Credit Card Applications

EdCrane

Hi I am looking to become a first time buyer. I have a credit card with a previous bank, but for various reasons I don't want to use them any more so I am thinking of applying for a new one, but not sure of the affect that it will have on mortgage applications when I buy hopefully in the next few months.


I have a very good credit rating and it would be very unlikely that I wouldn't get it, but I can hold off it it could have a noticeable impact.


Thanks

Rocksolid

I think in distance of 3 months you may have an impact due to the delay of missing updates or delay in updates from your bank to credit institutions.
So, I would say to make a mortgage application after 6 months you've got the new one and close the old one.



Another suggestion is to wait someone more expert than me.

yksi

Is there any reason you need to change the credit card - anything urgent? Ideally, leave it alone until after your mortgage is granted.

Just as a headsup, lenders do not see your scores or "rating" - don't be fooled that a "good number" makes you a shoe-in. What matters is your history, so having a good one of those is a different bet. This means no defaults, CCJs, late payments in the past six years, a steady low use of credit, various credit being managed (mobile phone, pay by month insurance, unused overdraft), being on the electoral roll, not too many applications for credit, not too high credit availability or credit utilisation, not too many address changes, not too many seperate accounts in total.

While ONE credit card application is very unlikely to have much impact, these things are relative and it's all part of their assessment process. Each "undesirable" adds up and will affect the terms and interest rates you're offered. Generally speaking, people try to be on their best credit history behaviour when they're gearing up to apply for a mortgage.

kingstreet

Leave well alone. It can do only harm and no good.

WilliamA007

I am going on a cruise in summer and need a credit card to leave on ship for any additional purchases (not expecting to make any but you never know) as already have deluxe drinks package and food all included. I’ve never had a credit card before and intend to cancel it when I return and pay anything spent off within a few months.  Can anyone recommend one that will be interest free for maybe 3 or 6 months?  Any advice would be greatly appreciated.