For Bad Credit, Visa Instant Decision Cards Provide An Avenue To Financial Freedom
Bad credit can haunt us for years if we do not take
action. It sits on our credit report and we are reminded of it every time we see our credit score. When it is left unaddressed, bad credit resulting from something like bankruptcy can affect us for seven to ten years.
As one way to address bad credit, Visa instant decision cards are easy to apply for and even easier to use. Those who manage their accounts wisely can be back on the right path financially within months.
Barclaycard offers an instant decision card called Initial that is perfect for people trying to repair their credit as well as those without any credit. An individual must be 18 or older, a UK resident who has lived at a permanent UK address for at least three months, and have annual earnings of £10,000 or more.
A person who has missed previous repayments on other credit card may qualify. However, someone with a history of bankruptcy or an IVA or CCJ within the last five years will not.
This card features a 29.9 percent APR representative variable interest rate based on a £1,200 credit limit. Features include free identity theft protection, purchase delivery insurance, and access to the Barclaycard Freedom reward program.
Barclaycard Freedom allows cardholders to earn rewards on their purchases and redeem these using the Visa Onetouch contactless payment system, Thomas Cook, and more than 10,000 retailers.
The interest rate is more than double the best rate available for a regular credit card. High interest rates are typically included with credit cards designed for people with bad credit, due to the additional risk.
However, Barclaycard Initial cardholders have 56 days within which to repay their account balance without being charged interest. This in itself makes the card very attractive to the typical consumer, even if the person does not have poor credit.
With an instant decision credit card process, an application is completed and submitted online. The card issuer processes the application immediately and automatically issues a decision regarding acceptance or rejection.
Applying for too many credit cards at the same time can negatively affect the credit score, so consumers should review the card benefits and application criteria prior to completing any online forms, even if these are labeled as pre-approval documents.
Behind the scenes, an online application is sent securely to the issuing building society or bank. This institution matches credit scoring information from the major credit bureaus against its criteria to determine whether the applicant qualifies for an account.
The issuer then provides a decision regarding the application, which occurs within seconds for an instant decision card.
If an applicant is accepted for a card, the card itself will arrive via mail. Some issuers require the applicant to confirm the application by signing and returning an agreement form.
Electronic signatures are being used by more issuers, allowing this step to be skipped. Applicants indicate online that they agree to the terms and conditions of the card when they apply, allowing the card issuer to send the card once the application is approved.
In a situation involving bad credit, Visa instant decision cards can be in the hands of approved applicants within ten working days. Applying online is safe due to the use of encryption and secure servers.
The instant decision feature means the individual will know within seconds whether the application was approved.