More About The Ocean Credit Card
The Ocean Credit Card is issued by Capital One plc and has an interest rate of 39.9% APR representative variable with no annual fee. There’s an initial minimum credit limit of £200 which can go up to £1500 and the amount offered varies by customer depending on their credit history and financial situation. This is an unsecured card and you are required to undergo a credit check before your application is accepted. There is no sign-up fee. Ocean Finance is a trading name of Intelligent Lending Limited.
How Do I Get Started
Before applying for a credit card, there are a few things you can do to create and improve your credit history:
- Get on the electoral roll. Lenders like to see that you have a stable living situation and this means not moving addresses too often.
- If you have household bills in your name be sure to pay them on time. Some utility and phone bills are reported to the credit reference agency, so itâs worth checking with your service providers for further information.
- Arrange an overdraft facility with your bank â stick to the limit they set and pay it back quickly. This will be recorded on your credit report and shows that you can borrow responsibly.
Featured Secured Credit Cards If You Have No Credit
With a secured card , youâll need to send the credit card issuer a refundable security deposit to open your account. The deposit will generally equal your cardâs credit limit, and it decreases the issuerâs risk because the company can hold onto the money if cardholders donât pay their bills. Sometimes, you can raise your line of credit after opening your card by making an additional deposit.
Secured credit cards used to be one of the go-to options for those with no credit history or bad credit. While there are now more options available, a secured card could still be a good pick if you havenât established credit that you can bring to the U.S., or if you donât have a bank account.
However, the cards are also created for people whoâve made credit mistakes and are rebuilding their credit, and theyâre sometimes loaded with fees and unfavorable terms. Theyâre not all bad, though, and here are some secured cards that you may want to consider:
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- Annual fee: $120
- Welcome bonus:Get 10% cash back for all purchases on your first four statements, or first $2,500 in purchases, up to $250 in cash back). After that, the earn rate becomes 4% on gas and grocery purchases and 1% cash back on everything else.
- Earn rate: 4% back on groceries and gas 2% back on dining, recurring bills and daily transit 1% on all other purchases
- Additional perks: Emergency medical and accident coverage car rental collision and damage coverage mobile device insurance purchase security and mobile device insurance and save up to $0.10 per litre at participating Chevron, Ultramar and Pioneer gas stations when you link your card with Journie Rewards.
- Income required: $60,000 or $100,000 as a household
Here Are The Alternatives To Getting A Credit Card At 1:
- Become an authorized user: Theres no minimum age requirement for authorized users.
- Get a job and wait two years: You can get your own credit card account when youre 18, as long as you have enough independent income for monthly bill payments. You should get a student credit card if you go to college, as they tend to have much better terms than other starter credit cards. A secured credit card is a good backup plan, too.
- Get a debit card: This wont help you build credit, and you wont be able to borrow money. But a debit card linked to your checking account will free you from having to carry cash all the time.
You can get a credit card at 16. You just cant get an account in your own name. But if someone is willing to add you as an authorized user, you can start learning about, using and building credit. And in a couple years, youll be able to get your first card.
No, you cannot get a card from American Express with no credit. The only American Express card for people with no credit used to be the USAA® Secured American Express® Card, but you cant apply for it anymore. They stopped accepting new applications in 2018. Now, there are no American Express credit cards for no credit.
Here are the best secured credit cards for low deposits:
Here are the best Discover cards for no credit history:
Heres what it means to have no credit score:
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Tips For Using Your First Credit Card
Its really important to remember that learning how to get a credit card for the first time and getting approved are only the beginning. You also need to use that card responsibly, which means spending within your means, paying your bill on time every month, and keeping your below 30%.
If you can avoid racking up costly credit card debt and hurting your credit score with missed payments, your first credit card will be a huge asset. It will add positive information to your major credit reports each month. That will gradually improve your credit standing. And better credit will make it easier to rent an apartment, buy or lease a car, find a job, get approved for good loans and lines of credit and save on car insurance premiums, among other things.
You can track your progress for free on WalletHub, the only site with free credit scores and reports that are updated daily. Well even tell you exactly what you need to do to improve your credit score at a given time, plus provide personalized credit card recommendations. You can use them to find your first credit card and then graduate from it when the time is right.
Heres what insufficient credit history means and how to fix it:
You dont need to feel too stressed about having an insufficient credit history. But you should also strive to start building credit as soon as possible. Getting a credit card, making small purchases each month, and always paying your bill by the due date will set you firmly on the credit-building path.
Disadvantages Of A Bad Credit Credit Card
Higher APR
These credit cards usually come with a higher APR.
The annual percentage rate is the total cost of your borrowing over a year. It includes the interest rate youll pay on any remaining debt. And any other standard fees, including annual fees and arrangement fees.
You can avoid paying high interest rates by paying your balance off in full every month.
Low spending limit
These cards often come with a low spending limit. That’s because the lender sees you as a higher risk borrower compared to someone with a higher credit rating.
If you go over your limit, this will negatively impact your credit score. Make sure you know what your limit is and do not go over it.
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How To Improve Your Credit Score
There are a few steps you can take to improve your credit score over time, even if you currently have an adverse credit history. For example:
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Sign up to the electoral role at your current address
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Use bad credit building credit cards or services
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Dont miss any repayments on your debts pay on time and in full
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Dont use more than 30% of your credit limit if possible
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Check for credit record mistakes
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Avoid payday loans
If you find yourself frequently missing payments, or are struggling to cover bills, it’s wise to get speak to your existing lenders or one of the UK’s free, independent debt advice charities¹.
What Do You Need To Get A Credit Card Without Credit
You don’t need a credit history to get a starter card. In some cases, you won’t need a Social Security number. But generally, you’ll need:
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A U.S. mailing address.
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A checking or savings account.
Depending on your age, you might have to meet stricter income requirements to qualify:
If youre under 21: To qualify for a credit card, you’ll need to show that you can make payments on the account independently or get a co-signer, someone 21 or older who assumes the responsibility of your debt if you cant pay the bill.
If youre over 21: Youre still required to report your income if youre over 21, but you have the option to list any income to which you have reasonable expectation of access.
Other requirements can vary depending on the type of starter card. Some examples:
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What Is A No
Also known as starter credit cards, a no-credit credit card is one that doesnt require good credit history for approval. While some no-credit credit cards are specifically for those without a credit history at all, many cards of this type are equally good for people with bad credit.
Starter credit cards tend to have lower credit limits and more restrictions from the credit card company. The credit terms also tend to be stiffer compared with those for a mainstream credit card account: Dont be surprised if you see a steep interest rate.
The good news is that rates and fees for no-credit credit cards tend to be more relaxed than the terms for a bad credit account.
Some no-credit credit cards do come with specific conditions: Student cards may require proof of enrollment at a college, university, or trade school. For secured credit card products, you have to supply an initial refundable deposit, which generally also provides your line of credit.
Along with credit-builder loans and store-issued credit cards, no credit credit cards with instant approval can help people build credit history. While the card issuer you apply with will probably still check your credit, the guidelines for approval are much more forgiving.
Bmo Preferred Rate Mastercard*
For those looking to minimize debt, this $20-a-year Preferred Rate Mastercard from Bank of Montreal is our pick for the best low-interest credit card. The annual fee is refunded in the first year, and a lower-than-average interest rate of 12.99% means you can minimize interest on balances and new purchases. Plus, get a 3.99% introductory interest rate on balance transfers for nine months .
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American Express Simplycash Preferred*
If youre looking for a straightforward cash-back card, look no further. The SimplyCash Preferred Card from American Express offers an easy-to-understand system of 2% cash back on everything you buygroceries, gas, pharmacy, travel, online splurges, and everything between.
At a below-average annual fee of $99, this American Express card offers an edge over Visa or Mastercard cards in the similar rank, as it has no specific income requirements. Theres no earn or redemption chart to figure out, as youre automatically redeemed 2% cash back annually .
Finally, theres a generous 10% cash back for your first three months of card membership , and its free to add additional authorized cardholders. If you shop at retailers that primarily accept American Express cards, this is a worthwhile choice.
- Annual fee: $99
Our Pick For: Those Who Are Unbanked
CARD DETAILS
Security deposit: A $200 minimum deposit is required.
Fees: A $35 annual fee. Depending on your transactions and payments, other fees may apply.
WHY WE LIKE IT
The OpenSky® Secured Visa® Credit Card is a traditional secured credit card ideal for those with poor credit. Among secured credit cards, its one of the few that lets you qualify without a credit check or bank account. It also reports payments to all three credit bureaus and lets you carry an ongoing balance.
DRAWBACKS
The cards minimum $200 deposit requirement may be an obstacle for some. And while the $35 annual fee is on the low end, it’s possible to find secured credit cards that don’t charge an annual fee. The OpenSky® Secured Visa® Credit Card also doesnt offer a path to upgrade to an unsecured card once you’ve established a good payment history, so youll have to close your account if you want to get your security deposit back.
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Can I Convert My Secured Credit Card Into An Unsecured Card
Its easy to convert your secured card to an unsecured one. Usually, all you have to do is pay your bills on time for six to12 months after opening your card account. This type of good behavior prompts most issuers to upgrade you to an unsecured card and refund your security deposit.
Of course, sometimes things dont go to plan. Circumstances may force you to miss payments or pay less than the minimum required.
Secured card issuers rely on your collateral to compensate for any shortfalls. They have the right to withhold your deposit and reduce your credit limit. Repeated offenses can easily prompt issuers to cancel your card and refund whatever collateral remains in your account.
What Is The Easiest Card To Get Approval For
A secured card is the best option if you want to increase your chance of having your application approved. Secured credit cards like the two in this list are almost guaranteed approval because you provide a security deposit for the credit line.
A secured credit card is a lower risk for both the card issuer and the borrower.
Unlike a prepaid card or a debit card, a secured credit card allows you to maintain a revolving balance and pay over time. Another key benefit to a secured card is the fact that the credit card company will report your payment history to at least one major credit bureau to help you build credit.
Typically, secured credit card products have minimal requirements , and many also have easy methods to increase your line of credit whenever you want. All you have to do, in most cases, is deposit more cash into your security deposit and your credit line increases.
If youre rebuilding credit or building credit for the first time and want a guarantee of approval and no credit check, a secured credit card is your best option.
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What If I Have No Credit History
A credit builder card could be a good option for you. Credit cards to build credit offer a way to improve your credit score over time. They may not offer huge tangible benefits to you straight away, but what they will do is demonstrate to credit providers that you can responsibly use credit you can be given it, and you will pay it back on time. This will lead to a credit provider trusting you with more lucrative credit cards in the future.
Capital One Platinum Secured Credit Card: Best Credit Line Growth For People With No Credit
Why we picked it: With the Capital One Platinum Secured Credit Card, you have the opportunity to raise your credit limit after your first 6 months of on-time payments and responsible use, which is a solid feature for a credit-builder card.
Pros: As a Mastercard, this product is widely accepted worldwide, making it extraordinarily convenient when traveling.
Cons: Theres no sign-up bonus, no ongoing rewards, and the regular APR is a super high 26.99% , making it a poor option for carrying a balance.
Who should apply? If you can avoid carrying a balance month-to-month, this card makes for a strong starter card with the possibility of a higher credit line down the road.
Read our Capital One Platinum Secured Credit Card review.
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Can You Get A Credit Card With No Bank Account+
It will be very difficult to get a credit card without a bank account. Even most cards backed by a deposit require you to have a bank account. One exception is the OpenSky Secured Visa: You can pay your security deposit via money order or have someone send the issuer a check or transfer on your behalf.
Opensky Secured Visa Credit Card: Best For No Credit Check
Why we picked it: The card doesnt require a credit check, so you wont risk your score in applying. You dont even need a bank account: You can pay your security deposit via check, Western Union or money order.
Pros: If you need to carry a balance, the cards 17.39% APR is relatively low. If you have extra funds to put down, you could secure a credit limit as high as $3,000, which can be helpful in building your credit score as a high limit can improve your credit utilization rate.
Cons: The card does charge a $35 annual fee and lacks any rewards-earning capabilities.
Who should apply? The card is a good option for people with bad credit who anticipate carrying a balance from time to time, as its APR is one the lower side for this card category.
Who should skip? If youre looking to earn rewards, look into other options, like the Discover it® Secured Credit Card.
Read our full OpenSky® Secured Visa® Credit Card review or jump back to this cards offer details.
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How To Get A Credit Card With No Credit
You can follow these steps to apply for credit cards with no credit check: