Spacing out credit card applications

emmamcd

On applying for new credit cards: Martin talks about the need to space out applications in order to avoid a negative impact on your credit score, but does anyone know what this means in practice? If I were to apply for 2 or 3 in the space of a month would this cause me problems? Cheers

GaryTravers

now dont quote me on this, as i may be wrong, but i think i read somewhere that a 'search' will remain on your credit record for 6 months.

either way, whatever the actual amount of time is, i think 2 or 3 in a month wouldnt look good to lenders.

stevenclarkuk

I got 2 credit cards within a week of each other then another card 6 months later.

So the 2 in a week couldn't have effected it that much. I know I did have a very good credit rating before it all, but I don't know what it's like now.

steven

lisyloo

If I were to apply for 2 or 3 in the space of a month would this cause me problems?

It is really very hard to know because lenders each have their own policy.
It depends on a number of other factors as well such as whether you are on the electoral register, whether you have good history on other accounts etc.

Personally I would say it's entirely reasonable to apply for 2 cards together as there could be a number of reasons why people may want or need to do this.
3 or more is starting to look like you are either desperate for credit or have been declined, but as I said, very hard to say.

Personally I would try to stick to 2 if possible just to be on the safe side.

Moggles_2

If I were to apply for 2 or 3 in the space of a month would this cause me problems?

Is this because your first application was declined or simply to take advantage of more than one good deal at a time?

If the latter, providing you have a perfect payment record, you may get away with two applications at once. However, you could be storing up problems for next year. More than four applications in 12 months, definitely harms your credit score, so you need to keep a diary!

In general, it's safer to space out applications, not just for credit cards but other forms of credit, like mobile phones for instance, which can be traced on your credit file.

southernscouser

Searches incidentally generally stay on your file for 12 months.

And although other lenders aren't told whether you have been accepted or not it's easy to work out by comapring what credit you do currently have as not many people get accepted for credit then refuse it!

I've had loads on my file before, probably double figures and still got new cards (when I shouldn't have applied for them :doh: ) but have struggled since my lightbulb moment. Saying that I did get accepted for 1 in January then 1 in March I think it was. Been rejected for 3 since though! :rolleyes:

Moggles_2

...I did get accepted for 1 in January, then 1 in March I think it was. Been rejected for 3 since though!

Each search of your credit file leaves a footprint that drops off the report after 12 months.

Lenders do look at your recent credit applications. More than four new credit cards in 12 months, may indicate over-commitment.

IMO, a maximum of one new credit card application every three months, is the best rule of thumb.