Will a credit card effect loan?

boundy

Hi, I recently applied for a credit card, my first one.

Will this affect my chances of getting a loan in the next few weeks, because its an extra search on my credit file?

redpete

boundy wrote: »

Hi, I recently applied for a credit card, my first one.

Will this affect my chances of getting a loan in the next few weeks, because its an extra search on my credit file?

If you are successful in getting the CC it might well affect your chances of getting a loan as you will then be counted as having more credit (debts) available.

boundy

I got accepted for the virgin CC with 0% on BT and purches for 12 months with a limit of 2.5k, I only got it pay for my car insurance and 2 lots of bike insurance in one hit rather than paying monthly to them and being charged interest.

Im looking for a 5k loan to get a new car.

I've got a current loan with 2 payments left, other than a laptop thats nearly paid for have no other debt.

stephane_2

I would wait for current loan to be paid off & wait for your credit file to be updated to show the settled account but that means waiting around another 4 months as CRA may take a month or two to update your file but it would also show that you have not made any credit application within 4 months & that will play in your favor

boundy

stephane wrote: »

I would wait for current loan to be paid off & wait for your credit file to be updated to show the settled account but that means waiting around another 4 months as CRA may take a month or two to update your file but it would also show that you have not made any credit application within 4 months & that will play in your favor

that sounds like a good idea;)

Shonar0612

You will probably need to wait. I atm have 1300 outstanding on a CC and 500 on a loan. I tried to get a loan to pay all this out plus enough for a new car but I got refused. The credit place told me that with the amount I owe on the CC I will need to get a loan with a very high interest or pay the CC off first. Gd luck