effects of customer initiated Credit Limit Decrease

Epoch

Hello, I'm seeking the advice of any credit risk experts on the forum.

I want to apply for a new 0% BT interest rate card. I already have credit limits on three cards totalling £21k. I'm worried that any new provider I approach might think I'm over exposed.

I have an outstanding balance on one card - the one I want to transfer from, as my 0% offer is coming to an end - of just over £3k. I use another card for my monthly spend and pay the full balance off every month. I have another card, which I use rarely and only for foreign spend and which has no outstanding balance.

If I make requests to my existing card providers to reduce my credit line to a total of say £6k, will that adversely affect my credit rating?

I'd be very grateful for any help anyone can offer.

Venusflytrap

Simply put - No.

Epoch

Great! Thanks very much.

cos_2

Venusflytrap wrote: »

Simply put - No.

This is the kind of post I get annoyed with. What help does it give? None, I think.

Sorry for this waste of your time. OP. And sorry as well that I can't help you with your question.

CH27

Have you tried asking one of your existing card companies for a BT deal?

Companies will look at your overall debt levels when assessing you for a new card & it will take a while for any limit decreases to show on your credit file.

bouncydog1

I would ring your two other cards and ask what BT deals they have. If there is nothing, then I would decide which one to close and ring them and ask to do that. Likelihood is you will be passed to the retentions team who will ask how they can assist. I secured a further 0% BT deal for 12 mos from Barclaycard when I went to close my card.

It may backfire and you may end up with two cards. If the second won't play ball then you might want to close that one as well, wait a couple of months and then try for a new card.

YorkshireBoy

Epoch wrote: »

If I make requests to my existing card providers to reduce my credit line to a total of say £6k, will that adversely affect my credit rating?

I'd be very grateful for any help anyone can offer.

You've provided too little information to get the best advice. For example...

Which cards do you have?
What's the limit per card?
Any storecards?
Any loans?
Overdraft Facilities?
Mortgage?
Financial Associate's situation?
Income?

Of course any changes you make to your credit limits may take 2-3 months to filter through to your credit report. When is the 0% period up?

Epoch

Thanks everyone for your suggestions.

YorkshireBoy,

I have a Halifax Platinum, Credit limit 10k, £0 balance as I pay off every month.

Tesco 0%, which runs out in a month, £3.2k balance. I had one late payment on this card due to direct debit not taking in time for first monthly payment (doh!), which was refunded.

Halifax Clarity, £0 balance.

In the last year I've paid off two TVs I bought on credit, separate arrangements, total value £9k. No interest incurred.

In 2008 I paid off £5k of furniture bought on credit, no interest incurred.

I have an interest only mortgage, £130k.

no loans, overdraft of £2k but only used £200 last month (schoolboy error - trying to be clever with hiving salary off into savings!), none used for almost 10 years prior to that.

My income is c.£40k gross.

jonesMUFCforever

cos wrote: »

This is the kind of post I get annoyed with. What help does it give? None, I think.

Sorry for this waste of your time. OP. And sorry as well that I can't help you with your question.

I read the reply as that it would not affect his credit rating detrimentally - which of course what OP wanted to know.

IMO and I agree with the post that it did help OP.

Epoch

jonesMUFCforever wrote: »

I read the reply as that it would not affect his credit rating detrimentally - which of course what OP wanted to know.QUOTE]

It was, indeed, exactly what I wanted to know.
:beer: