When I rang my IVA company yesterday chasing up my completion certificate, I asked if it would be OK to apply for a credit card and was told that it would be OK. They said that even though I was still under the terms of the IVA regarding windfalls etc, I am OK with applying for credit, but I may not get it and if I did that it could be at a high interest rate. I knew this anyway, but at least they advised me. As the OP says, it will be useful for emergencies etc. I’m still thinking about applying for a credit card and will post back with how I get on if I do.
I think the thing to be aware of with vanquis is that they charge you interest from the time of purchase, so there is no interest free terms for the first 2 months. They don't mention this at all when you sign up.They also hound you to take out their payment protection which they say is free when there is no balance, but since you pay interest from day 1 you always have a balance. After the 3rd month it is interest free if you have paid your balance off. Just want people to be careful. We are in our 3rd month now with them and are purely using it to rebuild our credit score.
Ok here goes! Your credit score pe se is basically pooped whilst in an IVA and very little will affect it, till your IVA and defaults have cleared from your CR. Once this has happened, your score is repaired automatically. Now I say this, not just for myself, please read thread "creditors defaulting" just below this post, it's not just me, really it isn't. When your IVA has gone (gone gone) you should be able to get a regular credit card with relative ease.
The whole sub prime credit card deal is just an IVA.co.uk myth probably posted by the sub prime "marketing" company!
Stuboy I got turned down by Santander when i asked to upgrade from a cash card but they turned me down even with a squeaky clean credit file and they weren't a creditor. I was gutted at the time........that was back in Jan. Applied for a Nationwide Flexi direct account last Sunday......just really really wanted a debit card, got accepted and it arrived today with my cheque book...really chuffed. Just need to wait for my online banking details to come through and arrange the switch over date...then Santander can stick it where the sun don't shine. Nationwide also approved me for a credit card on the same credit check as the current account....didn't ask for it but got approved. On the paperwork that came through there was an Experian reference number. I would recommend you try Nationwide if they weren't a creditor and do it once your credit files are clear from IVA and defaults.
IVA finished Oct 2011, CC received 27 April 2012, No longer on Insolvency Register 01 May 2012. Jan 2013 - all Credit Files squeaky clean
Yes top people at Nationwide I've been with them since the begining very helpful and whilst tempted by a flex account,I'm really happy with the cash card account, which is a debit card anyway. I can't slip overdrawn and the card cannot be used from abroad, which I kind of like for security
Just thought I would let you know that I got my comp certificate in July and waited patiently until Wednesday of this week, plucked up the courage and applied in branch for a Nationwide credit card.. and got accepted!.. what a relief to know I'm once again credit worthy! although I've definitely learnt my lesson and won't be repeating history.
I have worked hard to get all my defaults removed and up to date and shows it is certainly worth it in the end.
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