Applying for credit card whilst unemployed?

bazetta

Firstly, hello everyone, I'm pretty new to this money saving game but wish I'd done more about it a long time ago.

My question is, I'd like to apply for a credit card with 0% for purchases (maybe Sainsburys from what I've read on here?). But I am unemployed at the moment - is it pretty likely I'll be turned down, in which case I won't apply as I don't want it to affect my credit rating etc?

Thanks in advance

Baz

Milarky

Hi,
Do you bank with anyone? Your current account provider may be you best chance you have to obtain a credit card. The main thing that comes up with such types of account, however, is that should you default [which we hope and trust you don't ever, of course] the bank is then able to take payments from your current account without your approval [i.e. where since they control both accounts in this case, they have the right to take any money owing before asking]

What do you hope to achieve by applying for credit at this time, though? If it is for budgeting purposes only, then a card which allows you rack up a debt over 12 months [re. Sainsburys] might be less helpful to you than one which offers 0% on the initial transfer and you have some way of simply banking this for the whole period, and just making minmum payments - aka 'stoozing'. [The problem will always be paying back what you owe, and being confident of your ability to do so in advance]

HTH

bazetta

Hi, a bit more info

I've got bank accounts, savings and 2 Barclaycards (Visa + Mastercard). I'd hope to have a good credit rating as I've always paid things in full on time (although I've never checked it).

My reason for wanting the 0% card was to spread the cost of buying a couple of major purchases - there's no problem with paying it off but thought the interest free option would be good.

(I was made redundant in June and am enjoying a couple of months off before joining the rat race again!)

Cheers

Milarky

In that case I'd say chance your arm and apply for a Sainsburysbank card as it matchs what you are specifically looking for [a balance transfer AND free purchases card can't be used for very much addtional spending once you put a BT on it, for instance].

According to this table at FTyourmoney - which I use for a quick snapshot of card offers but is not exhaustive - the main ones at the moment appear to be that and Halifax 'One' [same issuer, HBOS] and the RBS family of cards [Natwest, RB, Mint, Tesco..] which are 9 months, mostly.

[Hmm, a Plat from SB might be harder to get than a bog-standard 'One' in your current circumstances. The 'real' question behind your post is:''How does my unemplyment status affect applications with various lenders''. Might I suggest, therefore, simply phoning these cards up in turn and checking out their application 'no-nos' without actually applying. Then, if you are not automatically considered ineligible, you could go ahead and do an over-the-phone application for immediate acceptance/rejection]

Good Luck