Are balance transfers bad for your 'credit rating'?

Pashley_2

Hi, I hope someone can point me in the right direction?

I have read the article explaining that credit ratings don't exist in the UK, however I have come across some information on the internet that suggests that balance transfers are bad for credit ratings (or whatever alternative source exists, if indeed it does!)

Six months ago I transferred a credit card balance to a 0% interest on balance transfers card but due to unforeseen circumstances have spent money on it. Over the next year this will cost me c£15 a month interest (c£180 for the year). I could apply for another card with a 0% interest card and transfer the balance incurring the transfer charge and save about £120 for the year. My question is....

Would saving this amount of money be worth jeopardizing my 'credit rating'? I have never had any past problems with applying for cards but am slightly concerned about reapplying for another balance transfer card so soon after the last one.

Many thanks!

CannyJock

Balance transfers aren't bad for credit ratings.

Paying £120 you don't need to is bad for your pocket though

So long as you leave at least 3 months between applications, the searches that result from new applications won't make much of a difference either.

I'd say go for it.

Pashley_2

Many thanks for the advice! :beer:

fozmcfc

Got a BT last year, wish I had done it long before, as it has saved me a lot of money in interest.

I have since been approved for 2 further credit cards and a store card, so can't do too much damage in my experience.

val_84

The only 'damage' a BT can do to your credit rating is the initial search the credit card company will do on application and if you subsequently start missing payments, going over limit etc.

Val
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