Best credit card solution for big house renovation?

lb00

Hi everyone,

We’re kicking off a big flat renovation next week, which will cost around £45k. My builder accepts credit cards, including AMEX, and we’ll also need to buy kitchen appliances, furniture, beds, a sofa—you name it.

I’ve already got an Amex Cashback Everyday Credit Card that I’ve been using since March. I’m just about to hit the £10k threshold, so I’ll soon be earning 1% cashback on everything.

Since we’ve got the cash to pay for the renovation, I’m wondering how to make the most of it and get as much money back as possible. I’ve got two ideas so far:

1. Maxing out one or more rewards cards – Pay everything with a rewards credit card (or cards) and clear the balance in full each time.

2. Using a 0% credit card – Pay with a 0% interest card, then invest the cash we’re not using in the meantime.

What do you think is the better move? Or is there another clever way to maximise how much money we get back?

Any advice is much appreciated—thanks in advance!

lb00

Anyone? 
I checked and would get approved 100% on the barclays credit card.

WillPS

It's up to you really. In pounds and pence, depending on the term 0% + invest is likely to be the biggest gain - and it might also help cash flow, but you need a clear plan to pay it off (i.e. making sure the money you invest will be available at the diarised points necessary to pay down the balance).

If you're sticking with Amex it'd be best to ask if they'll change your card to the paid version so you'll earn 1.25% instead of 1% over £10k.

lb00

WillPS said:

It's up to you really. In pounds and pence, depending on the term 0% + invest is likely to be the biggest gain - and it might also help cash flow, but you need a clear plan to pay it off (i.e. making sure the money you invest will be available at the diarised points necessary to pay down the balance).

If you're sticking with Amex it'd be best to ask if they'll change your card to the paid version so you'll earn 1.25% instead of 1% over £10k.

I've just got approved for the HSBC 20 month credit card with a 5k limit. On the Amex I have 13k instead.
I'll call today to ask for the paid version and if they can increase my credit limit a bit.

I guess applying for another 0% card shortly after this one would affect my score negatively? Or perhaps I could apply to one of the other Amex cards to take advantage of the welcome bonuses?

Thanks!

born_again

lb00 said:

I've just got approved for the HSBC 20 month credit card with a 5k limit. On the Amex I have 13k instead.
I'll call today to ask for the paid version and if they can increase my credit limit a bit.

I guess applying for another 0% card shortly after this one would affect my score negatively? Or perhaps I could apply to one of the other Amex cards to take advantage of the welcome bonuses?

Thanks!

You have to remember that they will be looking at your income (savings not counted) to available debt. A rush of CC applications on your credit history. Is going to make any lender very weary of adding any more debt to their books.