OH Received Capital One Card Today!! Couple Of Questions

Penny-Pincher!!

Hiya

Just wanted to tell you that OH received his Capital One card this morning after only 10 days from start to end :j

I dont know if you recall, but posted a few weeks back as OH doesnt have bad credit but no real credit history as all credit has been in my name in the past People advised to try capital one and just wanted to say thanks for all your advice

It is the high interest rate (29.9% :eek: ) and has been given a £1000 limit-is this good? I think he will just be putting the petrol on it monthly and pay in full so no interest will be paid anyway. Is there anything he needs to watch out for with this particular card-hidden fees etc? He wont be drawing cash on it-just using for petrol and maybe food shop. As he has no credit history as such, how long will it take to start building IYKWIM?

Sorry for all the questions.


Thanks again for your help.

PP
xx

Chadsman

Penny-Pincher!! wrote:

It is the high interest rate (29.9% :eek: )

Ouch

Penny-Pincher!! wrote:

and has been given a £1000 limit-is this good? I think he will just be putting the petrol on it monthly and pay in full so no interest will be paid anyway. Is there anything he needs to watch out for with this particular card-hidden fees etc? He wont be drawing cash on it-just using for petrol and maybe food shop. As he has no credit history as such, how long will it take to start building IYKWIM?

Sorry for all the questions.


Thanks again for your help.

PP
xx

AFAIK £1k limit is pretty good on a credit builder card like this.
Make sure he pays it off in full every month without fail. IMHO it would be a good idea to set up a DD to pay the full amount.
I recall others saying 6 months of good behaviour on a credit builder card would be enough to get you a better card.

Penny-Pincher!!

Thanks Chadman

29.9% is very high but as long as he pays in full monthly he wont pay any interest-will he? He is just using to build some history up then wants to apply for a normal card.

Thanks

PP
xx

Clariman

Penny-Pincher!! wrote:

Thanks Chadman

29.9% is very high but as long as he pays in full monthly he wont pay any interest-will he? He is just using to build some history up then wants to apply for a normal card.

Thanks

PP
xx

You are correct. If he pays in full on time each month and does no cash transactions, then he won't pay interest.

Clariman

Chadsman

As always Clariman is absolutely correct.
One thing that might have improved his credit rating is if he is shown to be financially linked to you eg with a joint current account or mortgage (but not credit card as you wouldnt be jointly responsible for the debt).

JimArnold

Nothing will lose you brownie points with a CC company faster than not paying on time - even if it is just the minimum payment.

Set up a direct debit - but be aware it will take some time to setup so you will probably have to pay the first one manually