Applying for Amex card before house move

Troubled42

Hi all,
I'm due to move in a few weeks and as we're currently in a fully furnished rental - we have to essentially buy everything

An Amex cashback card would help to a degree, due to the cashback offers. I would be paying this off in full each month.
It states on the website it does not affect credit rating because its a 'charge' card, not credit.

Are these cards safe to apply for now or will it risk potential mortgage issues on the day?
I understand we'd have to wait 3 months plus before we could apply at the new address, given that all systems need to catch up with our new address / register on electoral register etc.

Cheers.

Sandtree

Any application for credit is a risk to the mortgage approval.

You can apply for credit immediately post moving however the chances of being accepted go down as the CRAs wont have been updated and you've not proven that your financially stable in your new arrangements.

MattMattMattUK

Troubled42 said:

Hi all,
I'm due to move in a few weeks and as we're currently in a fully furnished rental - we have to essentially buy everything

An Amex cashback card would help to a degree, due to the cashback offers. I would be paying this off in full each month.
It states on the website it does not affect credit rating because its a 'charge' card, not credit.

Are these cards safe to apply for now or will it risk potential mortgage issues on the day?
I understand we'd have to wait 3 months plus before we could apply at the new address, given that all systems need to catch up with our new address / register on electoral register etc.

Cheers.

Any change to your financial circumstances present a risk to an mortgage application that is not fully completed. That is why you are always advised to not apply for any new/additional financial products before you have completed on the property. Whilst most small scale stuff is generally fine, for those who are very close (max LTV, edge of affordability criteria etc.) then it can cause issues, so the general advice is just do not do it. You have to think, is it really worth causing issues with the completion of the property purchase?

You do not need to wait three months at the new address, most things update fairly quickly, although some records might take slightly longer to update you can usually apply, you will have to supply a previous address but that is normal anyway. You might be declined for new/additional credit as you will have had a large change in circumstances (address change, mortgage added to your credit report etc.) but if everything else is fine that it will still likely go through.

At the end of the day it is your choice, but I would far rather take the gamble that I could not get a new credit card after moving house, than risk the sale being jeopardised. 

Marchitiello

Both Platinum cashback cards currently offered by Amex are Credit Cards, no charge cards.

There are currently two charge cards, “The Platinum card”, £595 annual fee, and “The American Express Card” (the green one), £60 annual fee. Both cards give you MR points, no cashback 

Sandtree

Marchitiello said:

There are currently two charge cards, “The Platinum card”, £595 annual fee, and “The American Express Card” (the green one), £60 annual fee. Both cards give you MR points, no cashback 

Missing a couple more...

"The Centurion card", £2,200 annual fee plus one off £3,000 initial fee
"The Harrods American Express", £150 annual fee
"The Basic card", no annual fee

The first gives you MR points and various other things, middle Harrods points and annual "cryotherapy", and the last gives you nothing. The first two admittedly are invitation only but everyone forgets the Basic card

Troubled42

Really appreciate the feedback everyone.
I thought there might be a route in here to grab an amex under the charge card basis.

Obviously anything that can put the house sale in jeopardy is a no-no and this has just confirmed it. I'll wait!

Marchitiello

Sandtree said:

Marchitiello said:

There are currently two charge cards, “The Platinum card”, £595 annual fee, and “The American Express Card” (the green one), £60 annual fee. Both cards give you MR points, no cashback 

Missing a couple more...

"The Centurion card", £2,200 annual fee plus one off £3,000 initial fee
"The Harrods American Express", £150 annual fee
"The Basic card", no annual fee

The first gives you MR points and various other things, middle Harrods points and annual "cryotherapy", and the last gives you nothing. The first two admittedly are invitation only but everyone forgets the Basic card

You are right, but there are a couple of reasons for my omissions (I could have been clearer in my text)

i was thinking in terms of rewards, MR vs Cashback as the OP was after cashback and mentioned Charge Card, hence the omission of the Basic card.

Centurion and Harrods are not listed on the Amex website. Centurion is invitation only and would not be offered to non existing customer anyway (the op wanted to apply for an Amex card). Harrods card is really aimed at heavy harrods shoppers, used to get the invitation to apply in the past when my office at the time was based in Brompton Road and used to pop in often during sales and/or to buy food treats. 

But, yes, your additional listing makes the offer of charge card complete.

to the OP: have you gone through Underwriter assessment yet? I do agree with the general advice on here, but just to share my experience on the last time I remortgage, albeit with my existing bank where I had at the time just short of 20 years history, was that I did have some  concerning things on my credit file (I stupidly just rearranged my CC portfolio, closing some disuse cards and applied for new rewards card, all showing high spending on them) and the underwriter were concerned with this, so what happen was that we had two sessions were they went through my credit records and I had to provide proof of my behaviours (so for instance that all statements were paid in full monthly even though their reports did show “rolling credit line used”, and on the one card with a high balance, (they cannot see the issuer, even though was actually from the same banking group) it was on a 0% balance offer and I had more then enough founds in my saving to pay it off at any time. They ended up being satisfied with this, but could be indeed a risk if you do not have a similar customer profile and/or dealing with a bank you have had a long relationship/customer record with. 

[Deleted User]

I'd get moved in and live off the basics, even getting dirt cheap from Facebook marketplace, charity that sort of thing, then in 6 months after you've decorated and what have you, apply for the card and start working on your longer term furniture etc