increase in credit limit and new 0%bt cards

TheMysterious1

Hi

Bit of a quick advice needed thread.

Egg just emailed me saying they have increased my cc limit from 5.5k to 6.4k. I have 2 other cc's. They all will be coming towards the end of their 0% bt offer soon (foolishly I do not know when :doh: ). To increase my chances of getting further 0% bt transfer cards to help get rid of my debt is it advisable to decline the increase in cc limit and lower my credit limits on the other 2 so more can be given to me when I re-apply? I know it's a bit of a see-saw as my understanding is if you are seen with less credit then you are given less credit but that also works the other way where if you have too much credit there is not much more to give so you don't get the best limits.

Also which cards are good to apply for 0% bt in the current climate? I don't believe I have a bad credit rating as I make all my payments on time, still have loads of credit and it cannot be that bad if Egg are increasing my limit! Is it? lol I currently have an egg, tesco and barclaycard. Have also had virgin and halifax in the last 12-18 months. Which one would give me the most credit?

Thanks for your help.

Moggles_2

My understanding is if you are seen with less credit then you are given less credit ...

That's right.

Other things being equal, it's better (credit history-wise) to have fewer cards with higher limits, than a clutch of cards with lower limits. So, if you want to reduce your available credit, it's better to pay off the balance and cancel a card outright, as Martin advises, than tinker with credit limits.

Also, in addition to the number of accounts in use (our national average, btw, is five credit cards), lenders look at the extent their credit limits have been utilised. Maxed out accounts make you look stretched, so if you're going to apply for market-leading BT cards, it's wise to leave plenty of headroom

Moggles_2

Which cards are good to apply for 0% bt in the current climate? ... I currently have an Egg, Tesco and Barclaycard. Have also had Virgin and Halifax in the last 12-18 months.

The Hally accepts applications from former card holders more or less straight away

Caution: it's advisable to check credit files to make certain the account was actually closed down and marked "settled" on the date you cancelled before you re-apply.

13 months at 0% is currently available to new customers from Halifax on balance transfers made in the first 90 days. There's a 3% BT fee.
IME (and from feedback here), credit limits are generous and the minimum monthly payment is just 1% of the balance shifted

http://www.halifax.co.uk/creditcards/pluscard136.asp

TheMysterious1

i dont necessarily want to reduce my available credit, i want to do whatever is required to ensure i get a successful application with a decent level of credit to transfer my balances over.

i have 3 ccs so i have less cc's than national average which is a plus. egg cc i have 2k headroom, barclaycard 1.8k and tesco £500, so just over 3k in total. so headroom is pretty good too i believe. correct me if i am wrong. what would i need to change to improve my chances?

i believe i have a couple more months on the cards before the intro offer ends so there is a good chance the headroom will increase somewhat in this time.

am i standing in good stead for being successful? (yes i know in reality its not always the case but at least i understand im in a good position.)

Thanks.

TheMysterious1

Moggles wrote: »

The Hally accepts applications from former card holders more or less straight away

Caution: it's advisable to check credit files to make certain the account was actually closed down and marked "settled" on the date you cancelled before you re-apply.

13 months at 0% is currently available to new customers from Halifax on balance transfers made in the first 90 days. There's a 3% BT fee.
IME (and from feedback here), credit limits are generous and the minimum monthly payment is just 1% of the balance shifted

http://www.halifax.co.uk/creditcards/pluscard136.asp

thanks! will look into this.

TheMysterious1

also what are the 3 credit reference companies i need to check for anomalies? ill just pay the £2 to get my details and query anything from there rather than sign up to the monthly charged thing

Moggles_2

I believe i have a couple more months on the cards before the intro offer ends, so there is a good chance the headroom will increase somewhat in this time.

That will help, certainly

I take it you're not planning to move/change jobs/change banks in the interim. Lenders like stability. Being with the same employer, bank and current address for a while, all help when applying for market-leading cards. I'm sure you'll be fine.

Very best
M

Moggles_2

TheMysterious1 wrote: »

What are the 3 credit reference companies i need to check for anomalies? ill just pay the £2 to get my details and query anything from there rather than sign up to the monthly charged thing

That's what I do. For links, see page 1 of the *How to obtain credit reports* sticky.

Btw, once you have your paper copy, the CRAs seem happy to answer questions over the phone if you quote your reference number. So if, for instance, you wanted to check that particular items had since been updated, there's no need to order further copies of your credit reports

TheMysterious1

what a coincidence!

talking about this last night. got a letter through the post today from halifax for a new cc. only 9mths 0%bt though. will apply for the other one i reckon.

Moggles_2

TheMysterious1 wrote: »

What a coincidence! Talking about this last night, got a letter through the post today from Halifax for a new cc. Only 9 mths 0% bt though. Will apply for the other one i reckon.

Yes, to maximise the 0% period on BTs, the Halifax Plus card is the way to go

Very best
M