Mortgage Prep Credit Limits

tobes17_2

Good Morning,

Apologies if this is in the wrong place but i am new here!

I am in the process of saving for a mortgage (not far to go!) my credit history is immaculate with no defaults or late payments, however, I have 2 current accounts each with £100 overdraft limit and also a credit card with £2000 limit, I never go into my overdraft and am always in credit.

I use my credit card for expenses for work (roughly around £300 per month) and im just after a bit of advice;

Would getting rid of both overdrafts and lowering my CC limit to say £1000 make me more attractive to lenders, will it show that i have less credit available to me thus making me more attractive or should i keep the CC the same as it shows that my credit utilisation on there is less than 25%?

Any advice greatly appreciated!

Thanks :beer:

[Deleted User]

Don't change anything. Your limits are very low and you don't appear to have problems managing the little credit you have.

A sudden drop in available credit now is more likely to concern a lender.

tobes17_2

Thanks for your quick reply!

JimmyTheWig

I agree with zx81.
Imagine if someone you know asked you to lend them some money. You weren't sure so you checked what your friends thought.

Scenario 1. Your friends say they'd be happy to lend him lots of money.
Scenario 2. Your friends say they'd lend him money, but not too much.

In which scenario would you be more likely to lend the money?
If scenario 1, then don't reduce your credit limits to make yourself look more like scenario 2.