Best Credit Card with no Salary?

EmmaJames

Hi Everyone,

I have just left employment to set up my own business and want to apply for a credit card. Does anyone know if I am likely to be rejected showing no income currently?

Thank you!

Emma

sharpy2010

Well put it this way, if you owned a credit card company, and someone with no employment applied for one of your cards: Would you let them have one?

Gromitt

You might get a 'secured' card. Ie, you pay a deposit of £200 and get a credit card with a limit of £200.

Dabooka

Have to agree, applying before you left would've improved your chances, although the issue of paying it back would still arise of course.

aleph_0

sharpy2010 wrote: »

Well put it this way, if you owned a credit card company, and someone with no employment applied for one of your cards: Would you let them have one?

If they had sufficient assets, why not? Someone with savings, but no job is a better bet than someone who has a job, but quite a bit of debt.

SnowTiger

aleph_0 wrote: »

If they had sufficient assets, why not? Someone with savings, but no job is a better bet than someone who has a job, but quite a bit of debt.

Perhaps, but reports from credit reference agencies don't show savings and non of the credit card companies I've applied to have asked about savings.

aleph_0

SnowTiger wrote: »

Perhaps, but reports from credit reference agencies don't show savings and non of the credit card companies I've applied to have asked about savings.

Agreed. I was making the point that it wasn't obvious that someone not in employment would be a good potential customer. In practice, they only ask about income, and probably would judge someone with no job as high risk.

Gromitt

aleph_0 wrote: »

If they had sufficient assets, why not? Someone with savings, but no job is a better bet than someone who has a job, but quite a bit of debt.

Someone with savings could spend all the savings the day after they got the card. Someone with a job usually gets cash given to them every month, so unless they are deep in debt (showed on credit report), they should be able to pay back 30 - 50% of what they earn as a loan.

Plxply

Gromitt wrote: »

Someone with savings could spend all the savings the day after they got the card. Someone with a job usually gets cash given to them every month, so unless they are deep in debt (showed on credit report), they should be able to pay back 30 - 50% of what they earn as a loan.

Someone with a job could be fired or quit the next day, either way it still doesn't change the fact that credit card companies don't ask about savings so they won't benefit you in anyway (although I think optional reporting would be nice as normally someone with savings is going to be much more stable, especially if they pay in monthly). I just think it would be a nice extra component to possibly consider when giving out credit.

ses6jwg

Your own bank will often be prepared to offer you a credit card without needing any proof/ details of income.

they base the decision on the conduct of your bank account and a monthly feed from credit reference agencies.

Tremour-88

Could you not wait 1-month, get working tax credit and give your income over the month and estimate it for the year? It won't be perfect but it may be enough to get a card.