Balance Transfers and Mortgage

JamesJ29

My partner and myself are looking at buying our first home. I currently have credit card balances on a Barclaycard and MBNA card. With a 0% deal coming to the end on my MBNA card. I understand that applying for credit shortly before applying for a mortgage is a big no, no!

However Barclaycard are offering me a 6.9% for life on balance transfers and MBNA are offering a 0% transfer for 12 months. Even with the transfer fees this will still be substantially lower than what the rate will be once the 0% deal ends on my MBNA card. The plan is to make a transfer from one card and then make a partial transfer back from another. I have a little bit of money saved to make an over payment for the transfer fees etc. So the overall balance shouldn't increase. I've also had both cards for years so there will be no new credit involved as such.

My question is will there be a mark on my credit file when doing a balance transfer on existing cards? Also can anyone see any other negative issues relating to getting a mortgage by me doing this so close to potentially getting one?

Foxy-Stoat_3

If you are not taking on more debt or applying for additional credit then it probably wont make much of a difference.

If you are worried though, just wait until you have got a mortgage approved as a few more months of paying some interest on a balance shouldnt be a massive price to pay to keep your chances of a mortgage unchanged.