The Barclaycard Initial credit card, a piece of plastic aimed at people with little or no credit record, comes with a six-month 0% period on purchases. But only for the next fortnight!
For the next couple of weeks the Barclaycard Initial credit card will boast a six-month 0% period on purchases.
The Barclaycard Initial is a credit card aimed at borrowers with little or no credit history. Normally such credit builder credit cards don't come with any fancy extras, so the fact that it has a decent 0% period is sure to turn some heads.
The new and improved Barclaycard Initial
Previously the Initial offered a three-month 0% period on spending, so the interest-free term has been doubled.
The card comes with a credit limit of up to £1,200 and the chance to reduce interest after 12 months following an account review. The Representative APR is 34.9% (variable).
To qualify for the Barclaycard Initial you need to be over 18, earn more than £3,000 a year and have a job. You also must not have been made bankrupt in the previous six years.
Why go for a credit builder credit card?
Credit is a rather delicate thing.
Young people tend to get turned away as they often don’t have much of a history and thus have little proof of their ability to make payments. But without the chance to build up your credit record, you don't stand much chance of getting a mortgage and leaving the family nest.
One solution is to go for a credit builder credit card. These are specifically designed to help borrowers with little or no credit record. As a result the interest rates tend to be pretty high, and the credit limits aren't exactly massive. But they are an opportunity to show that you can manage credit responsibly. Just make sure you pay your balance off in full if you don't have a 0% period to take advantage of, as the interest charges will be painful!
[SPOTLIGHT]Of course the Barclaycard Initial isn't the only option if you need a credit builder credit card...
Aqua Classic 29.7% Credit Card
The Aqua Classic has a maximum credit limit of £1,600, with a possible increase after four months. It also offers free unlimited access to its credit checker service, so you can see for yourself how your credit record is improving.
Aquis Visa Credit Card
This card has a lower credit limit of £1,000. Account holders are regularly reviewed so your credit limit could reach up to £3,000. To apply for the Aquis Visa card, you must have a minimum income of £4,000. It comes with an APR of 29.8%.
Capital One Classic Platinum Credit Card
With the Capital One Classic Platinum you need to be earning a minimum income of £10,000 to be eligible. It comes with credit limits of up to £1,500 and an APR of 29.8%.
Luma Credit Card
For the £1,500 credit limit, potential Luma card holders must have a minimum income of £10,000. Representative 35.9% APR.
Ocean Finance Credit Card
Again, Ocean is looking for a minimum income of £10,000 from potential account holders with a credit limit of £1,500 and an APR of 34.94%.
Vanquis Visa Credit Card
Although the Vanquis Visa comes with a lower maximum credit limit of £1,000, applicants need only be on an income of £4,000 to be eligible. The Representative APR is a whopping 39.9%.
If you would like to see how your credit score is getting on, get a free 30-day trial of your Experian credit report by signing up to CreditExpert through lovemoney.com. You will be charged after your trial period ends, so if you don't want to pay, make sure you cancel before your trial is up.
Compare credit builder cards with lovemoney.com