New Barcalycard - Too much credit?

Curr946

Hey folks,

Just wondering if this was a good idea. I hold a a platinum simplicity (the 7.9% one) with Barclaycard. I've a 3k balance owing on an AA reward card (issued by MBNA - 0% ending soon) - Now I've the funds in my ISA paying 1.95% until next April.

I was planning to clear the AA card (used as a daily card for points) and keep the simplicity card for backup / large purchase at low rate.

Anyway, I get MSE emails and it showed Barclaycard as doing a 27 month BT card. So, i emailed customer services asking to change my account type. The reply back was to make a new application.

So, i made the application and was accepted with a £5,800 limit, BT fee will be 2.9% - So provided I get a good ISA rate next year, i have have scored some interest. However, taking into account my other lines of credit, I am wondering if I have too much credit and if opening this new account was worth it.

Argos Store Card £1,000 Limit - £0 owing (Used for BNPL offers)
Jacamo £1,000 limit - £0 owing (used now and then for a rig out)
Littlewoods £1,000 Limit - £0 owing (used for the mrs mostly)
BoS Overdraft £1,000 - £0 owing (never used - been there since 2005)
BoS Loan £14,000 borrowed - £8,800 owing (fixed DD)
AA credit card £8,100 limit - £3,000 owing (daily card)
BC Simplicity £3,500 limit - £0 owing (back up card)
BC 27month BT £5,800 limit - £0 owing (3k to be moved from AA)

thats £21,400 available credit and £8,800 fixed debt. On top of this, i have things like British Gas, t-mobile on my file. My salary is £36,800 odd so i have access to more than 50% of my salary. I assume this is not good.

Should i start closing some of these other accounts, even though they do get used from time to time?

You-kip

Whats all this 50% of your salary in available credit is going to look bad coming from?
Many people have twice their salary on credit limits and still get the best deals out there!

Curr946

i am sure i read some where if you had more than 50% of your annual salary you are more likely to be declined or have much lower limits, higher rate etc.

You-kip

Curr946 wrote: »

i am sure i read some where if you had more than 50% of your annual salary you are more likely to be declined or have much lower limits, higher rate etc.

I must say I've never heard of that and even if its been said on this forum with other members getting twice their salary in credit limits I would take that with a pinch of salt.

Every individual is different of course.

Nice one on your barclaycard and decent limit as well

guesswho2000

You-kip wrote: »

I must say I've never heard of that and even if its been said on this forum with other members getting twice their salary in credit limits I would take that with a pinch of salt.

Every individual is different of course.

Nice one on your barclaycard and decent limit as well

I take it with a pinch of salt too. I've got just over 25k (nearly 30k including overdraft limits) available on a 34k income, doesn't seem to be an issue to me.

You-kip

guesswho2000 wrote: »

I take it with a pinch of salt too. I've got just over 25k (nearly 30k including overdraft limits) available on a 34k income, doesn't seem to be an issue to me.

Exactly.....

Curr946

thanks guys, think i will keep all accounts and the simplicity card as a back up.

zerog

The 26 month barclaycard only has a 2.5% fee... you could also have gone through a cashback service like moneyexpert (not mse!) to get £25 for applying

izools

Having all those large limits shouldn't hamper credit card applications however anecdotal evidence suggests it would be a bigger issue for mortgage underwriters and a lesser but still definite issue for loan underwriters.

chanz4

have to agree, I have 90% of my salary in available

tinkerbell28

The whole affordability thing is a bit poo. Some people are judged on it, some aren't.

I got tens of thousands as a housewife with zero income ohh and and no questions asked 25k loan. I've never taken them up on their kind offers.

I keep my credit cards for stoozing and points, and interest free s75 protection. As my oh will pay them off :rotfl:

Seriously though, a lot of it is BS. Should I divorce, I've got a good profession I could go back to, so I could afford to service available debt (not spent)! Yet they don't know that. I am always keeping training current, because I can. However as a SAHM, I could easily have 60k + on NO income of my own...:rotfl: