A basic credit card can be a great way to build your credit score and establish a good credit history. This kind of credit card can help you manage your finances by allowing you to pay your purchases over time and help you keep track of your spending.
One good example of a basic credit card is the Halifax Clarity credit card which allows you to use your card responsibly while also building your credit score.
If you're interested in learning more about Halifax Clarity credit card, check out the guide below and learn how to apply in 5 easy steps.
Why the Halifax Clarity Card Stands Out From the Rest
It is easy to see why the Halifax Clarity credit card stands out from the rest. Credit cards offer a wide range of benefits even for a very basic credit card. These benefits and features include travel insurance, price protection, and purchase protection.
When you travel, you can take advantage of the free travel insurance when you use your card abroad.
The card also offers purchase protection which covers customers in case their purchase gets lost or stolen within 90 days of purchase.
While there is no points system or rewards program for this card, you can benefit from price protection which refunds you the difference if you can find a lower price for an item you purchased within 28 days of purchase.
No Annual Fees and a Competitive APR
Even without a rewards program, the Halifax Clarity credit card still stands out from many other credit cards due to its low APR, no annual fee, and wide range of benefits.
The card offers one of the most aggressive rates on the market with an APR on purchases and balance transfers of only 19.9%. This feature is also what makes this card one of the most suitable credit cards for people who want to build credit.
Additionally, there is no annual fee associated with the card, letting cardholders save money each year.
How to Apply: A Step-by-Step Guide
There are a few things to think about before applying for the Halifax Clarity credit card if you're interested in acquiring one.
First, ask yourself if you truly need to own a credit card at this point in your life. Consider your spending habits and see if you are willing to cut out some of the unnecessary ones to make room for a credit card.
Credit cards can have their fair share of responsibilities and burdens. If you decide that now is the time to get one, here's what you need to do.
1. Find Out If You're Eligible
It is always important to know firsthand if you are eligible for the card. This way, you won't waste your time applying for a card that you are not eligible to have in the first place.
To be accepted, you must be a resident of the UK with a regular income and over the age of 18. You must be free from any County Court Judgements and must not have filed for bankruptcy. You should not be a student or unemployed and must not have applied and got declined a Halifax credit card in the last 30 days.
If you have any additional questions, you can contact their customer service department at 0800 072 9779 if you live outside of the UK.
2. Have Proper Documentation
Make sure you have all the information you need to complete the application process before you begin, including the necessary documents ready. You will be required to provide your name, address, and date of birth, as well as income details.
You might also need to provide additional information, especially about existing credit cards or loans that you have.
3. Apply Online for Faster Processing
You can always head over to the nearest Halifax branch in the area to apply for the Clarity card, but you can also do so online through the official website.
On the official website, go to the "Check Your Eligibility" section to be taken through the eligibility process. After you've been found eligible, you can then select the option to apply for the card, and you will be be directed to the online application form.
Complete the form with your personal details and other information including employment information and financial details. Then, submit the application to complete this step and your application will be sent for review.
4. Wait for a Response
It will take around 10 working days for Halifax to respond with their decision on whether or not they have accepted your application.
If your application is accepted, you will receive a letter in the post confirming your approval, your new credit limit, as well as much other important information about your new account.
5. Activate Your Card
You will receive your card in the post, and you must activate the card before using it by using the PIN that has been sent to you in the post separately. If your card does not arrive on time, you can call Halifax at 0345 944 4555.
Once activated, you can start using your new credit card right away.
Defining Halifax Clarity Credit Card Against Competition
Competition is tough when you're a popular travel credit card, especially when you are up against the Santander All in One Credit Card.
The main difference between both cards is the interest rate. The Halifax Clarity credit card offers a much lower rate of interest, making it a better option for those who are looking to save money.
The Halifax Clarity card also offers more flexibility when it comes to repayment options. It allows cardholders to make payments in full or in part each month as well as offering an optional balance transfer facility.
This means that customers can easily spread out their payments over time making it much easier to pay on time.
Pros and Cons
The main advantage of the Halifax Clarity credit card is that it does not have an annual fee or foreign transaction fee.
But one major downside of the card is that it also does not offer any rewards or cashback. You might want to look at another choice if you're seeking for a card with these attributes.
The Halifax Clarity credit card is a great choice for new cardholders due to its low-interest rate, and range of travel benefits. This card is also a great option for people who are new to owning a credit card or who want to build their credit score.
Note: Applying for and utilizing credit has risks involved. For further details, consult the terms and conditions of the bank.