Advice on what do credit card wise?

Eonel

It will hinder other applications for credit you may make. The whole credit limit of your Tesco card is included in the £16955 credit available number.

As a rule of thumb, available credit should be less than 50% of salary. With your Tesco card, you are over the 50%.

I sincerely hope you did not pay for the 999 score. It is calculated without knowing your salary, so is completely meaningless.

davidmaiden18183

Eonel wrote: »

It will hinder other applications for credit you may make. The whole credit limit of your Tesco card is included in the £16955 credit available number.

As a rule of thumb, available credit should be less than 50% of salary. With your Tesco card, you are over the 50%.

I sincerely hope you did not pay for the 999 score. It is calculated without knowing your salary, so is completely meaningless.

No the 999 is what is shown on experian?!

davidmaiden18183

Just checked and my first credit card with lloyds tsb has a credit limit of £6750 on it. I haven't used it in years but I think it's best to keep it as its my first credit card and part of my history (correct me if that's incorrect)

I am applying to lower the limit to £500 but their website has errors.

That's should reduce my current available credit given time. Hopefully not too long.

izools

Hold fire a bit...


You're going to need to make sure your total owed doesn't add up to over 60% ish of your total credit limits.

So say you owed £6,000 you would want all your limits to add up to at least £10,000.

Owing a large percentage of your available credit looks bad. It is a sign of debt stress and it taken badly by lenders. Some will auto decline irrespective of how good your history is if you owe over 70% of your limits. MBNA are one such company.

You should look to reduce your Lloyd's limit to £2,000 and once your credit file updates reflecting this and your tesco account as settled then apply.

You might want to telephone Lloyd's to make sure this happens.

Good luck!

davidmaiden18183

That's sound advice and something I hadn't thought of. I haven't confirmed the credit limit reduction with lloyds yet but I should be ok as my new total

16995 - 6250 = £10745

However my outstanding debt on cards would be 3744 i.e. 35% of available credit. Less if I move money from my stooging account

izools

Yeah well as long as your credit file shows a total available credit of under 50% of your salary and a total owed under 60% of your limits you'll be in a strong position when you apply.

The lower your % limit use the better, so long as your cumulative limits are sensible in relation to your salary

Sorry about the car thing though that has got to suck. No doubt you'll be doing full checks on all the cars you look at now!

Can sometimes work out ok though as my car although not stolen had been cat c written off but was properly repaired, vic tested, etc and is a wonderful, reliable motor... really can be pot luck...