More than one credit card

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Hi, I had an M&S zero interest on purchases for 15 months and used up my full credit limit (£5000). I transfered this to another zero interest on balance transfers card at the end of the interest free period. I have a good credit rating. Would I be able to apply for and obtain another zero interest on purchases card, or alternatively would I be able to obtain a cashback credit card? As I need to make sure my time is well spent would the cashback credit card be a better bet? Would I be better of canceling the M&S card first? Many thanks.

chattychappy

Even if you posted all your financial particulars, nobody would really know, because all CCs have their own way of deciding applications.

Unless you are going with a subprime card or with a very high end card, I don't think anyone can say you have a better chance with one or another.

Ratios are important:

1) Total debt:income. I would have though this should be well under 50%. Ideally much less.

2) Total available credit:income. Under 100%. Preferably less.

3) Total debt:total available credit etc. Over 75% and you are looking distressed.

Then there's the other stuff - some cards might have absolute income requirements or have a distaste for people rent. Some cards might have zero tolerance of your not being on the electoral roll etc etc.

All that is my speculation.

I'd just apply for the card that suits you the most. Even consider making two applications if you want two cards.

Credit is a bit tight these days - but in the end you are buying a service that people want to sell to you!

Segelene

Thanks Mr Chatty,

I'd like to thank you properly but I can't find the thanks button.

Could I please ask some questions arising from your reply?:

What are subprime and very high end cards and why would the outcome of an application for these be more predictable?

When you mention debt:income being under 50%, I assume you are you talking about total debt, not debt for a specific cards? But are you comparing with annual income (and gross or net)? Is non-employment income such as from property taken into consideration?

My gut feel is that another high credit card balance would lead to problems, either on the initial application, or on shifting the debt when the interest period has expired, but I wanted to check this before taking the plunge. But will look into ratios on receipt of your clarification.

BTW as a newbie I'm not familiar with your background. Maybe you could kindly clarify?

Thanks again.

sfax

There is a very easy way to get an answer tailored specifically to you and specifically to the lender in question: make an application. If you get rejected, you've lost a credit search life and you know that this lender in particular thinks you're a bad bet - doesn't mean other lenders will

Sub prime: high APR low limit cards - refer to links at top of page

It's annual income gross usually and specifically it's what you declare on your application when they ask

You should get your updated credit reports from all 3 CRAs before applying too

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Thanks Sfax.