Getting your first credit card
Your first credit card can give you a chance to build up a credit history safely. Read on to find out if a credit card could be right for you.
Representative
37.9% APR (variable)
Your first credit card
If you plan to apply for a credit card but haven’t had any credit before, it can be difficult to show you can manage your money well.
Responsible lenders will often check your credit history to see whether you’re likely to be able to repay the money you borrow. Without a credit history, those lenders might see you as a high-risk borrower.
Some credit cards are specifically designed for people who have little or no credit history, or even a poor credit history. These cards are also called starter cards or credit building credit cards.
If you have a poor or limited credit history, these cards can be slightly easier to sign up for than standard credit cards. They do sometimes come with a higher rate of interest and lower credit limits though, so this is something to bear in mind.
How to get your first credit card
When you apply for your first credit card, your chances of being accepted often depend on your personal situation, the type of card you want and the lender you’re applying with.
Some lenders won’t approve people with a bad credit history as their cards are only available to those with good credit scores.
Applying for a first credit card is designed to be straightforward and you can often do it online. Usually, you’ll need to provide the following info:
- Your name
- Your address (if you haven’t done so already, you might want to think about signing up to the electoral register to improve your chances of being accepted)
- Your date of birth
- Your annual income
- Your employment status/details
- Your current account details
- A valid email address/contact number
Who can apply for a first credit card?
Before you apply for your first credit card, you need to make sure you fit the lender’s criteria.
It’s worth keeping in mind that even if you meet the minimum requirements, this doesn’t guarantee your application will be approved. Some lenders might also need you to be in full time employment and earning over a certain amount each year.
Consider checking your credit score before you apply, because even a limited credit history could put you in the bad credit category.
Some credit card providers won’t lend to people with a poor credit score – and a rejected application can damage your chances of getting other credit.
What’s my credit score?
Each credit reference agency has different criteria for scoring, so your own score will vary from one agency to another.
- Equifax scores from 0 (poor) to 1000 (excellent)
- Experian scores from 0 (very poor) to 999 (excellent)
- TransUnion scores from 0 (very poor) to 710 (excellent)
*This info is correct as of October 2024.
When you apply for credit, the lender checks your credit history with one or more of the three main credit reference agencies. Sometimes, they might even check with all three agencies.
Next, the lender uses this info and your application details to give you a credit score based on their own lending criteria.
This score helps decide whether you’ll be approved for credit, as well as which product you might be offered if you’re accepted. If your credit score is low, you may only be offered a high-interest loan or a high-interest credit card.
Different lenders have different ways of scoring, so rejection from one lender doesn’t always mean you’ll be turned down by another.
If your application is accepted, it’s important you know how to use a credit card responsibly. Remember to make repayments on time and keep within your agreed limit.
Am I eligible?
To find out if you’re eligible for a Vanquis Credit Card, you can apply online using our simple eligibility checker. It should only take around 60 seconds and you can do this if:
- You’re at least 18 years old
- You’re a UK resident
- You’re not legally restricted from getting credit – for example, because of bankruptcy
- You don’t already have a Vanquis Credit Card
How to apply for your first credit card
The quickest and simplest way to apply for a Vanquis Credit Card is to spend 60 seconds completing our eligibility checker. You’ll get an instant decision about your eligibility, with no negative impact on your credit file.
When applying for your credit card, it might be worth considering the following things:
Register on the electoral roll
Credit checks are used to protect against fraud, so being registered on the electoral roll is a simple way to prove you are who you say you are. Find out more on the UK Government website.
Check and correct any mistakes on your file
Your credit score can be negatively affected if there are any mistakes on your credit file, like a mistaken missed payment or a wrong address. Check everything is up to date and fix any mistakes.
To correct a mistake on your credit file, get in touch with the relevant lender and Credit Reference Agency (CRA) to flag the error, providing as much supporting evidence as possible.
Pay your bills on time and avoid missing a payment
To show lenders and credit reference agencies you can manage credit responsibly, make sure you avoid missing payments or making them late.
You could improve your credit score by keeping up with payments on phone contracts and other regular bills for goods or services.
Consider getting a credit building card
A credit building card, also known as a ‘bad credit credit card’, is designed for borrowers with a poor credit score or no credit history.
When you get a credit card for bad credit, it might come with a low borrowing limit and high interest rate. This is to make it easier for you to pay off what you owe each month and avoid falling into debt.
Use 'soft searches' when you apply for new credit
Some lenders use a ‘soft search’ to give you an early idea of your eligibility for their credit card. A record of this ‘soft search’ is listed on your credit file for 12 months but other companies can’t see it. This means your credit score isn’t affected.
A ‘soft search’ doesn’t provide a guarantee a lender will accept you. But it will give you a good idea whether you could be successful if you carry on with the full application.
If you do continue, your lender will do a ‘hard search’. This is likely to affect your credit score, even if your application is successful.
Remove incorrect or old defaults, County Court Judgments (CCJ) or bankruptcies
If you miss a payment, this will be noted on your credit file for six years. If you miss multiple payments and your account defaults, the default will also stay on your credit file for six years. The same applies for CCJs, Individual Voluntary Agreements (IVAs) and bankruptcies.
If your credit file shows any record of a default, CCJ, IVA or bankruptcy after six years has passed, you may wish to check if it’s possible to remove these from your file.
Check out our guides on CCJs, IVAs, bankruptcy discharge and improving credit scores to learn more.
Reduce your debt levels
Paying off existing debts can help show lenders you’re managing your credit responsibly. Relying too much on debt can damage your credit score, so it might be worth trying to limit your use of credit.
Common credit card types
Although most credit cards do the same thing, many cards have different functions and are used for varying reasons.
Some of the most common credit card types are:
Credit building credit card
These cards are designed to help people with no credit history or a poor credit score improve it over time through responsible use. For example, paying on time and staying within the credit limit.
The criteria for getting these types of credit cards are often less strict, though they may come with higher interest rates and lower credit limits. This can help banks reduce the risk of lost capital for potentially high-risk borrowers.
Check your eligibility
The Vanquis Credit Builder Credit Card falls into this category and could help you build your score, even if you’ve got a limited credit history.
Representative 37.9% APR (variable)
Rewards cards
Rewards credit cards offer benefits when you use the card. This often means spending at certain places or buying a particular product.
Depending on the card provider, you can get cashback, vouchers or points as a reward for using the card. But it’s important to be aware of your spending and not abuse your credit for the rewards.
Money transfer cards
Money transfer cards let you move money from a credit card to an existing current account. They are often used to cover a transaction when paying by card isn’t an option.
Then, you make payments towards your borrowing, like you would any other credit card. As well as the money transfer feature, these cards can usually be used as normal credit cards too.
Travel credit cards
Like rewards cards, travel credit cards let you earn points on your spending that can go towards travel expenses – helping you save money and build up points for a trip.
But it’s important not to overspend on these cards, as poor credit management could leave you in a difficult financial situation with mounting debt and fees.
Balance transfer credit cards
Balance transfer cards allow you to consolidate your credit card spending onto one credit card. This can make it easier to keep track of what you owe and manage your repayments more effectively.
Once you’ve transferred your outstanding balances onto the card, you can usually use it as you would any other credit card.
If you’re getting your first credit card, you probably won’t need one with a balance transfer offer as you won’t have an existing balance to transfer.
Check your eligibility
Interested in a balance transfer card? The Vanquis Balance Transfer Credit Card lets you consolidate your debts to help you manage repayments.
Representative 40.9% APR (variable)
How first-time credit cards work
Credit cards give borrowers an agreed amount of money to spend, which the borrower must then repay over a period often including added interest.
When you borrow on a credit card, you need to pay at least the minimum payment amount each month. If you don’t, you could be charged late payment fees, interest will build on your remaining balance and it may negatively impact your credit score.
If you pay your statement balance in full (on or before the due date shown), you won’t be charged any interest on your balance.
Please be aware, different types of transactions – like balance transfers and cash transactions – might have different rules. So, consider double checking what type of transaction you’re making.
A first-time credit card is usually designed for people with little or no credit history, or borrowers who have a lower credit score. These cards usually come with a smaller credit limit and a higher rate of interest. But this often depends on your income, employment situation and other factors the lender will assess.
The low credit limit is to help you keep your debt small and manageable. The high interest rate helps compensate the lender for the added risk of lending to someone with a low credit score or no credit history. That’s because these borrowers may be more likely to pay late or miss payments completely.
Your first time getting credit
If you’re applying for credit for the first time, the best option will depend on your personal situation.
With an eligibility checker, you can find out if you’re likely to qualify for a card before you apply. This can be important because every application you complete could affect your credit score, making it harder to get a card.
With our eligibility checker, we do a ‘soft credit search’. It can give you an online decision in minutes, with no negative impact on your credit file. We’ll take a few details from you, then do the credit check to see whether we’d be able to offer you a credit card.
This initial decision isn’t a guarantee you’ll be approved for a credit card, but it will give you a good idea whether it’s worth going ahead with a full application. If you do decide to apply, we’ll then do a full ‘hard credit check’ before we make a final decision.
Remember, we’re here to help. Please let us know if there’s something you don’t understand.
How to choose your first credit card
When you apply for your first credit card, it’s important to think about the following things:
Representative APR
APR stands for Annual Percentage Rate. Representative APR is the rate a lender will offer to at least 51% of people who are accepted for that product.
People may be offered a different APR based on their personal circumstances and credit score.
Credit limits
The credit limit is the maximum amount of money you can borrow on your credit card.
To help you borrow without getting into difficulties, your first credit card limit is likely to be relatively low. On Vanquis Credit Cards, the limit will vary and be tailored to your circumstances.
The good news is, your lender might increase your credit limit if you make repayments on time each month and become eligible for a credit limit increase. Try to avoid going over your credit limit though, as this can damage your credit score.
Minimum payments
This is the lowest amount you must repay every month to avoid late fees and charges. The minimum payment amount will depend on your card’s interest rate and how much you currently owe on it. You don’t pay a minimum payment if you don’t owe anything on your credit card.
Fees and charges
Some credit cards come with certain fees and charges, which may include monthly and annual interest charges or late repayment fees.
Your card’s fees might also depend on how and when you use it. For example, you may need to pay additional fees and interest if you use your card abroad for purchases or to withdraw cash.
Rewards
Our ‘Refer a Friend’ scheme allows Vanquis customers to refer family and friends for one of our credit cards.
When someone you refer becomes a Vanquis cardholder, activates their card and starts spending, both of you will receive £25 in your Vanquis accounts (subject to terms and conditions).
Tips for using your first credit card
When using your credit card for the first time, there are a few things to consider:
Start with small, manageable payments – To understand what it’s like to spend on a credit card and make your repayments, you could start with small transactions.
This way, you can get a feel for what it’s like to use the credit card while minimising the risk of overspending, making late payments or interest building.
Avoid late payments – When you do spend on your credit card, make sure it’s paid back on time to avoid additional charges.
Track your spending – When you use your card, consider keeping track of how much you’ve spent. This could be through your banking app, reviewing statements or keeping a personal log.
Why choose Vanquis?
We're the bank that's got your back.
We lend to a much wider range of customers than the high street banks.
Our eligibility checks give you confidence you’ll only be accepted for a credit card if you can afford the repayments and the APR is right for you.
All our credit cards are easy to apply for and simple to manage through our app.
We've helped over 5 million people and we're ready to help you.
Check out our Trustpilot reviews to read what our customers say. Why not join them and apply online today?
Frequently Asked Questions
What happens when I apply for a credit card?
When applying for a credit card, we recommend starting with our ‘soft’ eligibility checker. It won’t affect your credit score and it gives you an idea of the credit limit and interest rate you might be offered.
Once you’re happy, and we’ve said you’re eligible, we’ll do a ‘hard credit check’ on your credit file and make an offer.
This is how it all goes…
- Check if you’re eligible in minutes
- We’ll review and give an instant decision
- Complete and submit your application
- Once all the info’s been confirmed, look out for your card in the post
- Download the Vanquis app and get started on your credit journey
What if my application is rejected?
If your credit card application is rejected after a ‘soft’ or ‘hard’ check on your credit file, it doesn’t necessarily mean the end for your credit journey.
Banks, lenders or card providers may point you towards a card that’s more suited to your needs or financial situation.
This might mean recommending a credit building credit card – that comes with a higher interest rate and lower credit limit – to help improve your credit score if you have bad, or no credit history.
There are also things you can do to build your own credit score. This includes not defaulting or missing your minimum monthly repayment on any forms of credit, consistently paying bills on time and registering yourself on the electoral roll.
The Vanquis Credit Builder Credit Card could help you improve your credit score and potentially mean you’re approved for other forms of credit with lower interest rates in the future – if managed responsibly.
How long does it take to get a credit card?
After a ‘soft’ or’ hard’ eligibility check – which can take just a few minutes – you can be approved for a credit card the same day. But your actual card may take 7 to 10 working days to arrive.