If you have suffered from a blip in finances or are a young adult and have never had credit before, where do you start to get a step up on the credit ladder? Consider the reasons below to apply for a bad credit catalogue and you can start the New Year building a reasonable credit file that will allow you to show future credit applications that you are a responsible lender.
Instant credit catalogue and a bad credit catalogue?
The answer to this is nothing, the majority of instant credit catalogues will consider applications from those with poor credit scores. Once you have been accepted you will find your initial spend limit will be low, but with good account management this will increase quickly enabling you to purchase higher priced items.
What do I need to apply for a bad credit catalogue?
If you are aged over 18 and can show a stable address history of 5 years the application process is very simple. You will have a decision in minutes. A credit check is always carried out, but because bad credit catalogues are not money lenders they also make decisions on current income and your ability to repay the minimum amount each month for your spend limit.
Are further credit checks carried out for purchasing expensive items?
Once your each a high spend limit you will not have further credit checks to purchase items such as expensive home electronics. Should you want to purchase the same item onthe High Street on credit , a credit check will be carried out and you run the risk of being rejected and a negative footprint left on your file. With a bad credit catalogue, you will never have to have a credit check carried out again for purchases as almost everything you can need is to be found amongst the many departments.
What does interest free mean?
All bad credit catalogues have interest rates, but they will not apply until the interest free period is over. This isusually about four months.. This gives you plenty of time to pay off smaller priced items without incurring interest. If you spread your payments over the interestfree period, you will pay interest on the remaining account balance. The amount of interest you pay will be clearly shown on your statement.
Who are the most trusted bad credit catalogues?
- John Lewis 18.80%APR
- Next 22.90%APR
- Very 34.90%APR
- Look Again 34.90%APR
- Grattan 34.90%APR
- Freemans 34.90%APR
- JD Williams 39.90%APR
- Simply Be 39.90%APR
- Studio.co.uk 49.90%APR
- Fashion World 58.70%APR
When looking at the interest rates, you may find that the higher the interest rates, the more likely an application from a bad credit file will be accepted. Once you have been accepted for one it is likely you will be accepted by others, but it is important to know that every application will need a credit check, and this can leave too many foot prints in a short space of time.