tesco credit card increase .

takman

susant41 wrote: »

i know that now! but for nearly a year thought it was cancelled , i managed to get cars to find my file and paid it . so hopefully it will show as paid , and won't do anymore damage , as i am trying to build a credit rating ,

But you said the told you that you couldn't cancel, so you did know it wasn't cancelled!. You just chose to not pay them for it.

JimmyTheWig

susant41 wrote: »

always leave a balance so they get some interest as hoping this helps

Thers's no evidence to suggest that leaving a balance on your card, and so paying interest, will help with building a credit limit.
If anything, I'm afraid to say, it makes it look like you can't afford to pay the whole thing off in full - in which case they may not want to increase your limit.

Leaving the balance there until it appears on your statement is a good thing - otherwise it makes it look like you don't use the card - but pay it off in full before the due date whenever possible.

Anthorn

JimmyTheWig wrote: »

Thers's no evidence to suggest that leaving a balance on your card, and so paying interest, will help with building a credit limit.
If anything, I'm afraid to say, it makes it look like you can't afford to pay the whole thing off in full - in which case they may not want to increase your limit.

Leaving the balance there until it appears on your statement is a good thing - otherwise it makes it look like you don't use the card - but pay it off in full before the due date whenever possible.

Not true. It all depends on what the lender is looking for. While all lenders are interested in making a profit from interest some lenders will be satisfied with the small amount made on transactions while still others will regard a balance as a short-term loan akin to an overdraft. All lenders are different and we cannot generalise.

Look at a hyperthetical situation: You have a credit card and for the last year you have cleared the balance every month and never paid interest. Then you apply for a card from a lender who is looking to make a profit from interest and is looking for new customers who are likely to keep a balance. Are you likely to get that card?

Doctor_Duke

Anthorn wrote: »

Just because you have a default doesn't mean Tesco will know about it. Usually they will get to know about it when attention is drawn to you such as a limit increase or you miss a payment. I doubt very much that Tesco is checking all accounts every day.

How can you be so sure about this statement? As you know lenders receive monthly data feeds from CRAs. Sure it will be up to Tesco on their risk profile / assessment how they would respond to this but you can't guarantee they would simply ignore it! A default though on your file will have implications on your credit file for six years and almost certainly will mean that some lenders will reject applications, not always but likely with some. The good advice you have received is worth following that is, add a notice of correction to your credit files (that's all three of them, CallCredit, Experian and Equifax and try to settle the debt asap.

susant41

hi all just a wee update . i got a reply from customer services at tesco bank and they don't do credit checks . they just check how the card has been run

Hi @susant41,



Automatic increases don't necessarily happen as soon as you're account reaches 12 months, however, you can request an increase after 12 months manually either online or by calling and speaking to a customer service colleague. We do automatic increase campaigns periodically, which we would send you a letter to inform you about. When we do credit limit increases we do not do a credit check, we consider your historical usage of the card. I hope this is useful.

Doctor_Duke

susant41 wrote: »

hi all just a wee update . i got a reply from customer services at tesco bank and they don't do credit checks . they just check how the card has been run

Hi @susant41,



Automatic increases don't necessarily happen as soon as you're account reaches 12 months, however, you can request an increase after 12 months manually either online or by calling and speaking to a customer service colleague. We do automatic increase campaigns periodically, which we would send you a letter to inform you about. When we do credit limit increases we do not do a credit check, we consider your historical usage of the card. I hope this is useful.

That's good news but do try and deal with that default. If you asked them how would they view your account with a default I'm sure you might get a different answer! Remember though they will still get regular data feeds from CRA's. Most lenders do!

susant41

the default will be sorted to settled or satisfied soon as paid . but they gave me the credit card with 2 defaults from 2012 :O but theses are being removed by british gas as it has went to there fraud dept as should never have been on my account .

Doctor_Duke

Great, good luck.