Credit card an option with a poor credit record?

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keepon

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I ran into difficulty following pay cuts and the banking crisis some years back. One consequence was that I entered into an arrangement with a credit card lender to freeze the debt, which at the time financial advisers were recommending. I wasn't aware that this would result in each of my repayments being labelled in bold type on my credit report with 'revoked credit card'.

I only discovered this after I had settled in full -- and I thought amicably -- with the bank some years ago. The payments ended in early '21, so a bunch are still visible at the end of my credit report. I attempted to apply for another credit card with Avantcard in '22 and this was declined. Now, that credit check also shows on my record -- I'm not sure if that also is counted as a negative flag.

Over the last 10 years, I have a solid credit union borrowing and repayment record, with no arrears. I have no other arrears, own my own house, and have no mortgage or other borrowings, and no dependants.

My question: is there any point applying for a credit card before the full five years is up and the 'revoked' line is erased? I don't want one for actual borrowing -- purely for convenience when travelling and especially for car hire and hotel check-ins, so I don't mind having a card with a higher/punitive interest rate for having been naughty, if that's a thing.

I was thinking of applying for a Revolut CC on the basis of their many email invitations, but I don't want to risk another dead-end credit check, with no subsequent history, showing on my report.
 
keepon said:
Over the last 10 years, I have a solid credit union borrowing and repayment record, with no arrears. I have no other arrears, own my own house, and have no mortgage or other borrowings, and no dependants.
Click to expand...

To be honest once you have a 'black mark' in the previous 5 years automated checks will fail you no matter how good your record is before or after that.
 
Plus 1 to what Savvy said, the automated checks will fail you. Don't worry about the Avantcard enquiry. Just wait until early 2026, and then check your credit report to make sure it's clear. If it's clear, then apply, and most likely you'll be successful.

In the mean-time, a Revolut card with a decent sum loaded on to it, say €5k, can often be used for car rental in some countries, e.g. USA, but it's not guaranteed. Book a modest car, pre-pay online with your Revolut card, and make sure to take out the Damage Waiver. This reduces the deposit that the rental company will put on your card, and increases chances of success at the rental counter.
 
Do you actually need a credit card?
What can you not do without one?
As far as I recall maybe the only thing is car rental?
I've been meaning to seriously consider ditching mine as I see no need for it but I keep putting it off for no good reason... :rolleyes:
 
TLO said:
In the mean-time, a Revolut card with a decent sum loaded on to it, say €5k, can often be used for car rental in some countries, e.g. USA, but it's not guaranteed.
Click to expand...
I did this with a Revolut debit card for a hotel stay in the US last year. The full dollar balance was debited from my account as a deposit.

Unlike a “hold” on a credit card this was actual money in their account and not mine, and didn’t hit my account again for maybe two days after checkout.
 
So I think the key word here is 'automatic'. Computer will say no when it sees those entries. I'll wait, as suggested. Not the end of the world.

I don't absolutely need a credit card, but sometimes it's more convenient to have one when renting a car or checking in. I had a situation in Portugal where we had a standoff when we tried to check in using a debit card. We had to stand our ground -- basically refusing to leave! -- until they relented.

I have a Bunq pre-pay 'credit card' (which I would have thought was an oxymoron) for these purposes but have yet to try it for car rental.
 
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