Do I close my CC account?

mancdude

Hi there,

A number of years ago I took out a Barclaycard with the intention of building my credit score. I've now got a really good score, and have moved the balance (£1200) to an MBNA 0% card to pay it off within the year.

My wife and I are looking to buy our first house next year, but I could do with some advice on the Barclaycard and what to do with it.

It's my longest form of credit having held it for five years, and I'm led to believe this looks good on my credit report, is that correct?

However the available credit limit is quite high (£9000) and I'm also led to believe that having such a significant amount of credit available to you is taken into consideration by the mortgage lender - but if I reduce this limit will it show on my report that my limits been reduced and thus reflect badly on me?

So really I'm not sure how to play this, do I close the account, reduce the limit or leave it as is?

Thanks in advance for the advice.

CLAPTON

mancdude wrote: »

Hi there,

A number of years ago I took out a Barclaycard with the intention of building my credit score. I've now got a really good score, and have moved the balance (£1200) to an MBNA 0% card to pay it off within the year.

My wife and I are looking to buy our first house next year, but I could do with some advice on the Barclaycard and what to do with it.

It's my longest form of credit having held it for five years, and I'm led to believe this looks good on my credit report, is that correct?

However the available credit limit is quite high (£9000) and I'm also led to believe that having such a significant amount of credit available to you is taken into consideration by the mortgage lender - but if I reduce this limit will it show on my report that my limits been reduced and thus reflect badly on me?

So really I'm not sure how to play this, do I close the account, reduce the limit or leave it as is?

Thanks in advance for the advice.

keep the card, use it regularly pay it off in full.

planteria

tend to agree

as long as you can handle credit effectively, just channel all of your spending via this, or another, credit card and pay off in full each month.

chattychappy

mancdude wrote: »

I've now got a really good score,

You do know that there isn't really such a thing as "a score"? Lenders score people differently depending on what they find in CRA reports and what you put on the form.

The "score" sold (or given away free on a promotion) by Experian and the like is only seen by you...