Does having "certain cards" look better on file than others?

izools

James129 wrote: »

But if you have lower credit limit(s), you will definitely going to be perceived as high risk by the lender.

No, that's not correct.

What is important is ratios not raw figures.

Owing £400 against a card with a £500 limit will result in far lower credit worthiness than owing £400 against a £1500 limit.

However owing £1200 against a £1500 limit will look far worse than owing £100 against a £500 limit.

The percentage of available credit used is a big factor as is percentage of salary owed as debt and percentage of salary available on lines of credit.

Raw figures in and of themselves are not looked at. Only how they compare with other figures. Having cards with low limits looks absolutely fine, if not better, than cards with mahoosive limits, so long as the balances are low.

MPH80 wrote: »

I was told recently by a DFS sales man who asked what other credit cards I hold that holding an Amex will result in a better credit score in their credit company's internal systems than visa/mastercard.

Apparently they regard it as harder to get (which is, of course, not entirely true) and thus regard someone with an Amex as more credit worthy.

I personally think that's a load of rubbish - but hey-ho.

M.

As you say, it's a lot of absolute rubbish.

Lenders can't see who your accounts are with, having a card with Vanquis with a £3000 limit will look no different to a creditor as having a card with Amex with a £3000 limit.

boogiemaster

They can't see who you have accounts with as it comes under the data protection act so all they see is credit card currant account .

MPH80

izools wrote: »

As you say, it's a lot of absolute rubbish.

Lenders can't see who your accounts are with, having a card with Vanquis with a £3000 limit will look no different to a creditor as having a card with Amex with a £3000 limit.

Just to be nice and clear - it was easy for this credit score ... there were a number of check boxes under the 'what type of cards do you have' - and it included visa, mastercard and amex - so they knew.

But you're right - in general - it's rubbish.