Credit card before completion

Fuzion

Probably a silly question, but is it a bad idea to use my credit card for a fairly large bill before completion? I've got my mortgage offer, but want to avoid any last minute hitches e.g. last minute credit check and noting changed circumstances. My credit card balance is currently zero and cleared every month, and I'd be looking at paying £1600 or so on it and clearing over 6 months.

mrginge

I wouldn't if I were you.

Fuzion

Right you are. Oh dear! I knew about this bill and had the funds set aside, but I just heard from my landlord that my partner, who pays the rent, has got in arrears (even though I pay him over half of the rent due every month by standing order). He's out of the country at the moment otherwise I'd be stringing him up. Luckily the LL is being very nice about it - think he recognised my shock at being told about this was genuine, and of course I promised to clear the arrears ASAP.

Hopefully we'll complete before the 31st and the card can be used to sort this crisis.

Fuzion

I did speak to a HMRC adviser who said that while I should get my balancing payment in by the 31st, I wouldn't face a penalty if I was a few days late on the payment on account. So I'm not going to sweat about it.

OTOH mortgage adviser also told me there was no real need to worry about using the credit card.

csgohan4

Always a risk to have new credit before completion, your choice. Anything goes wrong, you cannot blame the Mortgage advisor who told you.

amnblog

I hope you are not buying with this partner who takes your money but doesn't pay the rent.

Fuzion

Everything to do with the property is going to be in my name, and the mortgage will be paid by me alone. Plan was to let my partner pay the council tax and gas bill, but under the circumstances I'm now thinking of taking on everything myself and getting them to sign an agreement waiving any claim to the property. I think the mortgage advisor said I should do this if they were cohabiting but not on the mortgage.

One of our friend's tells me I ought to get my partner to sign a tenancy agreement!