Credit Card paid off - should i cancel before applying for a mortgage?

timboy1984

Hi

I am a first time buyer applying for a mortgage on 11th January having agreed a price for a property.

I have my credit card paid off in full - should I cancel the account before I apply for the mortgage or would this affect my application?

What would look more favourable:

1) Having no credit card
2) Having a credit card that has been paid fully.
3) Having a credit card that has been paid in full and cancelled.

I have used the card heavily since living with my parents to boost my credit score, it has served it's purpose as it is now on 941 from 457.

Ideally I would like to cancel, so I do not have to provide the statements on the day :rotfl:

Any help appreciated!

Hominu

Personally, I wouldn't cancel it. A well maintained credit card (that now a zero or class to zero balance) will have only a positive effect on a mortgage application, and may help with cash flow once you move in as long as you can keep up with the payments.

[Deleted User]

You want option 4 - have a card which is used and paid off in full regularly.

timboy1984

Thanks guys, I pay off in full at the end of every month. It's just I used to card heavily and didn't know if that would have an adverse affect :j