Newest Review: ... for students or those who want to start to establish their credit. They're a site that offer credits to those with starting out credit ... more
Not a good way to increase your credit score!
Member Name: xxBeccaxx
Advantages: Good to rebuild credit rating
Disadvantages: high rates, mix ups constantly
Is a credit card a good idea?
I took out this card initially for emergencies and to try and rebuild my credit score as advised by MSE (Monesy Saving Expert by Martin Lewis).
I checked it out and the place where I managed to obtain a card was Capital One. After filling out the paperwork and signed the contract etc I was sent my card. I was able to choose which design I wished the card to display and then when it came through I had a £100 limit.
At the time I was told if I used my card and had paid off the balance in full my funds would be increased so off I went and bought something (I'm not sure what now) and paid off the balance in full.
After 3 months the funds went upto £200 and I ended up having to use it to pay the one off fee for the car insurance, not a great idea as this is what started off a nightmare!
I phoned them up to set up a direct debit, I asked if I could pay a certain amount each month and they declined saying I could choose the full amount or the minimum payment, I chose the minimum payment being told I could go online at anytime to pay anything additional, as yet I am still unable to locate this online!!
Anyway I then had to use it again and the limit was then increased to £300. This is fine and I pay a steady amount to it each month but recently I noticed that I pay £15 a month to this HOWEVER £7 comes back off for protection insurance (again advised it would come straight out of the bank account) and then the interest comes off, around £2 so I actually only end up paying £5 each month which will take forever to pay off doing just the minimum payment.
I have only just, after a good number of months been able to use my online account which advises when payments are ue, how much, remaining credit etc.
I would advise due to the ridiculously high rates to only use this company for a card if you intend to pay off the full balance at the end of each month, therefore not costing you anything in interest costs.
Summary: Not the best idea to be honest.