When you first apply for a Home Shopping Pay Monthly Catalogue you will be asked to choose between a Cash Account or Credit Account. A cash account can be opened up instantly and you will be required to pay with a Debit or Credit Card.
If you wish to spread the cost and pay in monthly instalments you will need to select the Credit Account option.
When you select the “Open a Credit Account” option you will be required to enter a few more details, such as your Date of Birth, Length of time at your Current address and a telephone number.
When you enter your telephone number we recommend you enter a Landline telephone number as it's proven to improve your chances of success. Your application will usually be considered instantly, so when you apply you will be given an Instant decision.
If you have bad credit you can still be accepted for a Catalogue. Pay monthly Catalogue companies offer lower credit limits at the start, however, you can still buy bigger items, you may just need to make a payment towards the item with a debit or credit card.
Pay Monthly Catalogue companies allow you to spread the cost over several months, much like a Credit Card but they are usually a lot easier to get accepted for.
Catalogue credit limits are based upon a range of factors, usually referred to as Credit Scoring. Credit Scoring has been designed to make very fast decisions and help the Catalogue companies build a very quick snapshot profile of you and how you will run the account.
Catalogue Credit Scoring will allocate points on a basis of points, such as Your Age, Work Status, Residential Status, Income and any previous relationship you have with the Catalogue company or companies within that group.
Credit Scoring also changes through the year, at Christmas the companies will want more customers but they are also aware that they are more likely to be targeted by fraudulent orders, which is why Credit Scoring was designed. It can spot inconsistencies in applications, which believe us is a good thing. The last thing you really want is someone opening a Catalogue or any other credit product in your name.
Credit Scoring can be adjusted in house by the Catalogue company, all companies will accept customers with risk, sometimes, they may be willing to accept more customers with a riskier Credit profile, that's because those with Low or Bad Credit Scores are usually Good customers.
That's right, bad credit customers can be good for business. Why? Well, usually when someone has a bad Credit Rating, they are really trying to improve their Credit Rating, which means they are working so hard not to miss repayments, usually giving such customers a chance pays off for them. Although, the risk is often matched with a Higher APR.
Anyway, back to the Credit Limit. Once you have entered your details, your application will usually be checked in real time, you will often be told if your application is approved or not. Sometimes your application may be referred to Underwriters for further checks.
This is nothing to worry about. Catalogue companies sometimes carry out extra manual checks, this is done to confirm your ID and sometimes you may not have passed the Credit Scoring, but scored enough not to fail. So your application is bang in the middle.
If your application is referred, your order can still arrive within a day or two. Each catalogue is slightly different, but if you want to read all about the different catalogues and their process, check out our pay monthly catalogue page here.
Catalogue Credit limits will vary, sometimes starting as low as £100 (depending on your credit status) but once you have kept up repayments, they will usually increase. In fact, Catalogue credit limits can increase pretty quickly. From personal experience even with bad credit, our Catalogue credit limits increased too fast. We have 5 Catalogue accounts and on 2 of these Catalogues, our credit limits are over £2000 each, altogether we have over £5000 available credit on Catalogues. We also have Credit Cards, but on these, the credit limits are just over £1000. So Catalogues credit limits are often higher, especially once you have built up a relationship with them.