Exceeded credit card limit -help!

redpete

!!! wrote: »

They probably won’t divulge when then report.

Ignore any scores or ratings as they’re not real

Until a mortgage lender you've applied to calculates a score/rating based on your credit history, then it is very real and can affect the chances of you getting a mortgage with them.

However, a short-term one-off exceeded-limit event is unlikely to have a decisive effect on you getting a mortgage approved.

Anthorn

JimminyC wrote: »

Hi,

I had £20 left on my credit card. I knew my bank statement for this was due, but thought I was fine as I was £20 within the limit. Naively, didn’t even think about the interest fees being added to my balance, so my statement has been published yesterday and took me £17 over the limit - after interest and £12 for exceeding limit has been taken. I noticed this afternoon and paid money immediately to get me back within the limit.

I called Barclays as I am now panicking about my credit rating, which was the only reason I got the card in the first place, to help build my score! (Please note I was only close to the limit due to some recent difficult times, and have never been before). I always make payments on time. So I called Barclays, the man I spoke to said they do not report exceeded limits to credit agencies, only missed/late payments and they report balance due.

My question is, will the report of my balance due mean that credit reference agencies will see I exceeded my limit anyway? Can someone explain what balance due means? Or does it mean that should Barclays inform CRAs say tomorrow or my balance due, I am now back within the limit and should be okay?

Please help, I really don’t want the black mark against me as I am wanting a mortgage next year

Roundabouts and swings. Depends on the date of your payment which brings your balance below your credit limit , the date the lender reports to the CRA and how deeply a prospective lender looks at your credit history. It's not exactly rocket science to deduce that a balance which is more than your credit limit means that you are over limit.

But relax, only Jesus is perfect and most of us will make a mistake sooner or later. It's not isolated incidents which affects your credit history but repeated incidents. i.e. if you've done it every month for a few consecutive months you can worry about it.

[Deleted User]

As others have said IF they report the balance at it's worst (some don't) it'll affect you for a few months as it shows you were recently more of a risk. After say 6 months it'll be fine.

I've recently won at the FOS over the "statement balance" that was reported being 1: incorrect and 2: miles over my limit.

It affected my 'score' as the CRAs see it, but also in terms of what lenders generate.

I've obtained 2 credit cards since, 6-9 months on - so any impact on mortgages for you next year will be minimal, assuming everything is kept up to date in the meantime.