Shopping via catalogue credit is going strong nowadays; with various payment methods and offers that suits mostly everyone’s needs.
However, as we already know, getting approved for an account on a specific catalogue with credit requires a good credit score, which could be hard to achieve for some of us.
Most catalogue companies perform a credit rating check; to determine your reliability and your ability to pay off your balance. Which could stand in your way if you have bad rating, thus making it harder for you to benefit from one of the most convenient ways to shop nowadays.
Having catalogue credit could be beneficial in many cases, it can help you buy an important item you need and pay later in monthly or weekly installments. You can buy that fridge you want, or get Christmas gifts for your family and friends and pay when you get your pay check. When buying via catalogue credit you will get what you ordered straight away, and you are not obligated to pay the full price instantly. Rather, you will be able to repay the price later in the form of monthly or weekly installments.
However, having bad credit rating will reduce your chance of getting catalogue account approval.
Bad credit could occur due to never borrowing before, or it could be due to failing to repay your installments in the past.
However, don’t give up just yet. Some catalogue companies offers credit accounts for people with bad credit rating, and allows them to divide the cost of their item on a given period of time. Most of these catalogue companies offer different payment methods such as paying weekly, monthly or buy now and pay later. Of course, you will have to build up your credit profile so you can get more credit to buy products that are more expensive.
You will find companies offering no credit checks; however, these companies charge more hefty interest rate than average catalogues, which could break the bank and nobody wants that. Which means that you will have to go that extra mile and search for companies that offer bad credit catalogues, to enjoy the comfort of shopping via Credit catalogues without the overwhelming interest.
Now you may be asking yourself, how your credit score is determined? Catalogue companies calculate your credit score based on your credit history, and you could end up with low rating in two cases.
The first trigger will be if you failed in the past to repay your credit on time, such as missing your mortgage due date or missing installments for other catalogues or credit cards. In the future, when using catalogue credit, you have to make sure not to exceed your credit limit, and use direct debit to repay your installments and not miss any payments.
Second case trigger can be if you didn’t have and credit history such as such as loan accounts or credit cards. Stupidly this This creates a doubt in your credibility to repay your installments in the future.
These days there are catalogues that accept customers with bad credit. Bad credit catalogues can be a great way to rebuild your credit history, thus increasing your credit rating. Bad credit catalogues offers smaller credit usually with high interest rates, which you can use it to buy the items you need and in the same time increase your credit rating by repaying in time.
Getting a catalogue credit account
You can get a catalogue credit account either through applying for catalogue before you start shopping, or apply for credit account after putting the items you want in your cart.
Ensure you list your information accurately. On completion you will receive an email showing whether your account is being accepted or not. If your account is accepted then good for you, you can start shopping immediately. Simply complete the last step to receive the items you have chosen and wait for delivery. The cost of your items will be divided into monthly or weekly installments, for a given period of time determined by the product price, terms and conditions of the catalogue company and your credit score.
If you have bad credit rating, your account could be rejected. But there is always hope; since many catalogue companies have more forgiving credit check process. However, you will have to be careful, as getting rejected when applying for catalogue credit while having bad score could weaken your credit rating even more.
Hence, you will have to do your home work first, and check for catalogues that approves customers with bad credit rating.
Our recommending Bad Credit Catalogue with a Guaranteed £2500 Credit is Accepted Credit.
In most cases, having bad credit rating because of never borrowing before could make it easier to be accepted by bad credit catalogues, and you should seize the chance to start building your credit rating.
If you want to succeed in building your credit rating, you have to be patient and consistent; as it can take a long time. You have to pay on time, and make sure not to miss any installments.
Bad credit catalogues can give you approval if your bad credit rating is due to bad credit history such as missing installments in the past. However, you will have to prove you credibility this time, as missing payments this time around could make your credit rating even worse, and lower your chances of being approved in the future.
In this case, the catalogue company will ask for higher interest rate, and you will be given lower than average credit. If you are determined in building your credit, you will have to take baby steps.
Advantages and disadvantages of bad credit catalogues
As we already mentioned, catalogue companies are usually the best way to build your credit history, as they have higher acceptance rate than other lenders.
Bad credit catalogues may be the best way to get your hands on what you need in the moment, and pay later according to the catalogue company terms and conditions. Which you have check before making any move or taking a decision to apply to this specific company; to make sure first that those terms and conditions suits your personal financial situation. As you don’t want to end up with lower credit rating, if you accept terms that puts you in a situation where you will have to pay more than what you can afford, or repay your installments before you are capable of repaying.
Repairing a bad credit rating situation takes patience, and you have to be smart when taking this step. Thus, enjoying the full benefit of catalogue shopping in the future. This includes larger credit and better interest options. Let us not forget about the ability to buy more expensive items such as jewelry or fancy household items.
You can check different options offered by bad credit catalogues, as some catalogues offer a zero-interest plan in case you repay your installments in a specific period of time, which is usually doesn’t exceed a couple of month.
Another 0% Interest Free Bad Credit Catalogue is Accepted Credit.
Other bad credit catalogues offer long repayment period that can spread out for a couple of years. These catalogues could be a great opportunity if you are making long-term investments and you are low in cash. Although if you choose to go with this option you will be stuck with the low credit you have been given for a long time, and you won’t be able to fully benefit from your catalogue shopping experience.
Although bad credit catalogues could be a great opportunity for a lot of customers on many levels, they can be a burden in many cases.
Bad credit catalogues usually ask for high interest rate on your credit, which could up to 58% in some Bad Credit Catalogues. If you think about it, that could make the items price way higher than average, making regular shopping more tempting, in case you have enough cash. Nevertheless, it’s still a great option if you are out of cash, especially if you managed to build your credit rating. In that case, you will enjoy better paying options, lower interest rate and higher credit.
Furthermore, bad credit catalogues usually comes with heavy penalties. Consequently, failing to repay installments in time could form an extra burden. And we can’t forget the high interest rate that we have to pay in the first place.
So what makes bad credit catalogues that appealing?
We all had those moments when we are in the middle of a financial dilemma; we need something but we are low in cash, or that situation we face every Christmas when we have to buy tons of gifts.
That leaves us thinking for days without finding a way to secure the cash we need, yet all our efforts go in vein. That’s when you start thinking that buying on credit is the way to go, and you start searching for lenders. Except you remember that you haven’t faced that problem before, thus you had no credit account before.
Or you are in that situation where you failed before to repay your credit in time, and you think that no one could lend you now.
Fortunately, in both cases bad credit catalogues could be the answer to your prayers.
Bad credit catalogues don’t require credit check, so you can easily get accepted in one. By putting in consideration the risks that we mentioned above, and choosing the catalogue that suits you, you can build your credit history.
You will need to have a regular income and an active bank account, beside you will have to provide your accurate information about your income and where you live. It’s that easy, and you can start shopping with no hassle.
If your credit rating is not that low but you are still not eligible to regular credit catalogues, you can get higher credit in bad credit catalogues, and start building your way up.
Using bad credit catalogues is always a great way to rebuild your credit. Checking the terms and conditions of bad credit catalogues before applying is the place to start. Set your needs, and determine what you can afford. Then choose the plan that suits you.