Is it a bad idea to apply for a new credit card three weeks before we have to remortgage?

cbo123

Our current mortgage deal runs out at the end of this month (29th) and my current 0% deal on my credit card runs out in two days (7th). My credit score (as accurate as they are) is 999 on Experian so that shouldn't be a problem, and because I have some options available to do a balance transfer to another 0% deal credit card I would like to do this. However I am unsure if a recent application for credit will have a negative affect when they come to process our mortgage at the end of the month? The new card will not be use for any purchases or withdrawals and there are no issues with making payments etc. it is purely to extend my 0% on my existing balance. Does anyone have any experience with this? Do people know if the new card will even be on my credit file in that time? Any thoughts/experiences appreciated.

MattMattMattUK

cbo123 said:

Our current mortgage deal runs out at the end of this month (29th) and my current 0% deal on my credit card runs out in two days (7th). My credit score (as accurate as they are) is 999 on Experian so that shouldn't be a problem, and because I have some options available to do a balance transfer to another 0% deal credit card I would like to do this. However I am unsure if a recent application for credit will have a negative affect when they come to process our mortgage at the end of the month? The new card will not be use for any purchases or withdrawals and there are no issues with making payments etc. it is purely to extend my 0% on my existing balance. Does anyone have any experience with this? Do people know if the new card will even be on my credit file in that time? Any thoughts/experiences appreciated.

Your credit score is a meaningless, made up number, it has no relevance to anything.

Are you rolling over an existing product to a new deal, changing provider, borrowing more? Are you going direct to the bank or through a broker? 

penners324

The credit card debt is likely to be a bigger issue than opening a new account 

dunstonh

My credit score (as accurate as they are) is 999 on Experian so that shouldn't be a problem

Congratulations on your marketing score.     However, not a single lender takes any notice of that. 

However I am unsure if a recent application for credit will have a negative affect when they come to process our mortgage at the end of the month?

1 credit application per 6 months is fine.   2 will hurt your chances but not be terminal unless you are pushing limits.

Utilisation of credit limits and sustained credit card debt are also damaging.

If you intend to use product transfer instead of remortgage (which for most, that is the case at the moment) then credit checks are not made.