Does using your overdraft look good or bad?

iAMaLONDONER

YorkshireBoy wrote: »

All things being equal, you usually get up to 56 days interest free credit on the credit card, whereas you don't on an overdraft.Overdrafts are intended for short term borrowing (see their "repayable on demand" condition), whereas credit cards are designed for longer term borrowing...ideally up to 56 days, but spread over a longer term if necessary, and are NOT repayable on demand (except in special circumstances).


I disagree with your assertion, but as it is we're both only expressing (unqualified?) opinions. You'd need to ask an underwriter (especially one underwriting mortgages) for the facts, but I'd put money on a constant/regular overdraft balance being viewed far more negatively than a similar sized credit card balance.

You're reasoning here seems very good. I'll stop stoozing till July and see how my credit rating improves