Balance Transfers

ea123

Hi there, I'm hoping someone might be able to give me some advice.

I have a credit card I want to do a balance transfer on and have signed up for a new credit card to do this. 
The amount I want to transfer is just over £2000 and mistakenly I signed up for a new credit limit on new card/bank with only £1500 credit limit.

What is the best thing to do here? Will it lessen my credit score if I close the new account and find a new deal better suited to me with a different bank/higher credit limit?

Thank you.

grumpy_codger

IMO, the best is to transfer as much as possible to the new card and then apply for another card if needed.

ea123 said:

... mistakenly I signed up for a new credit limit on new card/bank with only £1500 credit limit.

What do you mean by signing up for a credit limit?

DullGreyGuy

ea123 said:

Hi there, I'm hoping someone might be able to give me some advice.

I have a credit card I want to do a balance transfer on and have signed up for a new credit card to do this. 
The amount I want to transfer is just over £2000 and mistakenly I signed up for a new credit limit on new card/bank with only £1500 credit limit.

What is the best thing to do here? Will it lessen my credit score if I close the new account and find a new deal better suited to me with a different bank/higher credit limit?

Thank you.

There is unlikely to be any difference if you apply for new credit now on if the new account is open or closed, in a short timeframe the lender may only be seeing the application at this point and not if you've a new credit product nor if you've closed it already. 

Banks see a more up to date version of the history than we do via the CRAs but it's still not realtime. 

ea123

grumpy_codger said:

IMO, the best is to transfer as much as possible to the new card and them apply for another card if needed.

ea123 said:

... mistakenly I signed up for a new credit limit on new card/bank with only £1500 credit limit.

What do you mean by signing up for a credit limit?

Sorry poorly worded, I have opened a new account with the credit limit of £1500. I'm new to this and did it in a panic haha, so I didn't realise I wouldn't be able to transfer the whole amount across.

Okay, I thought this might be the case. So better to transfer and pay the rest off the original card rather than cancel the new card and apply for another new card with a higher credit limit?

Thanks

CliveOfIndia

As per the previous reply, transfer what you can and pay down the remaining amount as quickly as possible - or else, try and look for an additional card.

I signed up for a new credit limit on new card/bank with only £1500 credit limit.

You don't specify what limit you want, the lender will decide based upon your credit history and their lending criteria.  Yes, some applications will allow you to specify how much you'd like, but ultimately they'll decide how much they are prepared to lend you.

ea123 said:

Will it lessen my credit score if I close the new account and find a new deal better suited to me with a different bank/higher credit limit?

Your score is immaterial, so you can ignore that.

You may find that another bank offers you a higher limit - or a lower one.  Each bank has different lending criteria and a different target customer base, but I would say it's unlikely that the limit offered by another lender would be vastly different to what this one has offered you.  Though maybe another card, even with a lower limit, might allow you to transfer the remaining balance.

ea123

Okay that's helpful thank you