Samuel, just out of interest, do you believe that people can't be 'rehabilitated' (for want of a better word)?
When I first got my Vanquis card I panicked at the thought of having a credit card but when I saw it being cleared each month I felt a strange sense of pride. I'm now a named card holder on one of my husband's accounts (so we can collect Nectar points!) but again this is paid in full. It meant a lot when he agreed the DD could come out of my account (with him paying his share of course!).
Of course people can be rehabilitated - it is a case of living by ones means and sticking to a budget etc. One has to be strict with themselves and I can see many posters do this, whether with a credit card post IVA or with a bank account during an IVA etc.
The sense of pride and achievement is brilliant, but I would urge anyone that then finds themselves struggling, to take the necessary steps to avoid becoming victim to credit card debt.
Great to hear that you are doing well with Vanquis - make sure you use the Nectar points well!!
Managing Director of ClearCash Limited, a general purpose and reloadable prepaid MasterCard facility. Campaigner for the unbanked sector believing that no one should be financially excluded. "Intelligent Money Management"
I wasn't 100% sure I could trust myself at first but as I only had a £250 credit limit with Vanquis I thought I would test myself!
The Nectar points are being used for shopping and shopping money is being used for spending money for our trip to Florida next year so yes, they are being used wisely!
Once your IVA is clear of your credit file, your credit rating will automatically repaired, end of! This repair your credit rating with a "tarred card" why not just shout out from the roof tops "look at me and my troubled past" it's unlikely mainstream lending will look at you if you do.
So my gentle suggestion is go for the long game wait until your IVA has vanished, then your open to mainstream lending. Remember things like 0% finance, but all this pre-nonsense and vanquish, just sends the wrong message, green ticks or not!
I followed the above rules and my credit rating went from bottom of the sludge pit to right off the Richter scale on the axe of six years, really its that simple.
So a year on from the demise of my IVA, I still have my free cash plus account, debit card, on line banking and flip some savings...And mainstream lending should I ever need it
Why do you think a recovered alcoholic never has another drink, because that is where the strength lies. I think I'm actually scared of getting a credit card so maybe that makes me weak but a life choice even if it is out of fear
your wrong with your suggestion that pre and vanquish is wrong.a vanquish is no different from"high street"cards at all.if you pay off every month tell me what the difference is and what other benefits do you get?
just becourse they let you have a card when you have a less than desirable past does not make them wrong.the high street banks were very lax in the past with who and what they did with issuing cards in the past and thats where nearly all off us fell fowl.
if you can get through life without the need to borrow at some point then tell me the secret.
cc received 6th January 2014 now upwards and onwards
Last Payment - November 2011 - Completion Certificate received 2 weeks after last payment, Removed from Insolvency Register within 4 weeks after last payment.
i got a Vanquis card a few months after completing my IVA to improve my credit rating.. set up a direct debit to pay they full amount each month and was with them for about 10 mths and didnt pay them one penny in interest or charges.. then applied for an Amazon Mastercard online and was accepted straight off.. so then ditched Vanquis as they had done their job! at the point of starting my IVA i had 12 credit cards now i just have one and pay off my balance in full each month and get free £10 amazon vouchers!
so yes i would say go for Vanquis its an excellent way to rebuild your credit but set up a DD to pay the full amount each month as that is the safeguard to make sure you dont go down the slippery slide of debt again!
Yes you can get a credit card to begin building a credit history and many lenders offer cards with lower credit limits that are tailored to first time users. However these accounts need to be managed carefully as they may have lower credit limits but still come with all the temptation of a normal credit card - it can be tempting to exceed the credit limit or even withdraw cash from the account but doing either of these could damage your credit file before you even get started!
Becoming increasingly popular are credit building products that help to build your score with no risk of getting into additional debt - this might be a wiser option at this early stage in your credit building journey! The way they build your score is by reporting your pre-agreed monthly payment to one or more Credit Reference Agencies, they all offer something slightly different and I would definitely recommend doing some research to see which one suits your needs the best. There are other steps you can take including registering on the electoral roll and applying for simple lines of credit in your name such as a mobile phone contract.
This is a very old thread liz and most of the posters do not post on here anymore. I would suggest you start a new thread for information on credit rebuilding.
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
