Best credit card for low income (benefits) for Sec75 consumer rights

Nasqueron

https://forums.moneysavingexpert.com/discussion/comment/81894497#Comment_81894497

This is very off topic, consumer advice on warranties etc is covered on this site, it is nothing to do with S75 which would not be processed for a £24 claim. The bank would either use chargeback, pay it to make you go away, or refuse it as it was not £100.

DarthDaisy

True, the £24 was a fan on a computer that was sold for well over £100, it was sold as a computer that you assemble yourself.

I have no intention of getting into debt, but it seems to me that buying online is deeply risky, buying inadvertently from companies based abroad is quite common with foreign companies pretending to be in the UK and even using UK Town names.

It would be nice to know if there is a decent credit card for rebuilding credit that is not to onerous on the interest (just in case).

We have worn out the consumer rights which seems to trigger some people who just like to nit pick so perhaps we can now focus on

Best credit card for low income (benefits)

eskbanker

It would be nice to know if there is a decent credit card for rebuilding credit

https://www.moneysavingexpert.com/credit-cards/bad-credit-credit-cards/ would be a good place to start.

Grumpy_chap

The Aqua card is quite simple to use and has good web interfaces.

"

it seems to me that buying online is deeply risky, buying inadvertently from companies based abroad is quite common with foreign companies pretending to be in the UK and even using UK Town names.

"

Be careful not to place too much expectation on S75. It only holds the CC liable to the extent that the merchant has breached the contract / consumer rights. If the merchant is overseas and the contract in the law of "somewhere else", the CC will only be liable to the extent that the law of "somewhere else" would hold the retailer liable.

CliveOfIndia

https://forums.moneysavingexpert.com/discussion/comment/81895991#Comment_81895991

In terms of rebuilding credit, the implication is that your credit history is less than ideal. That being the case, you're almost certainly going to be looking at the sub-prime cards. By their very nature (i.e. taking on riskier customers), their interest rates will be higher than more mainstream lenders.

"not to onerous on the interest (just in case)."

Really, there needs to be no "just in case". If you're looking to build/improve your credit history, you need to paying in full every month, no ifs or buts. That's important anyway, but even more so if you're looking to improve your credit history. It's not difficult - if you can't afford it then don't buy it. If you want to be doubly sure, every time you make a purchase on your card, put that amount aside into a separate account, ready to pay the CC bill when the statement arrives. If you can't afford to do that, then don't buy the item.

If it gets to the point where you're relying on credit for essential items, then you need to be looking long and hard at your budget.

I hope that doesn't sound sanctimonious - that's not my intention at all. Simply a cold and logical explanation of the facts.

born_again

No offence here.

You do not need a CC to rebuild credit. All you need to do is pay your regular bills (DD) on time & not miss payments on any credit.

Credit History is what counts to lenders.

If your really want a CC. Then pay in full each month & interest is not a issue you need to worry about 👍Even if that means putting one shop a month on the CC, then put the money on one side to pay once the statement comes in.

DarthDaisy

https://forums.moneysavingexpert.com/discussion/comment/81896508#Comment_81896508

I find when people say No Offence it is because they know they are going to offend.

However, I am not some flake, I explained why I want it. I have no debt, I pay energy and sim on DD, I don't really have any other bills except food and car expenses. I have no illusions about credit worthiness as I am on benefits.

It is certainly my intention to pay off any purchases almost immediately, probably not even wait for a statement as I imagine they have apps these days.

I have been debt free for some years, I had a CCJ that became unenforceable in 2022 or 2023, my last CC debt became statute barred in maybe 2017. I don't buy stuff I do not need, I used old computer approaching 20 years old maybe. I have my funeral more or less paid for, I gave the money to one of my kids and they hold it in an interest bearing account.

If I get a C card then I always think of the risks, I have learnt that life is quite capable of dropping us to many levels below rock bottom, but it is unlikely I will get lower than 39.9%.

Thanks for your input.

DarthDaisy

https://forums.moneysavingexpert.com/discussion/comment/81896104#Comment_81896104

No problem, judge not lest ye be judged.

MyRealNameToo

https://forums.moneysavingexpert.com/discussion/comment/81896508#Comment_81896508

There is the slight caveat that you need those bills to be reported to the CRAs. Paying all your Home insurance premiums on time by DD is a sensible thing to do but in most cases won't help you rebuild credit because most insurers dont report the CRAs

CliveOfIndia

"It is certainly my intention to pay off any purchases almost immediately, probably not even wait for a statement"

Actually, in terms of building a positive credit history, it's much better to wait for the statement then paying it in full. If you pay off transactions immediately, the lender's report to the CRA will make it look as though you're not using the card. Not an issue as such, but it does mean you're losing out on the benefit of building up a favourable history.