Credit limit

Nareik

Hi. Hoping for some advice.

Around 6 weeks ago I wanted to transfer around £3000 so I successfully applied for a 28 month M&S balance transfer card, however when it arrived the limit was only £500, despite me using an eligibility calculator. I've now transferred the £500 to the M&S card. At the moment, and according to Clear Score I have a good credit score of 485 and several 'pre-approved' cards which I could apply for but I'm nervous about applying for any of them now as I was stung with the M&S card. I'll readily admit I get confused when working out APR, etc., but would like to go for one of the cards - either the Virgin Money 24 month 0% at 23.9% APR or HSBC 28 month 0% at 21.9% APR which I have an 80% chance of being approved - so I can start getting rid of my debt asap. Is there a way of knowing roughly what credit limit will be offered on a card before applying?

Willing2Learn

I believe Mbna, Lloyds, Halifax, BOS and Nationwide will tell you an estimated limit as part of their eligibility check. There is no harm in making another one or two applications

MEM62

Nareik wrote: »

According to Clear Score I have a good credit score of 485

The day that Clear Score offer you a balance transfer card will be the day that score will be worth something. You 'score' can be safely ignored. A lender will make their decision of hour credit history and whether you fit their lending profile.

Ebe_Scrooge

With a few exceptions as noted by Willing2Learn above, you usually only know your limit when you are accepted. Another 1 or 2 applications will be fine, more than that and it starts to make you look desperate to potential lenders.

Remember that your "score" is meaningless and is not seen by lenders - indeed, I can almost guarantee it will go down if you are accepted for another card, it tends to respond negatively to any change in credit circumstances, good or bad. Remember, also, that shifting the balance to another card is not "getting rid of your debt", it's merely moving it from one place to another. Yes, if the 0% APR means you are then more able to repay the capital then good on you :-) But you really should be planning to have paid off the full amount by the time the promotional rate finishes, there's no guarantee you'll be able to switch again.

[Deleted User]

Willing2Learn wrote: »

I believe Mbna, Lloyds, Halifax, BOS and Nationwide will tell you an estimated limit as part of their eligibility check. There is no harm in making another one or two applications

They are indeed an estimate - people have gotten the exact limit, some less, and some more in some cases.

It's just a guideline and still requires a full search before it can be determined

Nareik

Ebe_Scrooge wrote: »

Remember, also, that shifting the balance to another card is not "getting rid of your debt", it's merely moving it from one place to another. Yes, if the 0% APR means you are then more able to repay the capital then good on you :-) .

Of course, my terminology is a bit out in my message but this is what I meant. Thanks for your reply :-)

Anthorn

Nareik wrote: »

Hi. Hoping for some advice.

Around 6 weeks ago I wanted to transfer around £3000 so I successfully applied for a 28 month M&S balance transfer card, however when it arrived the limit was only £500, despite me using an eligibility calculator. I've now transferred the £500 to the M&S card. At the moment, and according to Clear Score I have a good credit score of 485 and several 'pre-approved' cards which I could apply for but I'm nervous about applying for any of them now as I was stung with the M&S card. I'll readily admit I get confused when working out APR, etc., but would like to go for one of the cards - either the Virgin Money 24 month 0% at 23.9% APR or HSBC 28 month 0% at 21.9% APR which I have an 80% chance of being approved - so I can start getting rid of my debt asap. Is there a way of knowing roughly what credit limit will be offered on a card before applying?

If my experience of Virgin Money is anything to go by I have to advise against the Virgin Money credit card which appears to have gone to pot since the merger with CYBG: I am having repeated login problems which result in continual resetting of my online account. In addition they reduced my credit limit without any notice whatsoever citing Experian. I received a postal letter and checked my account and the limit was already reduced! In fact I checked my Experian report and it's much improved on a year ago because I have been clearing credit balances. Virgin Money is now at the top of my hatchet list.

Overall, save yourself the hassle and look elsewhere.

Sea_Shell

I've found Barclaycard to be the most generous with credit limits. Not sure what 0% deals they have on at the moment though.

Anthorn

+1 for Tesco Clubcard credit card which at one time I found lacking and I advised against it. They keep coming up with new balance transfer offers. However the offers are not shown in the online account or app. I get an offer code by email which I have to enter when arranging a balance transfer to get the deal. My 0% BT deal ran out a year ago and right now I have another 0% for 12 months BT offer as well as a 0% 12 months money transfer offer. They have also been forthcoming with limit increases.