Building a credit history from scratch or recovering from bad credit can be challenging but choosing the right credit card can make a big difference. Vanquis Bank specializes in offering credit builder cards designed for people with little to no credit history or those looking to improve their credit scores after defaults or bankruptcy.
The Vanquis Credit Builder Card is a popular option for beginners, thanks to its relatively easy eligibility criteria and user-friendly features. However, like all financial products, it has its pros and cons.
In this review article, we will analyze the Vanquis Credit Builder Card’s features, benefits, drawbacks, customer reviews and how it compares to alternatives. Read the complete article to know whether it’s the right card. Is Revolut a Credit Card
Key Features of Vanquis Credit Builder Card
The Vanquis Credit Builder Card is designed to help users establish a credit history while maintaining manageable spending habits. Here are its key features:-
- Credit-building purpose – Suitable for those with a poor credit history.
- Starting credit limit – Ranges from £150 to £1,200, with the potential for increases over time.
- No annual fee – Reduces the overall cost of using the card.
- No foreign transaction fees – A rare feature among credit-building cards.
- Mobile app – Allows users to track spending, receive alerts, and manage their accounts easily.
- Soft credit check for eligibility – Lets applicants check their chances of approval without affecting their credit score.
- Up to 56 days interest-free on purchases if the balance is paid in full every month.
The Vanquis Credit Builder Card provides essential credit-building benefits. It’s important to weigh its pros and cons before making a decision.
Pros of Vanquis Credit Builder Card
High Approval Rate
The card is designed for individuals with little or poor credit history, making it accessible to many applicants.
Soft Credit Check for Eligibility
Before applying, you can check your approval chances using a soft credit check, which won’t impact your credit score.
No Annual Fee & No Foreign Transaction Fees
Many credit-building cards come with maintenance charges, but Vanquis keeps costs low by not charging an annual fee. Additionally, it allows you to make international transactions without extra charges.
Mobile Banking & Payment Alerts
The Vanquis mobile app helps users track expenses, manage payments, and receive notifications to avoid late fees.
Purchase Protection
Like many credit cards, Vanquis offers protection on eligible purchases, adding an extra layer of security to transactions.
Potential for Credit Limit Increases
Vanquis may gradually increase your credit limit over time if you use it responsibly, make payments on time and stay within your limit. Pulse Credit Card Reviews
Cons of Vanquis Credit Builder Card
High-Interest Rates (34.5% – 39.9% APR)
The Vanquis card comes with a very high APR, meaning carrying a balance can lead to expensive interest charges. If you don’t pay your balance in full each month, your debt can quickly become unmanageable.
Additional Fees
Late payments, exceeding your credit limit, or withdrawing cash will incur additional charges. These fees can add up and negatively impact your finances.
Low Starting Credit Limit
The initial limit is capped at £1,200, which is lower than some competing credit-building cards.
No Cashback or Rewards
Unlike some competitor credit cards, Vanquis doesn’t offer cashback, rewards, or perks for using the card.
Risk of Unexpected Interest Rate Increases
Some customers have reported unexpected increases in their interest rates, making it more expensive to use the card over time.
No Balance Transfer Option
Unlike some other credit-building cards, Vanquis doesn’t allow balance transfers, which could be useful for consolidating debt.
Vanquis Credit Card Vs Other Cards
When choosing a credit-building card, it’s essential to compare options to find the best fit for your financial needs. Here’s how the Vanquis Credit Card stacks up against its competitors in terms of interest rates, benefits, and credit-building features.
| Credit Card | Key Features |
|---|---|
| Barclaycard Forward | – Lower APR (33.9%) with reductions for on-time payments. – No foreign transaction fees. – Potential for a higher initial credit limit. |
| Tesco Foundation Card | – Helps build credit while earning Clubcard points. – Lower APR for responsible users. – Cashback potential with Tesco purchases. |
| Asda Money Select Credit Card | – Offers cashback on supermarket purchases. – Interest rates may be lower for some applicants. |
| Wollit Credit Builder (Alternative to Credit Cards) | – Not a credit card but a subscription-based credit builder. – No risk of interest charges or hidden fees. – Reports fixed payments to improve credit history safely. |
If you are looking for a credit-building card with rewards or lower APR, Tesco Foundation or Barclaycard Forward might be better options.
Customer Reviews & Ratings
Trustpilot Rating: 4.3/5 (33,000+ reviews)
- 82% of reviews are 5-star, praising high approval rates and customer service.
- 1-star reviews mention unexpected interest rate hikes and difficulty closing accounts.
Credit Card Satisfaction Score: 62%
- Ranked 26th out of 31 credit card providers.
- Score reflects high fees and limited benefits.
Common Positive Feedback
- Simple application process.
- Good for first-time credit card users.
Common Negative Feedback
- Sudden increases in interest rates.
- Issues with customer service.
Is the Vanquis Credit Card Worth it?
The Vanquis Credit Card can be a stepping stone to improving your credit score if you have a poor or no credit history. However, it’s important to use it responsibly by paying off your balance in full each month to avoid high interest charges.
The high APR, low credit limit, and lack of rewards mean there are better alternatives available. If you are looking for a card with perks or lower interest rates, Barclaycard Forward or Tesco Foundation are better choices. 10 Best Start up Business Credit Cards
Conclusion
The Vanquis Credit Builder Card is a decent option for people looking to improve their credit, but its high fees and lack of perks make it less appealing than some competitor cards.
Check your eligibility for the Vanquis Credit Card before applying
If you have any question make sure to write in the comment section.Also if this article is helpful for you plases do share it with your friends.
Is the Vanquis Credit Card good for building credit?
Yes, it can help improve your credit score if you use it responsibly and make timely payments.
What is the interest rate on the Vanquis Credit Card?
The APR ranges from 34.5% to 39.9%, which is higher than some other credit-building cards.
Does Vanquis charge an annual fee?
No, the Vanquis Credit Card does not have an annual fee or foreign transaction charges.
Hello! I’m Ella Patel, a blogger based in India with a strong specialization in the finance sector. My journey into the world of finance and writing is a blend of academic achievements and professional experiences, which I am excited to share with you
