Confused and need help! 😕

Hi all,

Firstly I just want to say that I’m brand new here, and so far I really enjoy the app and overall look!

However I’m a bit perplexed with how my Tymit Booster Card works?

So the situation is; I’ve popped £50 across. Balance/credit limit is now £50. Got it.
Made a purchase of £31.44, to which I split it over 3 months = £10.44 a month.

However my now overall balance has gone down (makes sense?) and my June payment bill is £10.44?

So if I pay this, am I ultimately paying double back?

Because surely if I pay the £10.44 back, presumably the money goes back into my account, however I’ve now lost £10 from my actual savings?

I’m just confused by this all, and some clarification would be amazing!

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Hi @DBusby Dean, welcome to the forum!

So the money you send across to be your credit limit remains as your credit limit regardless of any spend. It’s never used to pay back your bill, so consider it like (but it really isn’t) a savings account.

So it’s not a prepaid card which I think may be what you were expecting? Correct me if I am wrong.

I get that part. However what about the breakdown of the purchase? Choosing to split that £30 into 3 months? I.e. £10.

Surely I don’t have to pay this amount from my own bank account? Otherwise I’ll end up paying double the purchase price back?

You do pay it back from your bank. The purchase is on credit (you have been lent the money) so you must pay this back to Tymit over the chosen period.

The money you sent to be your credit is not to be used to pay bills unless you don’t pay your bill, in which case it’s security for Tymit to ensure they don’t lose out.

If you left Tymit by closing your account and you don’t have any outstanding balance, you can request your credit limit security deposit is returned to you, so that money isn’t spent.

It is also kept in a segregated account.

I havent been lent the money though?

I’ve put my own money in: £50. That’s my “available” credit.

What I’m questioning is; I’ve made a purchase of £30.
That £30 has been taken off my overall balance. Leaving me with £20.

So that makes sense.

What doesn’t make sense, is that I chose to split that £30 over 3 months, making a repayment of £10 per month.

Now if I have to pay this amount off monthly myself. Surely I’m simply going to end up paying £60 back in total? Rather than the £30?

So I dont see the point in using the monthly breakdown as an option.

Do you see where I’m coming from?

Hi @DBusby I do understand you but you may have misunderstood the Booster product.

The money you put there (£50) is not a balance for you to spend. It’s a security deposit that matches the line of credit Tymit give you.

So you are being lent £50 to spend when you wish. Your two balances after spending £30 in a shop is as follows;

  1. £50 security deposit.
  2. £30 of a £50 credit line in debit.

You repay the £30 over 3 months and you are now £0 of £50 credit line in debit.

The £50 security deposit is to safeguard Tymit against lack of payment and help report to the credit reference agencies your line of credit.

It is never touched to repay any spending you create.

If you want the credit reference agencies to see a bigger limit reported to them, you would add more money to your security deposit. You can then spend up to this limit but must repay it back to Tymit.

I still don’t quite understand.

I had 0 available credit until I added the £50, to create a credit limit. That bit I get.

The bit that doesn’t make sense, is me choosing to split the £30 purchase, of which I now have to pay back.
As the balance has been taken off my overall credit limit, I am technically going to be repaying back double the amount I’ve originally spent?

In which case, I was better to simply spend the £30 outright, and then top up the card as and when it made sense to do so?

I think some of this is about semantics.

I don’t understand why you think you are paying back double.

You give me £50 for safe keeping and then when you want to buy shoes, I give you £30 out of my money; not your safe keeping money.

You pay me back the £30 and that’s it. You owe me no money but I still have £50 you have asked me to look after.

Maybe it’s better if Tymit step in and explain this in a little more detail. Another option is to Google “secured credit card” to explain a little more about it. :slight_smile:

Jase, I dont think you understand the issue at hand.

Simply put, I made a purchase of £30. That amount has been deducted from my overall balance of £50. Of which, was created by myself, due to me sending the money across.
So no money, technically speaking, is of Tymits.

As ive chsoen to split the £30 purchase across 3 months. This makes the monthly price to pay back £10.
However, as the £30 purchase has already been deducted from my overall credit, I have essentially paid for this product already - With me so far?

So by paying an additional £10 each month, totally £30 in three months. This means that the original purchase price of the item has gone from £30, to now £60, when the monthly repayments has been made.

Does that make sense?

It makes sense but there is one small issue, it hasn’t been deducted from a balance, but has been deducted from a limit.

I can’t seen the screens you see as I don’t have Booster but the standard Tymit product. But perhaps it’s just not clear on the screens.

I think you should raise a support ticket for them to explain or demonstrate further. Unless anyone else on Booster can help?

I do think you’ve explained it perfectly Jase.

You deposit X and Tymit match it as your line of credit.

Whatever you spend comes from your line of credit, your deposit remains untouched. You repay your line of credit, not your deposit.

Not sure how else you could explain it.

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@jase don’t think I could explain it any better

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Hi

The money you are spending is Tymits they lend you this against the money you deposited as security this is held in a different account for safe keeping and is not what you are spending Booster is not a pre paid card it is a normal credit card with a secured credit line so you have to pay the monthly bill the same as any other credit limit and once the balance is reduced you are able to withdraw any deposit you have made although this will effect your credit score

The only other way to think of it is that you pay Tymit £50 for use of the booster card and, if you use the card responsibly, you can cancel the card and Tymit will give you £50 back for being a good credit user. Otherwise, they’ll give you £50 minus any unpaid balance.

And, of course, that set your limit at the amount you choose to pay them

@jase just to Wade in I think there’s an issue with the app design here for booster customers. In the security deposit screen the balance drops with your spend. It should not. If I put £1k on deposit and spend £400 then I have a £400 balance secured against a security of £1000 in fact the app shows a £600 balance of security in this example. This would lead someone to think they are paying a tenner a month for a prepaid card as the app seems to suggest that you are spending your own security deposit.

Generally I think Tymit are doing a poor job of educating booster customers on what the product is. There seem to be a lot of people who are signing up and really not understanding the product they have chosen, that’s a poor user journey. Granted secured credit cards are very rare in the UK but I feel if someone signed up for a financial product and doesnt understand it then there’s an issue in on boarding.

I’ve added an image to show what I mean. In my example I’ve opened the account with a 400 deposit to try the product. I’ve spent £70 odd, the deposit screen should not show less than the full amount.

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Yeah that doesn’t help users make good sense of what the deposit it and how it interacts with spending, or rather doesn’t.

Perhaps during the onboarding flow there could be better explanation and some challenge questions to ensure the user understands the product.

Investment companies do this really nicely when onboarding to ensure you simply understand the risks etc… and it’s so short but effective.

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Investment is a good example, you’re right. A secured credit line is a very simple concept but Tymit seem to be hell bent on making it harder. I guess it’s tough, if you know then it’s hard to understand why it’s not clear to everyone. Hopefully they get this right soon. @Oisin Can this be flagged somewhere as just looking today there are new threads on this. Happy to chat offline with anyone to feedback a user journey if that helps, Id love to see some improvement as I love the concept.

They have made a dedicated website for this.

I agree, and this is some really positive feedback for the team on Booster so i have made a dedicated feedback thread for the Booster team to pick up. If you deposit £400 and spend £70 it should still say your overall deposit is £400.

It might be a better to have:

Total Security Deposit : £400
Principal Deposit (Deposit minus Balance): £330

This i suppose would then give you the understanding that you have spend £70. I do try to signpost that this is still a very new product and your quite right it is very rare in the UK for this type of account but its a way of giving everyone a chance to use the new proposition. @thisisntwhatiwanted Your point you make below:

It is always an applicants responsibility to research, and understand what they are signing up for and to ask support for any questions. So i cant help but find a point where i agree with this statement and it can come across in the complete opposite way you mean. Do you get the “general” idea that Tymit are doing a poor job on educating booster customers from experience or the level of booster customers come to the forum for help. I must admit there has been alot of queries from booster customers recently.

If you was given the opportunity to improve the Booster experience for customers and yourself (if your a booster customer) what would you do / how would you improve booster. I am really interested as i think your right and i think the Tymit team would really love to make it better for every customer?

So, aswell as your feedback i have linked the Booster thread and quoted some of your points if thats okay. Do you mind bringing the rest of this discussion to this thread so that the Tymit Team can see it in one place?

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Tymit logo image
Jamesj015
7 June

jase:

Perhaps during the onboarding flow there could be better explanation and some challenge questions to ensure the user understands the product.

They have made a dedicated website for this.

Ok but that’s of no help if the applicant doesn’t see it. It needs to go through the key features of the product and be explicit about the fees and deposit required.

thisisntwhatiwanted:

I’ve added an image to show what I mean. In my example I’ve opened the account with a 400 deposit to try the product. I’ve spent £70 odd, the deposit screen should not show less than the full amount.

I agree, and this is some really positive feedback for the team on Booster so i have made a dedicated feedback thread for the Booster team to pick up. If you deposit £400 and spend £70 it should still say your overall deposit is £400.

It might be a better to have:

Total Security Deposit : £400
Principal Deposit (Deposit minus Balance): £330

I’d argue that principle deposit is muddying the water. All a customer needs to know is deposit = £400, current balance is £70, limit = £400

This i suppose would then give you the understanding that you have spend £70. I do try to signpost that this is still a very new product and your quite right it is very rare in the UK for this type of account but its a way of giving everyone a chance to use the new proposition. @thisisntwhatiwanted Your point you make below:

thisisntwhatiwanted:

Generally I think Tymit are doing a poor job of educating booster customers on what the product is. There seem to be a lot of people who are signing up and really not understanding the product they have chosen, that’s a poor user journey.

It is always an applicants responsibility to research, and understand what they are signing up for and to ask support for any questions. So i cant help but find a point where i agree with this statement and it can come across in the complete opposite way you mean. Do you get the “general” idea that Tymit are doing a poor job on educating booster customers from experience

No, I’m old enough to remember secured credit cards

or the level of booster customers come to the forum for help.

This. There are a few very vocal people using the forum who are confused and asking a lot of questions that are very simple fundamental questions.

I must admit there has been alot of queries from booster customers recently.

If a customer gets to the end of a signup journey without knowing what they have bought then one or both parties have failed to ask enough questions. Whilst you can blame the customer (perhaps rightly) they won’t blame themselves.

If you was given the opportunity to improve the Booster experience for customers and yourself (if your a booster customer) what would you do / how would you improve booster.

I think @jase hit the nail on the head. There should be a sequence of challenge/response screens to confirm the understanding of the customer. Many people seem to struggle with the concept of a deposit matching a credit limit.

I am really interested as i think your right and i think the Tymit team would really love to make it better for every customer?

I think it’s a great product. As someone who’s no stranger to manic spending and the hammering my credit has taken I think it’s a great idea. I also think that the examples of a customer using a £50 deposit in the sales flow are a poor idea. Who needs a £50 credit limit? The product only really works well if you have £500-£2000+ to deposit otherwise you can’t spend enough on it without maxing it to an unhealthy level. That said I hope the team decide to keep the product as for me it combines savings and credit rehabilitation in one product.

So, aswell as your feedback i have linked the Booster thread and quoted some of your points if thats okay. Do you mind bringing the rest of this discussion to this thread so that the Tymit Team can see it in one place?

Sure

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