Mortgage - what debts to clear first to give best chance

dontpushit

Hoping to move house this year and will be looking for new mortgage. Have 4 credit cards all maxed out and only pay minimum each month, also use overdrafts fully each month. Want to give ourselves best chance of getting good mortgage deal so which would be better to pay off first - credit card debts or overdrafts?

Is it better to have 6mths worth of good current account banking ie not using o/d facility or to have few credit card debts but still using full o/ds each month?

Once we move all debts will be cleared anyway but I think they usually want to see 6mths bank account details which makes me think it would be better to pay off our overdrafts first and build up a good 6mths before we move - am I right?

Thrugelmir

Start by clearing your most expensive debt first. Lenders will have totally visibility on your spending habits. So don't assume that they'll be willing to roll it up into a new mortgage.

What they'll expect to see is a determined attempt to reduce your overall debt level.

Visit the other boards on MSE for advice on how to achieve this.