Reducing credit offer limit

ems42

Hi my question is, having had my credit limit upped frequently by Littlewoods catalogue the amount now £3200, having joined them 3 yrs ago only buying essentials eg, washing machine, fridge packed up - basically emergency use only , having been such a good customer never paying minimum usually paying £100+ back monthly, and paying back full amount before buying something else. I've decided I want to take out a car loan only the amount of £1500, having read different threads about having too much available credit - is it in my best interest to ask them to reduce my limit as I never use near that amount or keep it as I'm a good paying customer, i'm happy to take it down to £500, what's the best for credit rating?

m4rc

Not sure it will make a difference, don't worry too much, but what I would say is Littlewoods really whack their prices up on all goods, when they are on sale they come close to other shops and stores. Your better option would be Very, they are exactly the same company but cheaper prices, you don't get the same payment terms though, to get things interest free you need to clear the balance in 3 months unless you go for a buy it now option where you can then clear it in full before the interest kicks in.

I wouldn't think a credit limit on a catalogue would have much of an impact when applying for a car loan but I could be wrong, I would say the important thing is the way you manage the account and don't have any late payments etc.