The rising cost of living has led to an increase in credit applications across the UK. Therefore, a large number of people seek to improve their credit scores to succeed in their application. Luckily, even low scores can be improved by learning how to manage monthly bills. Credit generator credit cards can be ideal for this! Here are three cards that could help improve your credit score and ensure your financial flexibility in these difficult times.
1. Tesco Bank Foundation Credit Card
The Tesco Bank Foundation Credit Card offers a minimum credit limit of just £250, making it a fantastic choice for anyone who wants to limit the amount they can borrow. Additionally, applicants are not required to have a good credit score, meaning you can apply for the card even if your score isn’t in great shape.
Compared to other credit cards, the Tesco Bank Foundation credit card has a low APR of 27.5%. As a result, the card is a safe option for users who have a history of late payment.
In addition to the excellent APR, the Tesco Bank Foundation credit card has no service charge. it also allows users to access Tesco Clubcard benefits, which could help you save money when shopping! Cardholders also have access to Noddle support services that can help them fix a low credit score.
2. Visa Vanquis classic credit card
The Vanquis Visa Classic card offers one of the lowest credit limits on the market! Users can cap their spending at £150, which prevents them from going into too much debt.
The card is a great stepping stone for those looking to improve their credit and perhaps apply for slightly more competitive cards in the future. With a high APR, users are incentivized to repay credit on time and to adopt good credit habits.
While going for a high APR card might seem like the worst choice, the threat of high interest rates may force you to be more careful with your card. If you manage your Vanquis card well, you could qualify for a credit limit increase of up to £4,000. This could be incredibly useful as the cost of living continues to rise. The Vanquis Visa Classic credit card is designed for building credit. Therefore, you do not need to have a good credit score to apply.
3. HSBC Classic Credit Card
If your credit score is in bad shape, this could be a great choice for you! The HSBC Classic credit card offers a fairly low APR and is designed to get your credit score back on track. The card has no annual fee and offers a manageable credit limit of £250 to £1,000. The card also comes with a wide range of discounts and offers that could make it easy for you to eat out, shop, and do more of the things you love.
Cardholders can access their accounts through a simple mobile app, making it easy to track their score. Plus, the HSBC Classic card offers an impressive 56-day interest-free period on purchases. Therefore, users have more time to repay their loans without accruing interest.
Things to consider before rebuilding your credit score with a credit card
While using a credit card is a great way to rebuild your score, using any type of credit card comes with risks. When using a credit generator, your score will only increase if you make payments on time and your credit usage remains low. If you’re struggling to repay what you’ve borrowed or spent over your limit each month, it could have an even bigger negative impact on your score.
If you’ve ever had trouble making credit payments on time, it’s best to apply for cards with low credit limits. This will cap the amount you can spend, helping you avoid spending more than you can afford. It’s also wise to make the most of message notifications and use them as reminders to pay your bills.
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