Turning 18 tomorrow.. Going to apply for a Vanquis! And advice needed

whitz666 · 12 July 2018 at 1:22PM

Hi there MSE!

Sorry if I've posted this in the wrong place; I'm a full-time lurker but now, one day before my 18th birthday, I've decided to post for once!

So as the title says, I am turning 18 years old tomorrow. I will be an adult and will be entering the world of SENSIBLE credit. That being said, tomorrow morning, I will apply for a Vanquis Credit Card to take the first step in building my credit history so I can look more attractive to lenders and ideally purchase a house at the age of 24-28.

I am working and a full time student and the reason that I am applying for a credit card this early is because I would like to ESTABLISH & BUILD a credit history at the earliest post. I don't want to be at the age of 25 where I want to purchase a house but get declined due to me having a thin credit file, no no. I also do not want to be on the Debt Free Wannabe section because I had no knowledge of how credit cards work and went on a spending spree just like a typical 18-21 year old either; my AIM is to make purchases on the credit card that I already have money for sitting in my main bank account, and 1 day before the due date, I will clear the whole balance off in full. If anything goes wrong, such as if I do not get paid from my job or I have insufficient funds to clear off the credit card within that particular month, I have savings to back me up. Believe me, I am well-disciplined but anyone can make mistakes!

I have been reading about interest rates, how they work and general credit card, house buying/mortgages and banking stuff from the age of 16. I am one of the few people in the 2000s generation to think sensibly at this age about Money & Finances due to having amazing grandparents that taught me the value of Money and just because I want to do things now that will help me in the future.

I know that this thread may not have a single purpose, but I would like to ask you that, what are the acceptance rate of Vanquis? Will I be accepted? I know that they have an eligibility checker where they tell you how likely you are to be accepted.. I have a stable job and am registered on the ELECTORAL ROLL under my current address since August 2017. I am also thinking of applying for a SIM Only Three Student Deal of £17pm which features 30GB of Data, Unlimited Minutes and Unlimited Texts as well so that can be added to my file.

So like I said, I will be spending and clearing my to-be-VANQUIS card in full when my statement arrives at the end of the month. I also am aware that a fluctuation of a CREDIT SCORE does not matter in the real world; but an established CREDIT HISTORY does. I know I am crazy and am obsessed about these things at this age.. but it will be worth it.

And also, is it worth looking at my credit report tomorrow? Like Experian, etc...

Thanks for reading and see you soon! :j

blitzboy · 12 July 2018 at 1:31PM

My advice would be don't wait until 1 day before the due date. Pay as soon as you get the statement or, even better, set up a direct debit for the full payment each month. If you leave it until 1 day before and then something unforeseen happens on that day meaning you don't end up paying it you have a missed payment on your file for the next 6 years.

Other than that, just stay disciplined. Don't ever think of it as 'extra' money available.

2ilent8cho · 12 July 2018 at 1:33PM

I would recommend trying your bank for a credit card before Vanquis. Barclays for example have a cash back reward one, not sure what other banks do or who you bank with. Because the bank will have seen your current account for the last few years they are more likely to accept you and may even pre approve you internally.

I know you said you intend to pay off the balance in full each month which is good, if you were wanting to at some point in the future put a large purchase on it to pay off over say 6 months like a used car a lower APR credit card would be better than the nasty charges from Vanquis.

whitz666 · 12 July 2018 at 1:34PM

blitzboy wrote: »

My advice would be don't wait until 1 day before the due date. Pay as soon as you get the statement or, even better, set up a direct debit for the full payment each month. If you leave it until 1 day before and then something unforeseen happens on that day meaning you don't end up paying it you have a missed payment on your file for the next 6 years.

Other than that, just stay disciplined. Don't ever think of it as 'extra' money available.

Hi there, thanks for your responding. I am planning to setup a Direct Debit to pay off the full balance off every month. I was just wondering after applying online, does the Credit Card company call you or something? My friend applied online and they called him for further verification due to him being a new 18 year old

whitz666 · 12 July 2018 at 1:37PM

2ilent8cho wrote: »

I would recommend trying your bank for a credit card before Vanquis. Barclays for example have a cash back reward one, not sure what other banks do or who you bank with. Because the bank will have seen your current account for the last few years they are more likely to accept you and may even pre approve you internally.

I know you said you intend to pay off the balance in full each month which is good, if you were wanting to at some point in the future put a large purchase on it to pay off over say 6 months like a used car a lower APR credit card would be better than the nasty charges from Vanquis.

I hold 2 bank accounts; Lloyds Under 19 and Nationwide FlexOne. Tomorrow afternoon, I will be going into a Lloyds branch to upgrade my U19 to a Classic Account. I do not think they will offer me a credit card just yet, it is safe for me to go for the sub-prime credit cards which are designed for people with bad/no credit history, and I believe Vanquis is a good one

Ergates · 12 July 2018 at 1:41PM

The very least thing you should do is set up a Direct Debit to pay of the minimum amount each month. This way you will never accidentally miss a payment. Then, as you were intending to do anyway, go in and manually pay off the full balance each month.

Alternatively, do as blitzboy says and set up a DD for the full amount each month - though if you do this, remember you'll have to go in and change this if you ever buy something you want to pay off over several months.

whitz666 · 12 July 2018 at 1:48PM

Ergates wrote: »

The very least thing you should do is set up a Direct Debit to pay of the minimum amount each month. This way you will never accidentally miss a payment. Then, as you were intending to do anyway, go in and manually pay off the full balance each month.

Alternatively, do as blitzboy says and set up a DD for the full amount each month - though if you do this, remember you'll have to go in and change this if you ever buy something you want to pay off over several months.

Hi there - I will be setting up a Direct Debit to clear off the balance. However, just wanted to ask you, do you set it up straightway when the company calls you or do you do it later yourself?

T-G-C · 12 July 2018 at 2:01PM

You are being sensible with starting at subprime level, do not start creating credit searches with mainstream providers, as these are almost guaranteed to be declined with no file. Even now, after 12 months of credit usage, I still cannot be accepted by a mainstream provider, it is tough for the first few years of building from nothing to something credible.

I was in your position this time last year and became a forum member here for the same reason and around the same month, so I have the most fresh experience with this.

You do not need to panic over the interest rate with Vanquis, as clearing in full means nothing extra on top, except cash transactions which should be avoided generally.

If the Three contract you mentioned is designed for students, I am sure there is a higher chance of acceptance, therefore if it is something you need and can afford to do, go ahead with it.

You should avoiding having multiple credit cards and taking out short-term and high-cost loans. Aside from that, it isn't too complex to manage with Vanquis and I wish you the best of luck with beginning to build a credit file.

In terms of acceptance, speaking from my experience, I was accepted for the Vanquis Origin Card (Google it) with no credit history whatsoever, it was blank. If you apply for the main Vanquis card, which has a lower interest rate than Origin, there is a reduced chance of acceptance obviously.

HAPPY BIRTHDAY FOR TOMORROW!

If you need any specific advice or simply want to have a 1-2-1 chat with someone of your age and situation, one year on, feel free to private message me at anytime.

Take care!

whitz666 · 12 July 2018 at 2:26PM

T-G-C wrote: »

You are being sensible with starting at subprime level, do not start creating credit searches with mainstream providers, as these are almost guaranteed to be declined with no file. Even now, after 12 months of credit usage, I still cannot be accepted by a mainstream provider, it is tough for the first few years of building from nothing to something credible.

I was in your position this time last year and became a forum member here for the same reason and around the same month, so I have the most fresh experience with this.

You do not need to panic over the interest rate with Vanquis, as clearing in full means nothing extra on top, except cash transactions which should be avoided generally.

If the Three contract you mentioned is designed for students, I am sure there is a higher chance of acceptance, therefore if it is something you need and can afford to do, go ahead with it.

You should avoiding having multiple credit cards and taking out short-term and high-cost loans. Aside from that, it isn't too complex to manage with Vanquis and I wish you the best of luck with beginning to build a credit file.

In terms of acceptance, speaking from my experience, I was accepted for the Vanquis Origin Card (Google it) with no credit history whatsoever, it was blank. If you apply for the main Vanquis card, which has a lower interest rate than Origin, there is a reduced chance of acceptance obviously.

HAPPY BIRTHDAY FOR TOMORROW!

If you need any specific advice or simply want to have a 1-2-1 chat with someone of your age and situation, one year on, feel free to private message me at anytime.

Take care!

Hi there! It's good to see that I am communicating with someone who was in my situation. I will be absolutely be avoiding Payday Loans at all costs because they damage your file and you will have to pay back 1000% or more back to the company, so there's literally no point in taking payday loans. My close friend of mine applied for the "normal" and only card which is listed on the Vanquis website and he does not work at all; his household income is about £9,000 and he was accepted with a £250 limit - So I'm going to give it a go. I was just wondering what other credit accounts do you have apart from Vanquis? And thanks for the Birthday Wish! Much appreciated.

blitzboy · 12 July 2018 at 2:44PM

whitz666 wrote: »

Hi there, thanks for your responding. I am planning to setup a Direct Debit to pay off the full balance off every month. I was just wondering after applying online, does the Credit Card company call you or something? My friend applied online and they called him for further verification due to him being a new 18 year old

In my experience it's all done online or via post, but I guess they are able to call you if they wish to.

In answer to your other question, you can usually set up a direct debit via your online account with the credit card provider once the card has been received. Sometimes you can actually do it as part of the application, but not every time.

chelseablue · 12 July 2018 at 2:46PM

Firstly, Happy Birthday for tomorrow!

Its nice to see a sensible young person when it comes to finance, I used to be one too (still am sensible, just no longer young!) and got my first credit card when I was 18.
It was with Capital One

From what I remember I just used to buy my petrol on it and paid it off in full when I got the statement.

If I could give advice to my 18 year old self it would be open an Stocks & Shares ISA.
I do have one now but didn't start until I was about 30

Turning 18 tomorrow.. Going to apply for a Vanquis! And advice needed

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