What is credit builder?
- Will creditbuilder improve my credit rating?
- How much does creditbuilder cost?
- Will I get the £59.40 on my card?
- What does APR mean?
- What is the APR on the loan?
creditbuilder and your cashplus prepaid gold MasterCard
- Can I still use my cashplus gold card as normal?
- Can I have creditbuilder on a flexiplus account?
- Can I switch from my flexiplus to an activeplus account?
- How is this different to a ‘normal’ activeplus account?
- Can I have creditbuilder on an additional card?
- How many accounts can I have with creditbuilder?
- Can I renew my creditbuilder agreement, after completing the first 12 months?
- What happens if I do not renew my creditbuilder agreement?
- How do I know if I am a fully verified cashplus customer?
Applying for creditbuilder
- What are the acceptable proofs of identification?
- Where do I send my application form?
- How do I know when/if I have been accepted onto creditbuilder?
- Can I cancel my creditbuilder agreement?
Credit ratings
- What is a credit rating?
- Can creditbuilder have a negative impact on my credit rating?
- When is my credit rating updated?
- What happens if I miss a monthly payment?
- Can I pay back my loan early?
- What is a credit bureau?
What is credit builder?
Will creditbuilder improve my credit rating?
creditbuilder is a loan of £59.40, which is repaid with 12 monthly payments of £4.95. When you have successfully satisfied the loan, it will be reported to the Credit Bureau, and your credit history will be adapted accordingly. The more loan and credit products you have successfully satisfied, the better your credit rating will normally be.
How much does creditbuilder cost?
You will not face any extra charges by adding creditbuilder to your cashplus gold account. You pay NO interest on the loan and there are NO administration charges – you just keep paying the regular £4.95 monthly fee for 12 months.
Will I get the £59.40 on my card?
The £59.40 loan is to pay for one year’s use of your cashplus card. The money is only available for this purpose. As soon as your creditbuilder agreement is approved we will credit your cashplus account with £59.40 and then use this to pay your next 12 months cashplus fees. For each of the following 12 months we will then deduct the normal £4.95 monthly fee from your cashplus account and use it to repay your creditbuilder loan.
What does APR mean?
APR is the Annual Percentage Rate. It is an expression of the effective interest rate that the borrower will pay on a loan, taking into account one-time fees and standardising the way the rate is expressed. In other words the APR is the total cost of credit to the consumer, expressed as an annual percentage of the amount of credit granted. As the APR for creditbuilder is 0.0%, when you are loaned £59.40 for creditbuilder, you only pay back £59.40.
What is the APR on the loan?
The APR on the creditbuilder loan is 0.0%. You do not pay any interest on the £59.40 loan. You just make the 12 monthly payments of £4.95 as you would normally do with an activeplus cashplus gold account.
creditbuilder and your cashplus prepaid gold MasterCard
Can I still use my cashplus gold card as normal?
Yes. When you have a creditbuilder loan it will not affect how you use your cashplus gold card. You can continue to use your card wherever you see the MasterCard acceptance mark, whether it is to shop online, in stores or to withdraw cash from ATMs at home or abroad.
Can I have creditbuilder on a flexiplus account?
As you have to make monthly payments of £4.95 for creditbuilder, it is only available on an activeplus cashplus gold account.
Can I switch from my flexiplus to an activeplus account?
Yes. Just call our customer services team – see the number on the back of your card.
How is this different to a ‘normal’ activeplus account?
Creditbuilder is different as we report on your monthly payments to the credit bureau. And we have loaned you the fees for 12 months usage of your cashplus card. With a ‘normal’ activeplus account, you simply pay your fees and we don’t report to the credit bureau.
Can I have creditbuilder on an additional card?
creditbuilder can only be applied to primary cardholders. Additional cardholders can continue to use their card(s), however, creditbuilder will not have an affect on their credit rating.
How many accounts can I have with creditbuilder?
You should only need one creditbuilder account to start improving your credit rating.
Can I renew my creditbuilder agreement, after completing the first 12 months?
Yes. You will be invited to re-subscribe to creditbuilder as soon as you have satisfied their initial term. You can carry on for as long as you like.
What happens if I do not renew my creditbuilder agreement?
After the last of your 12 monthly payments for creditbuilder has been taken, and the completion of your loan repayment has been reported, your account will return to a normal activeplus account.
How do I know if I am a fully verified cashplus customer?
To be a fully verified cashplus customer you will have provided two forms of identification, either when you applied for your card or at a later date. If you can use your cashplus card in an ATM, you are already fully verified.
Applying for creditbuilder
What are the acceptable proofs of identification?
To apply for creditbuilder you must enclose a photocopy of the photo page of one of the following pieces of identification:
- Passport
- UK Drivers License
- EU Drivers License
- EEA Member State ID Card
Where do I send my application form?
You should send your application form to FREEPOST CREDIT BUILDER. No further address details are required, and you do not need to use a stamp.
How do I know when/if I have been accepted onto creditbuilder?
Customers will be notified by e-mail when they are accepted onto creditbuilder. You will also receive a copy of the creditbuilder agreement in the post, signed by a representative of Advanced Payment Solutions.
Can I cancel my creditbuilder agreement?
Once you have received your signed customer copy of the creditbuilder agreement in the post, you have the right to cancel it within 14 days without paying any additional charges. You will find a cancellation form at the bottom of the creditbuilder agreement – send this to FREEPOST CREDIT BUILDER and the loan will be cancelled.
Credit ratings
What is a credit rating?
A credit rating assesses the credit worthiness of an individual. Credit ratings are calculated from financial history and current assets and liabilities. Typically, a credit rating tells a lender or investor the probability of the subject being able to pay back a loan. A higher score suggests that you will probably find it easier to borrow money or buy goods on credit and may be offered better deals than if you have a low credit score.
Can creditbuilder have a negative impact on my credit rating?
Failure to make your monthly repayments would be reported to the Credit Bureau. As long as you continue to pay your 12 monthly £4.95 repayments, creditbuilder will not have a negative impact on your credit rating.
When is my credit rating updated?
We will report to the credit bureau that you have made successfully made three repayments of £4.95 after your third month on creditbuilder. All subsequent reporting of repayments will be made monthly.
What happens if I miss a monthly payment?
Failure to make your monthly repayments will be reported to the credit bureau and could make obtaining credit for other products more difficult in future.
Can I pay back my loan early?
You can settle your creditbuilder agreement at any time, but you will have to pay back the whole of the remaining loan in full. See the terms and conditions on the application form for three examples of what you would have to pay in the event of early settlement.
What is a credit bureau?
A credit bureau or credit reference agency is a company that collects and collates financial data and provides consumer credit information on individual borrowers. This helps lenders assess credit worthiness, the ability to pay back a loan, and can affect the interest rate applied to loans. The more loans you have successfully satisfied, the better your credit rating is likely to be.
Contacting us
creditbuilder can help with debt management
If you already have a cashplus prepaid MasterCard click here to get your creditbuilder application forms:
creditbuilder can help with debt management
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