pow
Premium Member
Registered: 11th Sep 06
Location: Hazlemere, Buckinghamshire
User status: Offline
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I buy alot of things for work out of my own pocket and then get paid back in cheques later on in the day/week etc.
Someone has suggested that I get a credit card and use that to buy things, then when I get the cheques back pay the cheques into the credit card account.
I have a cheque within a week normally, so they will be cleared within 12 days say.
Will I get stung by credit card charges (% on purchases?) or not? Like when the "honeymoon period" runs out?
Cheers 
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willay
Moderator
Organiser: South East, National Events
Premium Member
Registered: 10th Nov 02
Location: Roydon, Essex
User status: Offline
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credit cards work like this.
You run up a bill in 30 days, a statement is issued then you have x amount of days (normally another 30 days?...) to pay it back. Within that x amount of days you must pay back either the min amount or more.
Every month I get my statement, I pay it off immediately.
Its good to use on purchases you KNOW you can pay off because it helps you build a good credit history.
Like me, I've never had a credit card until this year, I now use it for petrol (which I can always afford) and my travel expenses which get refunded back to me through work.
[Edited on 10-10-2007 by willay]
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Conway563
Member
Registered: 7th Jun 06
Location: Yate, Bristol
User status: Offline
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If you're going to be doing it the way willay does then it would be a good idea to have a look at a cashback credit card. You don't get any 0% offers but if you're paying it all off it doesn't really matter.
Capital One are doing 4% cashack for the first 3 months
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John
Member
Registered: 30th Jun 03
User status: Offline
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If you haven't had a card before I wouldn't apply for the Capital one card as they are very harsh and will most likely reject it.
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willay
Moderator
Organiser: South East, National Events
Premium Member
Registered: 10th Nov 02
Location: Roydon, Essex
User status: Offline
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talk to me about this cash back thing, what is it exactly? should I be using one? 
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John
Member
Registered: 30th Jun 03
User status: Offline
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If you pay off every month in full then yes.
You quite simply earn cashback on purchases.
Think the capital one card is 4% for the 1st 3 months then 1% after that, egg money is a flat 1%.
It's not loads of money but its certainly better than none.
http://www.moneysavingexpert.com
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pow
Premium Member
Registered: 11th Sep 06
Location: Hazlemere, Buckinghamshire
User status: Offline
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This is what I thought, start building a credi history, plus have an emergency card for uni next year.
I need to make sure im not paying the % extra on purchases though, like in 6 months time when the offer runs out, I dont have to pay 6% on every purchase, even though im cashing in cheques 10 days after ive paid for it 
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John
Member
Registered: 30th Jun 03
User status: Offline
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Any card you get just set a DD up to pay off every month in full.
Never have the interest problem.
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willay
Moderator
Organiser: South East, National Events
Premium Member
Registered: 10th Nov 02
Location: Roydon, Essex
User status: Offline
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applying to capital one
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pow
Premium Member
Registered: 11th Sep 06
Location: Hazlemere, Buckinghamshire
User status: Offline
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Gunna go see my friend in Nationwide 
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Andrew
Member
Registered: 5th May 04
Location: Skoda Octavia Estate, Ford Puma
User status: Offline
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I got some credit card cheques where i don't pay any intrest for 9 months per cheque. It's per cheque, so 9 months intrest free on each cheque. My 6 months intrest free on the card has expired but i bank with Lloyds TSB and really happy with the service they provide so cba changing.
I use the credit card when i'm short per month. Then pay it off when i get paid. Things like getting stung by a bill unexpected. That way i don't pay overdraft fees or intrest on the credit card. It really is about managing finances to your best imo.
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pow
Premium Member
Registered: 11th Sep 06
Location: Hazlemere, Buckinghamshire
User status: Offline
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So as long as its paid off in time, I wont have to pay any interest?
Dad said to me last night, keep all of the cheques that work "reimburse" me with, then take themm all in with the bill
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ssj_kakarot
Member
Registered: 29th Apr 03
Location: hartlepool
User status: Offline
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quote:
Originally posted by John
If you haven't had a card before I wouldn't apply for the Capital one card as they are very harsh and will most likely reject it.
i got one off them when i was a student and it was my first card, dont think there hard they just put a £500 limit on at the start.
[Edited on 11-10-2007 by ssj_kakarot]
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ssj_kakarot
Member
Registered: 29th Apr 03
Location: hartlepool
User status: Offline
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why dont you just see if your bank with give you a intrest free overdraft?
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John
Member
Registered: 30th Jun 03
User status: Offline
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Did you get that specific card?
They will give you otehr cards no problem but not that specific one, my information is from MSE.
Cashback is better than an interest free overdraft 
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Kyle T
Premium Member
Registered: 11th Sep 04
Location: Selby, North Yorkshire
User status: Offline
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I've never had a credit card before, a loan, or anything - yet noone at all will touch me.
Halifax (my own bank) said my credit rating sucks too much.
Only thing i've had go against me are stupid instances of being overdrawn by £2 and getting stung by a bank charge.
Its pissing me off, as apparently - the more I apply and get rejected, the worse my rating gets 
Lotus Elise 111R
Impreza WRX STi
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Jambo
Member
Registered: 8th Sep 01
Location: Maidenhead, Drives: VXR Arctic
User status: Offline
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quote:
Originally posted by John
If you haven't had a card before I wouldn't apply for the Capital one card as they are very harsh and will most likely reject it.
EH?! They are famous in this country for doing card that people with low credit history can get....
I got my capital one card when i was 18 and i had poooooooor credit.
Reccomend them tbh good customer service. Intrest is high though
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John
Member
Registered: 30th Jun 03
User status: Offline
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Did you have the particular money back card we are talking about at the moment, again, go and read all about it on MSE.
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dannymccann
Member
Registered: 9th Aug 06
Location: Doddington, Lincolnshire
User status: Offline
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Im interested in these cahs back cards. im a 2nd year student and have had my student CC for nearly a year and use it as much as i can, paying full balance by DD at the end of every month. few months ago i tried to apply for a cashback card (from egg i think) and they rejected it, obviously leaving some sort of black mark on my record somewhere. just wondering whether it would be stupid to try and apply for the capital one card in my situation?
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Bram
Member
Registered: 25th Mar 02
Location: Derby
User status: Offline
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I've just finished the first month of my first card with capital one.
Its a special card to improve your credit rating, use your card and pay off your bill in your first 4 statements and they'll up your credit limit straight away!
Going to do this then look at a cashback card 
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pow
Premium Member
Registered: 11th Sep 06
Location: Hazlemere, Buckinghamshire
User status: Offline
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Waiting for my Nationwide one to arrive 
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