Opening another Card?

Arlyd

Hey Guys,

At the moment I have two credit cards: one clean and one with £300 being paid off £30 a month. I used them both, one after the other, for their interest free periods and then when the latter ended, the first provider offered me a 10 month interest free balance transferred so I moved it back to where it started.

I want to open another Card somewhere to take advantage of another interest free period. Now, I understand everytime I apply for credit it damages my score? And I have missed perhaps 3 or 4 payments over the course of these two cards (always bad organisational skills on my part - always had the money and paid it the second I was notified by letter I was to be charged).

My question is, how badly would I be damaging my credit by applying for a a third credit card since I have 2 open and have missed a few payments? Is it worth considering. Would the 30 or so payments I did make on time outweight the fact I'm trying to have three cards open and have missed 3/4 payments in the past? Would I get a better result if I was to close a credit card first?

Thanks! :beer:

[Deleted User]

You can try, it won't do you much harm. Only apply once though, if you get knocked back don't apply against for another one immediately.

Oh, and more importantly, set up a direct debit! Why wouldn't you have done this already? You can set it up to pay the minimum amount automatically each month.

jamesd

Always set up a direct debit for at least the minimum payment.

Applying won't do any long term harm to your credit score because records of all applications are removed one year after the application is made.

Two cards is fine, no need to close either unless you're already over 50% of your gross income in credit available.

planteria

good advice above, certainly re. a DD for the minimum payment. that is essential.

who are the cards with? that might guide my suggestions:)

longtermplanner

With 3 late payments you aren't very likely to get another 0% deal. I suggest you try to up your payment to £40 or £50 a month and pay the wretched thing off. Set up a Standing Order for this fixed amount.

When your debt is gone, use 1 card every month and always repay the bill in full every month.

dotdash79

How long ago was the last missed payment?

The DD for minimum is the best advice on this topic.

planteria

may be the best/only option.
pay off, then use 1 card to spend. ideally a card that gives you something useful...Cashback or Points.

Arlyd

Thank you all for replying! I'll try and answer all the questions:

My first card is through Tesco, second is Natwest. First card has a limit of £1800 and Natwest has a limit of around £3,000. All I have outstanding in total is £300.

My missed payment was, if I remember correctly, July. I got a call from Natwest asking why I hadn't paid and that's when I set up a Direct Debit. I've had no problems since.

I think I'm going to try applying for one anyway, if it doesn't have a long term effect on my credit. If it doesn't go through I might invest in a month with a Credit Checker to see where I stand.

Thanks!

Edit: Just signed up to Experian's website under their free trial - Apparently My credit score is still good but I can't see specifics until I receive in a post. I'll get the PIN, have a ganders and then deactivate my account before the month trial is up.

planteria

Arlyd wrote: »

My first card is through Tesco, second is Natwest. First card has a limit of £1800 and Natwest has a limit of around £3,000. All I have outstanding in total is £300.

ok. i would clear. and unless a good reason to do otherwise, i would channel you spending via the Tesco card, and earn Clubcard points in the process. i have a NatWest card with a deal that finishes c.June. i plan to close when paid off.

Arlyd wrote: »

My missed payment was, if I remember correctly, July. I got a call from Natwest asking why I hadn't paid and that's when I set up a Direct Debit. I've had no problems since.

good. keep using the DDs.

Arlyd wrote: »

I think I'm going to try applying for one anyway, if it doesn't have a long term effect on my credit.

I think i would be inclined to wait, and just use the Tesco card: spend & repay & spend & repay for a few months. then apply for, say, a Barclaycard, for cashback.

Arlyd wrote: »

Just signed up to Experian's website under their free trial - Apparently My credit score is still good but I can't see specifics until I receive in a post. I'll get the PIN, have a ganders and then deactivate my account before the month trial is up.

I just use noddle. Experian can be difficult to extract yourself from..