People with a low income, who are self employed, have CCJs, or are not on the electoral roll may have difficulty getting a credit card. Specialty lenders like Aqua provide so-called bad credit credit cards to these UK consumers.
With a base of over 150,000 customers, Aqua does its best to grant credit to people who are denied it elsewhere.
Someone who is self-employed or has income that fluctuates due to overtime, bonuses, or commission may have a hard time proving income. Homemakers usually earn little or no regular income and people who work part time often do not meet the earnings threshold established by credit card lenders.
As a result, these individuals often have little credit, which makes it harder for them to qualify for new credit.
People who are new to the UK and have never taken credit here may also have a difficult time. Many students consider credit cards convenient but cannot qualify for them due to lack of income and credit status. Lenders view these groups the same way as those who have bad credit, offering them only bad credit cards.
Aqua offers a credit rebuilder card that helps cardholders improve their credit rating. By making payments on time, cardholders help their credit score rise. These payments are reported to the credit bureau and noted on the credit report.
It may take only six months to increase the credit score using these credit cards for bad credit.
The Aqua MasterCard features no annual fee and a maximum credit limit of £1,600. Variable representative APR is 35.9 percent, which is high but typical for bad credit cards. If the cardholder pays the balance in full and on time each month, no interest is charged.
Manageable payments and flexible payment dates make it easy to build or improve credit.
{ 2 comments… read them below or add one }
Look at it from the lender's standpoint. When a creditor extends credit to you, they want to be reasonably sure that you can pay them back. But if they know there are 3-4 other lenders out there also considering offering you credit, that fifth lender will be reluctant until they have more details about the commitments you'll be making to those other companies.
DON'T GET ONE!!… that's the wisest way. Any financial expert will tell people the first thing they need to do is to cut up their credit cards. Credit cards = Spending money you don't have. Why do that? It sounds like you don't know a lot about how credit works… let alone your own credit score.. go to annualcreditreport.com and get free credit reports and learn more about credit, APRs (Annual Percentage Rates), Interest (they fluctuate, there is no such thing as a fixed rate), credit card companies (Majority of them are scam artists) and etc. Rent this dvd documentary called "Maxed Out" and it will make you never want to get a credit card, trust me.
Hope this helps!