Quiery re: Yorkshire Building Society Credit Card

SuiDreams

Recently applied for a Yorkshire Building Society Credit card for the Cash back. I have been accepted, but the limit is a lot lower than what I usually get offered. It is a Cooperative Bank Credit Card, is there something wrong or do Cooperative Bank usually offer really low limits.

Chadsman

They will often offer to match the credit limit of an existing credit limit. Try writing with evidence of income.

henderson1977

Hi all

I am currently applying for a mortgage with Yorkshire Building Society (YBS) who advised they can also offer me their 1% cashbask credit card, with the added advantage that they will not have to do another credit search against me.

So, naturally I wanted to compare this cashback credit card against others so I read MSE's article (http://www.moneysavingexpert.com/cgi-bin/viewnews.cgi?newsid1087717218,37843,).

I am a low credit card spender, so I believe the YBS credit card is equally as good as the top-rated Morgan Stanley card (except it's initial double-cashback offer until July 2006).

So in order to avoid another credit search and gain a cashback credit card that rivals the best in the market for my spending habits, I think I'm onto a winner.

Would anyone disagree? Are there any cashback credit cards paying more than 1%? Also, I have noticed that YBS clearly state "Credit Cards are not regulated by Financial Services Authority". Will this cause any problems?

Thanks
Scott

YorkshireBoy

henderson1977 wrote:

I am currently applying for a mortgage with Yorkshire Building Society (YBS) who advised they can also offer me their 1% cashbask credit card, with the added advantage that they will not have to do another credit search against me.

I would be extremely surprised if you could get the credit card without a further credit check, since you are dealing with 2 financial institutions.

I suspect you have been mis-informed by a member of YBS staff.

henderson1977

...the mortgage advisor did confirm I would not be subject to another credit search. Now that I know it's a Co-operative CC, I'll double check with her...

Thanks for pointing this out, Yorkshire Boy.

What do you/others think about my other queries please?

1) Is the YBS CC at 1% cashback a competitive cashback CC or are they others that are better/pay hay cashback, within my (low) spending habits?

2) I have noticed that YBS clearly state "Credit Cards are not regulated by Financial Services Authority". Will this cause any problems?

Thanks in advance
Scott

HGLTsuperstar

1% is a good offer, the Morgan Stanley does pay "double" for the 1st 3 months, which is 2% but only on the 1st £2000 p.a, then 1% above this, after 3 months this drops to 1%/0.5% so its worth having if you're making a big purchase soon, but thereafter the incentive goes.
So if its all checked out OK, then sure go for it, but cant understand why they wont do another credit check, and also make sure it doesnt impact on your mortgage application, re: credit rating, i.e. sort the mortgage first

ma6jrp

If you are not likely to go over £2000 spend its fine. But you never know if you want to purchase some big items, as you are moving house.

But if you ever do go over it goes down to 0.5% which is not good.

The Egg Money card works out best as it pays 1% cashback upto a max of £200 a year (£20,000 spend).

I wouldn't worry about another credit search, but wait until your mortgage has been approved. If you a good enough credit risk to borrow tens of thousands of pounds you will have no trouble getting an Egg Money Card!

As why not put all your normal shopping on your credit card and pay off the full amount every month? That way you get 1% of everything you buy and it delays paying for it for around six weeks while you can earn interest on that money.

RichyRich

Maybe they don't do another credit search as they simply pass the credit search they did over to the co-op bank? Perfectly plausible and adds to efficiency (i.e. neither organisation has to pay for a second search when there's a brand spanking new one already done).

Rich

dwsjarcmcd

Just for clarity, if you apply for and are accepted for a YBS mortgage, you are guarenteed a credit card. This is without any further credit checks.

henderson1977

Spot on, RichyRich & dwsjarcmcd... I know remember the Mortgage Advisor at YBS saying no further credit search is needed during the mortgage process, however, if I quit this process but still wanted the cc, I'd be subject to a separate credit search.

Should I be concerned that YBS clearly state "Credit Cards are not regulated by Financial Services Authority". Will this cause any problems?

Cheers
Scott

dwsjarcmcd

Should I be concerned that YBS clearly state "Credit Cards are not regulated by Financial Services Authority". Will this cause any problems?

Cheers
Scott[/QUOTE]

Scott - Not really, no companies credit cards are regulated by the FSA, doesn't matter if it's YBS (the card is provided by the Co-op) or whoever. I suspect that message is there because it differentiates YBS, who are regulated by the FSA and credit cards whi aren't. HTH