Help!! What to do

mth1983

Hi all I need some advice regarding credit cards, I have 4 basically all up to the limit, cards and credit limit below 

Vanquis - 500

Cap 1 - 200

Ocean - 200

118 - 250

I have had a windfall of money and want to clear them all, but I have a bad credit rating so want to start building my credit rating up, so I’m gonna use a card to pay my monthly petrol £100 and pay it off in full each month, so am I best off closing 3 accounts and just keeping 1 say the £500 limit one? Will it hurt me to have less available credit on my record? Or shall I keep them all open and just cut the ones up I don’t use

cheers

[Deleted User]

Neither. Keep all the cards and use at least two or three of them from time to time to keep them active, clearing in full each month. 

Accept any and all limit increases.

mth1983

If I spend £100 on petrol, should I pay it straight off like in 4 days time? Or I can set my direct debit to take the full amount to be safe? I’m just confused as not sure with statement dates and intrest

[Deleted User]

Set up a DD for full payment on all cards. 

mth1983

The 118 card has a £8 a month subscription fee, should I keep it? All of these cards are around 30% apr

[Deleted User]

No. Don't pay a fee for a card unless it's giving you something like airport lounge access, travel insurance or free back rubs from Rachel Riley.

mth1983

Haha, cheers il pay that off and close it 

daveyjp

If you aren't sure of statement dates and interest pay them all off now, stop using them for a couple of months.  Cancel the one you pay for.

Use this time to understand the fundamentals and start again using one card you can track.  You can keep the others open.

[Deleted User]

mth1983 said:

If I spend £100 on petrol, should I pay it straight off like in 4 days time? Or I can set my direct debit to take the full amount to be safe? I’m just confused as not sure with statement dates and intrest

Wait until the payment hits and a statement is produced before paying or it looks like you aren't using it.

phillw

I would set a DD to pay the full balance on all 4 cards and use all 4 cards.

MalMonroe

Hi, I'd also get rid of the one you have to pay for. What a cheek! I'd close that altogether. And then set up direct debits to clear the others every month. Your balances aren't very high so I'd not worry - and you won't be paying any interest because the balances will be cleared. This is what Experian says https://www.experian.com/blogs/ask-experian/better-pay-off-credit-card-full-every-month-or-maintain-balance/