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Credit utilisation

aaz01
aaz01 Posts: 50 Forumite
Sixth Anniversary Combo Breaker
I've got HP finance on my car, a bank loan and a credit card which I'm using for a 0% balance transfer (still got over a year to go before I need to move the balance to a different balance transfer offer).

I also have 4 other credit cards which were previously used for balance transfer offers, but have been empty since those offers expired.

Including all of those cards I have around £40k credit available - of which I'm using around £15k.

I would like to buy a replacement car (£10k-ish) on finance, but it will need to be approved before my current car is sold and finance settled.

Am I more likely to be offered a good rate if I have lots of available/unused credit? Or should I first close the old credit cards to reduce the amount of available credit I have?

Comments

  • foxy-stoat
    foxy-stoat Posts: 6,879 Forumite
    Eighth Anniversary 1,000 Posts Name Dropper
    Not sure if it really matters as the likely factors will be current debt and salary and past credit history.
  • Gaz83
    Gaz83 Posts: 4,047 Forumite
    1,000 Posts Combo Breaker
    Every lender will have their own lending criteria, and they don't make this criteria public.
    "Facism arrives as your friend. It will restore your honour, make you feel proud, protect your house, give you a job, clean up the neighbourhood, remind you of how great you once were, clear out the venal and the corrupt, remove anything you feel is unlike you... [it] doesn't walk in saying, "our programme means militias, mass imprisonments, transportations, war and persecution."
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