Vanquis - additional payments/minimum direct debit

hoffage123

Hello,

I've currently set up my DD with Vanquis as minimum payment. This is because I intend to spend less than £50 a month with them for the next couple of months to improve my credit rating. My plan was to have that minimum DD in place as a safeguard, but to pay it off in full by debit card when the statement is produced.

Will that report positively as a full payment to the credit agencies? Or will the DD be the determining factor? I am trying to figure out whether I should just set the DD to full payment and avoid the confusion.

Seasons greetings all!

Buzby

The amounts are never disclosed, only that you have paid under the terms of your agreement or not, NOT the amount you owe. So providing you do not miss a payment, you get a good mark.

Paul_Herring

sajadhoffmanhussain123 wrote: »

Hello,

I've currently set up my DD with Vanquis as minimum payment. This is because I intend to spend less than £50 a month with them for the next couple of months to improve my credit rating. My plan was to have that minimum DD in place as a safeguard, but to pay it off in full by debit card when the statement is produced.

Will that report positively as a full payment to the credit agencies? Or will the DD be the determining factor? I am trying to figure out whether I should just set the DD to full payment and avoid the confusion.

Seasons greetings all!

It will make little difference if you make the minimum payments, or pay off in full, for your credit history.

I'd set up the full amount by DD so you don't run a risk of incurring interest charges if you miss a full payment if the DD is for the minimum amount.

Tremour-88

I've heard some credit card companys release the amount paid, but thats high up prime cards. But it wouldn't make much difference how you paid if its full or min.

I personally have a Direct Debit setup for the min then make big payments throughout the months when I have enough cash left over from shopping, petrol etc.

Paul_Herring

Tremour-88 wrote: »

I personally have a Direct Debit setup for the min then make big payments throughout the months when I have enough cash left over from shopping, petrol etc.

That sounds like you're carrying a balance from month to month - the OP seems to want to pay the whole amount off each month, but set up the minimum payment by DD.

In fact, re-reading the OP:

My plan was to have that minimum DD in place as a safeguard, but to pay it off in full by debit card when the statement is produced.

Will that report positively as a full payment to the credit agencies? Or will the DD be the determining factor?

The DD has nothing to do with the 'rating' - whether you keep to your side of the contract is. i.e. if you're able to pay the bill. How it's paid, or if you exceed the contracted minimum payment, has little relevance (except, perhaps, if you're close to your limit and are only making minimum payments.)


I'd reiterate my point above - simply have the DD for the full amount and it'll save you time (as in not having to log on and pay stuff - it'll happen automatically,) and interest if you make a mistake in the minimum amount situation. Presuming of course your finances are now in a state where a DD for the full amount will always be honoured.

hoffage123

Thanks guys!

I am going to change my DD to pay off in full - it'll mean less headache and worry for me overall