A new credit card aimed at the poor, which has a top interest rate of nearly 70 per cent - the highest ever - has been cautiously welcomed by Consumer Credit Counselling Service (CCCS). The Vanquis Visa card attracted criticism when it was launched nationwide this month, following a trial in Scotland. It has a typical APR of 49.9 per cent but a top rate of 69.5 for borrowers it deems the highest risk. But despite an APR of up to 15 times the Bank of England base rate, debt adviser CCCS says the card is the lesser of two evils for those who have trouble obtaining credit elsewhere. 'People should approach this with extreme caution and realise that the interest rates are very high,' says spokesman Frances Walker. 'But I can't see why you shouldn't get a credit card with a very low credit limit. We've always been concerned about the danger of driving people into the hands of loan sharks [if denied credit elsewhere].' Vanquis targets people with limited or impaired credit ratings earning a … [Read more...] about A credit card with APR of 70 per cent. Is this exploitation or the help some people need?
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A woman has told how a Tinder date bragged about his finances during their expensive dinner - only to have his card declined when paying for the bill. Emma Louise Sanders, 30, of Rainham, Essex, recalled how the man, who was not named, ordered rounds of drinks at an upmarket restaurant at London's Sky Garden - where cocktails start at £13 - despite her insistence that she didn't want any. However when it came time to pay the £100, the flashy man found himself short. His credit card was declined three times and he was ultimately forced to phone his father to ask for a bank transfer to cover the costs. Emma Louise Sanders, of Rainham, Essex, was taken for cocktails and dinner at the upmarket London Sky Garden restaurant by the man, who has not been named. Stock image Emma was on Tinder for two years until meeting 'Mr Right' Danny in 2016. The couple have a son named Callum. Emma wanted to share her dating horror story to give … [Read more...] about Woman’s Tinder date bragged about his finances and £2K credit card limit before having his card declined when paying for the £100 bill – and had to ask his DAD to transfer money to cover the costs
Halifax has joined HSBC in announcing customers can now self-exclude their bank cards from being used to gamble – and if they change their mind they won’t be able to start spending again for another 48 hours. The block is designed to prevent problem gamblers betting money they can’t afford to lose and restrict impulsive behaviour. It lets them prevent their cards being used at bookmakers and gambling websites. Halifax customers who have opted in to the service will not have their cards “unfrozen” for 48 hours, to help “protect those who might otherwise make an impulsive return to gambling”. HSBC, Europe’s largest bank, said earlier this week its 14.5 million UK customers can now self-exclude from all gambling transactions. The restriction can only be reversed after a 24-hour cooling-off period. HSBC says about 500,000 customers placed bets every month in 2018, spending an average of £52.50. It received more than 12,000 calls about … [Read more...] about Halifax joins HSBC in letting customers block cards from gambling
A student has issued a warning over 'buy now, pay later' firms after her online shopping habits crippled her credit score. Erin Phillips, 21, who lives in the UK, claims she saw her credit score cut by half after missing payments with online payment service Klarna, which is used by a number of major retailers including ASOS, H&M and Topshop. 'Buy now, pay later' companies give customers the option to pay for online purchases after the fact, either in a single lump sum or in installments spread across a period of time. The flexibility has made Klarna and other 'buy now, pay later' services like Clearpay (used by M&S, Urban Outfitters and Boohoo) and Afterpay (Bare Minerals, Fenty Beauty, Forever21) a hit with customers. Warning: Erin Phillips, pictured,claims she saw her credit score cut by half after missing payments with online payment service Klarna, which is used by a number of major retailers However debt charity Stepchange warned customers … [Read more...] about Student, 21, issues warning over ‘buy now, pay later’ firms after late payments cut her credit score by HALF – as a debt charity urges companies to be more transparent with customers
To millions living on Britain's most deprived estates, Provident Financial, the company behind the Vanquis card, is the man - and increasingly the woman - from the Provy. This doorstep army arranges cash loans. The typical borrowing is £100 repaid at £5 a week over 30 weeks. The APR on these loans can range up to 170% but although it's in the documentation, for Provy customers the only paperwork that counts is the cash. For those campaigning for better deals for the poor, the Provy represents exploitation of a vulnerable group with some of the highest interest rates outside loan sharks. And it is not alone - other quoted doorstep loan companies include Cattle's, London Scottish Bank and S & U Stores. But the Provy, with pre-tax profits at £202m in 2003, is the largest. Last year it was in the FTSE100 Index of Britain's largest companies and it's still in the top 110 - so it's a shorthand proxy for the door to door loan sector. Its interests include Yes Car Credit … [Read more...] about Provy – a doorstep army under heavy fire