Pre-paid credit cards

CheepCheep

Can pre-paid credit cards really improve your credit score? If yes, any suggestions on the best one.

Imagine I'm starting from the worst financial credit file position and at the moment I doubt I'll even be accepted by the likes of vanquis, so any suggestions on best place to start would be much appreciated.

SnowTiger

CheepCheep wrote: »

Can pre-paid credit cards really improve your credit score? If yes, any suggestions on the best one.

Probably not because they don't offer credit.

You can open a CashPlus account without a credit check, but there is an identity check and a monthly fee.

You can add Creditbuilder to the account. Basically, it costs £71.40 a year; they lend that amount to you and you pay it back at £5.95 per month. It's a loan, but they don't really give you the money. They will report it to the CRAs.

It's an expensive way to build a credit history and will probably make no, or at best little, difference if you credit reports are already full of negative information.

grumbler

CheepCheep wrote: »

Can pre-paid credit cards really improve your credit score? If yes, any suggestions on the best one.

Generally, not as they don't provide any credit facilities.

Imagine I'm starting from the worst financial credit file position and at the moment I doubt I'll even be accepted by the likes of vanquis, so any suggestions on best place to start would be much appreciated.

Cashplus: Prepaid card everyone can get

CheepCheep

Thank you - that explains how their credit builder works. Like you say it's probably quite expensive for the benefits you get but I've got to start somewhere...

jonesMUFCforever

CheepCheep wrote: »

Thank you - that explains how their credit builder works. Like you say it's probably quite expensive for the benefits you get but I've got to start somewhere...

Can you not get a Vanquis or secured Capital One card - you shouldn't pay IMO to improve your credit files - it should do it by itself if you pay your obligations on time.