Applying for 123 credit card when on the house hunt

JustAnotherSaver

We have had credit cards in the past but these have all been closed down & we've applied for nothing since Jan/Feb 2013.

With the cashback we're thinking of applying jointly for a 123 credit card from Santander. We'd certainly use it once we'd got our house & we'd like to be using it now.

With just a £500 limit on it, is this likely to have any impact at all if we apply for a mortgage in the coming months, or will 1 application (for a credit card) have no real impact?

kingstreet

Practically impossible to say.

If your score with a lender on that day is good, a recent search and new account may have no impact.

If the rest of your case is borderline, it may turn an accept into a decline.

Anything else would be pure speculation.

JustAnotherSaver

Thanks very much.

It's not looking like anything is going to be ticking the boxes any time soon, plus we're contemplating holding off perhaps another year to get another £10k together as we're £10k from being able to afford the types of houses we want in the area we want.
Add to this that our file is good - no missed payments, no debt, everything above board & on point.

So i think we'll go for it.

krycek985

I wouldn't waste your time applying as the card is pants. I had one last year, it comes with an annual £24 fee and when I had my card they didn't give a list of acceptable retailers they pay up on. So you could be going to certain shops for a year then find in fact Santander don't count it as a department store etc. Cashback is paid annually so after a year could find you don't get any money but instead have to pay the fee.

JustAnotherSaver

krycek985 wrote: »

I wouldn't waste your time applying as the card is pants. I had one last year, it comes with an annual £24 fee and when I had my card they didn't give a list of acceptable retailers they pay up on. So you could be going to certain shops for a year then find in fact Santander don't count it as a department store etc. Cashback is paid annually so after a year could find you don't get any money but instead have to pay the fee.

Is this a recent change then?

I was interested because a family member was telling me about it. They've had it a year. They've never received cashback on a 'department store' but constantly receive it on supermarkets & petrol stations. They've easily covered their £24 yearly fee & made much more on top of. Their cashback is also paid monthly, not annually.

They also showed me this so i could see with my own eyes for myself.

Mattygroves2

There is a facility to check whether a store is included in the cash back scheme on the Santander website. Department stores are included and pay 2%. You can also get cash back via quidco for applying for one. The info on the santander website also states that cash back is paid monthly.