Vanquis - 5th Month Limit Increase

T-G-C · 3 January 2018 at 3:45PM

Hi,

I’ve had Vanquis since 2nd August 2017 - which means that I’ve now officially had the card for 5 months.

For each month, I have never been overlimit; missed a payment or been charged interest, as I have successfully cleared my balance in full without dragging it along.

Vanquis themselves promote that the 5th month is when they review your credit limit.

Are Provident generous when it comes to increasing limits or will they refuse me? The only negative I can think of is that I’ve taken on two other credit cards besides vanquis which are both maxed out - on 0% offers, so I’m not drowning in interest.

It would be good to know whether they hand increases out like chocolate or only when every box is ticked :rotfl:

My statement was issued on 2nd Jan, there’s no mention of any limit increase on the online statement and my credit limit is still showing as £250. If they do decide to increase, will I only be notified in the post with a letter - with the new limit taking effect next month or do eligible people find out online as well?

Thanks :beer:

[Deleted User] · 3 January 2018 at 3:49PM

Have you called them and asked?

With a low limit I can't imagine they'll increase it much - maybe to £500?

T-G-C · 3 January 2018 at 5:02PM

!!! wrote: »

Have you called them and asked?

With a low limit I can't imagine they'll increase it much - maybe to £500?

That is the figure provided on their official calendar, £250 would normally increase to £500 - that would be a nice increase as I could handle the amount in full each month.

The credit agreement is designed to such that I can’t ask them, I have to wait until they decide to tell me I’m going to be increased. If I phone up, it’ll be a canned response about how their increase system works and that I need to wait.

[Deleted User] · 3 January 2018 at 5:06PM

That's not official - it's used as an example only.
The same as you're not "entitled" to a limit increase as soon as you hit the 5th month.

T-G-C · 3 January 2018 at 5:10PM

!!! wrote: »

That's not official - it's used as an example only.
The same as you're not "entitled" to a limit increase as soon as you hit the 5th month.

Of course, I don’t feel entitled to one, but there’s no direct reason for them to feel skeptical about expanding it.

I have more of a general expectation to an increase due to my handling of the account rather than feeling automatically entitled to one.

I am not an impatient person and are happy to wait and see, but I calculate my finances at the start of each month and it would’ve been a blessing to know now rather than later so that I can balance my credit commitments under the new lending agreement.

Thanks for your guidance on this !!!

[Deleted User] · 3 January 2018 at 5:20PM

They may also check your credit files as well to determine your creditworthiness - being given a startling limit of £250 suggests you are either new to credit, or rebuilding a damaged history

T-G-C · 3 January 2018 at 5:27PM

!!! wrote: »

They may also check your credit files as well to determine your creditworthiness - being given a startling limit of £250 suggests you are either new to credit, or rebuilding a damaged history

I am 18 and therefore considered new to credit. I have built up a record since I turned 18 in July, but it still can’t compete with someone who has years of history.

The main hinderence to me at the moment for being declined is credit utilisation, which looks a lot to lenders on the outside but managed responsibly under my income and secondly the fact I have less than 12 months of history + all my credit accounts are new obviously.

I have never defaulted; missed or late payment markered or gone overlimit. The worse mark on my credit file, which is barley anything, is a cash advance with Capital One which was a one-off occurrence as I was in a barbers which refused to accept credit card, so had to run to the cash machine.

Vanquis, before my other lenders, were the only ones that gave me a chance to build my history. As I had absolutely no history at that moment, the limit is small.

I am a student and not in full-time employment, but have an annual income of £7000+ therefore still able to finance responsibly with credit.

[Deleted User] · 3 January 2018 at 5:46PM

The low income would be a factor then on your limit.

Are you on the electoral roll as well?

SnowTiger · 3 January 2018 at 5:48PM

T-G-C wrote: »

My statement was issued on 2nd Jan, there’s no mention of any limit increase on the online statement and my credit limit is still showing as £250. If they do decide to increase, will I only be notified in the post with a letter - with the new limit taking effect next month or do eligible people find out online as well?

I've had a Vanquis card for years and never received an increase. I've hardly used it.

They recently offered me 1% cashback during November and December, so I've used the card a lot during the past two months.

They emailed and sent a text message about upping my limit by a grand on 15th December, which was my statement date. The increase was due to go live a month later, although I was given the option to accept it earlier if I wished.

SnowTiger · 3 January 2018 at 5:54PM

T-G-C wrote: »

The main hinderence to me at the moment for being declined is credit utilisation, which looks a lot to lenders on the outside...

I guess that's what the CRAs tell you.

I doubt any lender will look unfavourably on someone who regularly uses almost 100% of a £250 limit and pays it off in full.

You're very new to credit. Just let things tick alone for a while with no bumps in the road.

T-G-C · 3 January 2018 at 6:01PM

SnowTiger wrote: »

I guess that's what the CRAs tell you.

I doubt any lender will look unfavourably on someone who regularly uses almost 100% of a £250 limit and pays it off in full.

You're very new to credit. Just let things tick alone for a while with no bumps in the road.

The main issue is that each time Vanquis report to the CRA, my balance is maxed out, not because I’m carrying a balance, but because I pay my balance off in full before the due date and then max it out again by the statement date, rinse and repeat which makes it look like I’m recurring the debt when technically it is fresh debt every month :beer:

In addition to that, I have Capital One and Aqua maxed out, on a 0% offer, so I’m not being pushed into deep wager through interest - and I will of course clear the balance upon expiry of my promotional rate. As those accounts also report a maxed out balance, all three together looks quite bad to a lender, when in reality, my finances aren’t in deep water whatsoever.

I’m sure once my 0% cards are at £0 upon their interest free expiry date and Vanquis is also at £0 and kept like that continuously, which I aim to do in April, then lenders might consider the ticks more favourably and not be put off by any credit utilisation, as they’ll also be low or none.

Vanquis - 5th Month Limit Increase

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