.

I'm concerned the only card I have (Debit) is linked to my paypal, xbox accounts and so forth. The news of playstation network getting hacked this week has highlighted this issue even more for me.


Been knocked back for cards in the past, not sure why. I think i'm a pretty good customer. Been down all the usual routes and the credit scoring these companies use just mystifyes me.

My options -
1. Get an INTERNAL socring from first direct, (who I've now banked with for 6 months). If thats looking positive apply there. Benefit being I could transfer some or all of my egg balance to a 0%. Circa 6K.

2. Go straight for the I've been naughty Capital 1 card at 30% or whatever it is these days.

Balance would be paid in full each month.

I am wary of appling for the FD card, failing and then being refused the Cap 1 due to having a recent credit application.

Advice required.

Thanks.

dazza.mk

Have you got a large balance on the Egg card? May be the reason you've got knock backs.

Also have you checked your credit reports with Experian/Equifax/Call Credit? (to see if there are any problems).

If you've had a few knockbacks, you've got no credit problems on your reports I'd try First Direct, if they refuse then go with a credit builder card Barclaycard Initial/Cap One Classic/Vanquis to try and build some credit history - hideous interest rates but that won't matter as long as you pay in full.

Empty_pockets

Hi,

Balance is 6K. I did have credit of about 15k but I've been reducing it to about 25% above the balance.
So 6K balance, 2K available credit showing (although credit line has ceased as I refused the rate rise)

The only other credit I have is the two overdrafts on my bank accounts. One has a 3K limit (HSBC) the other a 1K (1st Direct).

Earnings are £50K on paper (employed) plus a bit of tax free cash as I have a lodger.

Empty_pockets

Done the Credit checks on all three agencies.

All good bar a single late payment on a CC 4 or 5 years ago.

20+ accounts showing, all either closed satisfactory or up to date with no issues.

Trajal

Cap 1 don't seem to care about number of applications, nor do vanquis.

I suppose the logic attached to that is that they expect people to come to them after being turned down by prime lenders, so it would be churlish to expect people to have no applications when they turn up on cap1/vanquis' door.

Your income seems very good, you have a reasonable debt to income ratio in terms of available credit, although if you aren't using your overdrafts I'd consider asking to have the facility reduced.

Are you sure you have nothing nasty lurking on your credit file? For the sake of a couple of quid it's probably worth checking just for piece of mind, I found 3 items on mine which were mistakes and had been hampering my credit worthiness for some time, so you never know...

Empty_pockets

Im 100% sure. I have been through all three.

I take a months cover on Experian occasionally just to check old accounts have come off after 6 years as they're supposed to. last checked in Nov 2010, will do another check in next month or so but probably just a £2 one.

I'm hesitant to have to O/D reduced simply because thats the only credit line I have. I'd happily cancel them if I had a CC but until I do, I need an 'emergency fund'

Empty_pockets

Well.....

Just given FD a ring, first time I've got annoyed waiting. Usually pickup very quickly but must be a busy time as i was waiting several minutes.

Went through all the details for a INTERNAL ONLY check, she dragged it out reading the rates out and current offers. Spent another few min on hold whilst she spoke to lending, only to come back and tell me as I had an internal check in Jan I would not be allowed to apply until July! WFT, Jan was only a internal, not a full application!

Ohh well, ummed and ahhed abou gettin a quick £2 online credit report and then thought sod it, i'll just apply for the crappest Cap 1 card, the 'Classic' with a nice easy to manage credit limit from £200!

Went though the application and thankfully got accepted.

Did find the prosess a bit strange though. Quite bizzare question like is my mobile contract or PAYG? How do I rate my own cradit history?

Anyway, I finally got one so I'm happy, haven't told me the limit yet though, hopefully it's not too silly.