Credit Usage

cmbrookes

So I’m currently saving for a mortgage. My credit report is decent. With no missed payments. I have had no hard searches in the past 6 months and credit reference agencies advise me to keep this up but then at the same time they also tell me I need to increase my credit limit to over 4K because lenders like to see credit limits of 4K or over but using very little of the credit. I can’t increase any of my accounts I have open so the only way I can increase my credit limit to over 4K is by applying for a credit card but then this will go down as a hard search on my report. Not really sure what I should do so any advise would be great.

[Deleted User]

Ignore the suggestions made by the CRAs.

If you're offered increases by your existing cards then accept them. If you want another card, apply for one.

But lenders want to see responsibly managed credit, not limits of £4,001.

cmbrookes

Deleted_User said:

Ignore the suggestions made by the CRAs.

If you're offered increases by your existing cards then accept them. If you want another card, apply for one.

But lenders want to see responsibly managed credit, not limits of £4,001.

Thanks for that. The CRAs shouldn’t be allowed to make these ridiculous suggestions. I don’t really want or need a credit card, I would have only have applied for one because the CRAs suggested it to increase my credit limit. 

Ebe_Scrooge

cmbrookes said:

Deleted_User said:

Ignore the suggestions made by the CRAs.

If you're offered increases by your existing cards then accept them. If you want another card, apply for one.

But lenders want to see responsibly managed credit, not limits of £4,001.

Thanks for that. The CRAs shouldn’t be allowed to make these ridiculous suggestions.

In the same way that they shouldn't be allowed to run adverts extolling the virtues of having a high credit score :-)

I caught an ad on TV recently, one of the CRAs saying that improving your score could help you get access to better credit.  In the small print on the bottom of the screen (which I like to read, 'cos I'm a bit nerdy like that!) it said something like "Your score may be different to the one seen by your landlord".  Eh?  The advert was nothing to do about renting or landlords.  Perhaps they meant "lender" ???  Dunno, but if they can't be bothered to proof-read their own (presumably quite expensive) adverts, it gives some indication of how reliable their "suggestions" are :-)