New to CC stoozing: accepted for Nationwide Select

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  • Kendall80
    Kendall80 Posts: 965
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    shortcrust wrote: »
    My stoozing fun is coming to an end I fear.:( TBS has just slashed the limit on a two month old card and I got rejected for new credit last week. Stoozing makes me a nice bit of money each month but my borrowing must look out of control to lenders.



    Me and MrsK are in the same boat. Credit limit offerings are dropping to 1200 and we've been rejected once too.
  • JimmyTheWig
    JimmyTheWig Posts: 12,199
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    Obviously stoozing works best the bigger the credit limit and being in a similar situation to you OP being at uni/low income I hadn't bothered with it yet. Would there be any drawback to starting now? Eg right now I would get a card with a low limit probably 1k, would using that card to stooz discourage credit limit increases or do people report the same limit increase as on other cards? On the current card I have they have been increasing the limit with responsible use in spite of income. Obviously only asking as I don't think there's much benefit to stoozing 1k.
    Stoozing, however you do it, will always just be the icing on the cake. You can make money out of it, quite decent money sometimes, but not a fortune.
    My point is that the important thing to do is prioritise your other credit needs first. Applying for a mortgage? Don't start stoozing. Need a car loan? Don't start stoozing. Want a mobile phone contract? Don't start stoozing. Need an increase in credit limit on your day-to-day spending card? Don't start stoozing.

    But if you've nothing more important that you need credit for, then what's the harm?
    I've got 5 cards on the go. One of them is my day-to-day spending card. One has a low stooz balance on it (did better on cashback than interest on that one!). The other three have high stooz balances. All of the 4 stooz cards have been taken out in the last 8 months, as have increases in credit limit on my day-to-day spending card.
    Now I accept what you are saying about income being relevant and it is. But my point is that all the recent cards I've been offered have been at similar credit limits. They haven't dropped my limits because of the balances on the other cards.
    Obviously there comes a point when they would do, but it doesn't appear to have hurt me so far as far as credit card applications go. [If I wanted a mortgage, however, they'd panic at my debt levels, but that's a different question.]

    So it's just a question of how much you can make from it, and whether making that much seems worth it to you for the effort.
  • JimmyTheWig
    JimmyTheWig Posts: 12,199
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    shortcrust wrote: »
    My stoozing fun is coming to an end I fear.:( TBS has just slashed the limit on a two month old card and I got rejected for new credit last week. Stoozing makes me a nice bit of money each month but my borrowing must look out of control to lenders.
    Kendall80 wrote: »
    Me and MrsK are in the same boat. Credit limit offerings are dropping to 1200 and we've been rejected once too.

    Have you both checked your credit file?
    This started happening to me round about when the credit crunch was kicking in some years ago. I assumed that it was the credit crunch.
    Some time later I found that there had been fraudulent activity on an old account of mine which was showing me as being over my credit limit.
  • shortcrust
    shortcrust Posts: 2,697
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    Have you both checked your credit file?
    This started happening to me round about when the credit crunch was kicking in some years ago. I assumed that it was the credit crunch.
    Some time later I found that there had been fraudulent activity on an old account of mine which was showing me as being over my credit limit.

    Thanks, will check the files. All ok with Noodle but I haven't checked the others yet.
  • adindas
    adindas Posts: 6,803
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    edited 15 April 2015 at 10:28AM
    I've always wondered about the +£1 thing. Nothing on noddle indicates minimum payments, even when I delve right into the specifics of monthly payments and balances. How do other lenders see this? Or is it only the lender in question?
    .

    To implement Min + £1 is easier said then done ...

    The damage caused by Min+£1 is just a myth. I always do minimum payment for CC where I get privilege of 0% on BT or for purchase, yet I can still get a new credit card with generous limit easily.
  • YorkshireBoy
    YorkshireBoy Posts: 31,541
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    adindas wrote: »
    To implement Min + £1 is easier said then done ...

    The damage caused by Min+£1 is just a myth. I always do minimum payment for CC where I get privilege of 0% on BT or for purchase, yet I can still get a new credit card with generous limit easily.
    In your case, with a 0% BT, min payment indicators are accompanied by promotional rate indicators, so their impact isn't as bad.

    However, if you're paying interest on 'real debt' (not stoozing debt), then there's no such promotional rate indicator...so its advisable to also remove the min payment indicator by paying a little more than the min payment.

    Min payments AND paying interest must be seen as a 'distress signal' by lenders. Otherwise, why develop the systems to monitor/record it in the first place?
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