We’d like to remind Forumites to please avoid political debate on the Forum.
This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
Too much credit on CC?
s_r
Posts: 42 Forumite
in Credit cards
Hi everyone. Apologies in advance if this question is being posted in the wrong section/location.
I have a simple questions regarding Credit available on credit cards... I have two credit cards with a combined limit of £40K. However, I only utilise about £500 a month (in total) on my cards. Hence, as I am using very little credit of what's available to me; is there any point in lowering my credit limit? The reason I am pondering this is because I am looking to buy a car on Finance soon and I am thinking perhaps I may not be approved as I have so much credit already available.
Side note: I have always paid off my cards in full and never incur any charges such as interest and late payments.
I have a simple questions regarding Credit available on credit cards... I have two credit cards with a combined limit of £40K. However, I only utilise about £500 a month (in total) on my cards. Hence, as I am using very little credit of what's available to me; is there any point in lowering my credit limit? The reason I am pondering this is because I am looking to buy a car on Finance soon and I am thinking perhaps I may not be approved as I have so much credit already available.
Side note: I have always paid off my cards in full and never incur any charges such as interest and late payments.
0
Comments
-
Whilst you can potentially have too much available credit, reducing your credit limits might make potential lenders concerned as to why the limit was reduced. For example, perhaps the CC company has concerns over your creditworthiness? So I wouldn't do anything at all right now, you'll likely do more harm than good.2
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 355.3K Banking & Borrowing
- 254.7K Reduce Debt & Boost Income
- 455.9K Spending & Discounts
- 248K Work, Benefits & Business
- 605.2K Mortgages, Homes & Bills
- 178.9K Life & Family
- 263K Travel & Transport
- 1.5M Hobbies & Leisure
- 16.1K Discuss & Feedback
- 37.7K Read-Only Boards