Improving Credit Rating

Raymonndo

Hello,

I'm looking for advice on the above.

Firstly overdrafts, is it good to have one and not be in it? Or to not have one at all? Should it be a low or a high limit?

Credit cards, again is it good to have a low or a high limit? What sort of utilisation would be positive for a credit rating?

Anything else I could do?

Thanks!

[Deleted User]

Depends on a number of factors. What is your current situation?

Essentially, you want to demonstrate that you are in control of your finances. So stay out of your overdraft and clear your card in full each month.

Raymonndo

I'm looking to apply for a mortgage in a couple of months so want to prepare as best as I can.

I currently have a £1800 overdraft, I've never been overdrawn. I'm not sure if it might be better to reduce, keep the same or increase this?

I currently have a £7000 limit on the credit card which again I'm not sure to reduce or keep the same?

[Deleted User]

Leave them both.

Raymonndo

Thanks!

Is there anything else I can or should do in terms of credit?

[Deleted User]

Be on the ER.
Don't go overlimit or miss payments.
Stay out of your overdraft.
Don't over think it.