Incapacity Benefit and Credit Cards?

annie2005

Is it totally out of the question to apply for a credit card if your sole income is Incapacity Benefit? Would have assumed that it was especially given the current Credit Crunch situation but thought that I'd double check my facts.

gt94sss2

annie2005 wrote: »

Is it totally out of the question to apply for a credit card if your sole income is Incapacity Benefit?

No, its worth applying if you want a credit card - after all benefits are a 'steady' source of 'income'

It might be better to apply to the bank you deal with most of the time/have your benefits paid into though.

As long as you have a decent history with them - I can't see why they would not give you a credit card.

Regards
Sunil

Jake'sGran

Don't forget to choose one on Martin's best credit card list. I mean one that has the lowest interest rate not one that gives freebies. My son is sick and in receipt of benefits and suffers great stress because of spending on a credit card. He tore it up and will never have one again but is still paying it off. My philosophy is - why give all that money away in interest buying things you probably don't need?

jonesMUFCforever

gt94sss2 wrote: »

No, its worth applying if you want a credit card - after all benefits are a 'steady' source of 'income'

It might be better to apply to the bank you deal with most of the time/have your benefits paid into though.

As long as you have a decent history with them - I can't see why they would not give you a credit card.

Regards
Sunil

The problem with this is of course is the stories that come up periodically about the bad old banks giving out credit on benefits!
If they don't lend they are accused of being discriminating and when they do they are accused of irresponsible lending.
They can't win either way.

countrymusicfan

I do understand that credit cards and benefits are not good, but I have a limited amount of money because of my benefits and it is cheaper to shop from sites like Ebay and Amazon and save a considerable amount of money. My son loves Point Horror books and they are not published any more. We could search charity shops and pay 50p upwards or go to Amazon and buy them for 60p including p and p. I can't get second hand for that.

Jake'sGran

countrymusicfan wrote: »

I do understand that credit cards and benefits are not good, but I have a limited amount of money because of my benefits and it is cheaper to shop from sites like Ebay and Amazon and save a considerable amount of money. My son loves Point Horror books and they are not published any more. We could search charity shops and pay 50p upwards or go to Amazon and buy them for 60p including p and p. I can't get second hand for that.

What a good attitude you have. My son has started going to the charity shop and has bought some great things like a leather coat for £7. He has changed his attitude completely. He used to shop in the most expensive street in Manchester a few years ago. I have stacks of clothes and always feel as well dressed as my pals or, more modern come to that. We buy things at the school fares but they do sell things very cheap. Last time I got a new Kenwood juicer for £2. It's a large machine and must have cost a lot originally. I get all my gardening books from there too. Also, my daughter (a big spender) is always chucking things away. If I don't want them I contact the charity collectors.

countrymusicfan

My problem is that the books my son likes are 1.50 + and in Amazon.co.uk they are 1p plus 59p p and p. You can't get them for that price even in a charity shop. But I did have a look at Money Supermarket, suggested in an article on this site, and it did suggest a few cards, so will try and apply for one, but I will be very very very careful.

missile

annie2005 wrote: »

Is it totally out of the question to apply for a credit card if your sole income is Incapacity Benefit? Would have assumed that it was especially given the current Credit Crunch situation but thought that I'd double check my facts.

AFAIK they will have no way of checking where your income comes from and in any event they are only interested in whether you can repay. As long as you have a good credit history, most will be pleased to give you a card. The limit will be appropriate to your credit score and your income (as declared on the application).

annie2005

Thanks for the advice. It was helpful.

missile

Hi annie,

I am very pleased to be of assistance.

Capital 1 seem to be one of the easier cards to get. They have a range of cards on offer, see http://www.capitalone.co.uk/creditcards/cards.jsf

You may like the cash back card, which offers 4% cash back on all purchases for 3 months. If you are quick you may get it in time for christmas shopping and the January sales.

As this will be your first credit card(?) May I suggest you make sure to arrange a monthly direct debit for the entire card balance. It is easy to forget and the penalty and interest charges for late payment are severe.

danlaaa

hi, i too am in reciept of benefits at the moment, JSA to be precise, and i too am looking for credit, my cred history isnt the best as i do have a few debts but not big ones, the most i owe with my debts consolidated are at most £500... with christmas just around the corner, my kids wont be having one so... im in dire need for a few pounds to help me get it over with (at least until next year.) Ok me being on job seekers allowance isnt the best thing for credit application, but there must be someone out there who will be willing to help me? and as you say benefits is a steady income...and also i am applying for jobs 2 or 3 times a day at the moment so its just waiting for my phone to ring before i can get back into work :j

can anyone help me? All help very much appeciated i have searched these forums high and low and there doesnt seem to be anyone else in my situation...

thanks