Credit card 0% transfer

Ayjay321

Hi,

I have a credit card that is due to run out of the promotional period of the 0% interest on 17/05/25. I normally apply for a new credit card and have no issues transferring the balance. A few days ago I applied for a Barclay Card credit card requesting a transfer of £4k balance. This was pre-approved and as it was the top suggestion on MSE I went ahead and applied. However they then authorised at £1500 credit limit. This obviously won’t cover as I required it to.

Can you advise what to do now? I’m aware that it can impact my credit rating to apply for 2 credit cards so quickly but I’m not sure that I have another option at this point?

Also since applying to Barclay Card I’ve read about this happening to others, is this likely to be for all providers or are there some who would be willing to allow for that transfer amount? I appreciate that each person's credit is different. I currently have a good credit score for what it's worth. 

I ask this as I would prefer to apply to one more provider and not impact my credit score any more than necessary

Any suggestion/advice would be greatly appreciated, thanks in advance

grumpy_codger

Ayjay321 said:

I have a credit card that is due to run out of the promotional period of the 0% interest on 17/05/25. I normally apply for a new credit card and have no issues transferring the balance.

A few days ago I applied for a Barclay Card credit card requesting a transfer of £4k balance. This was pre-approved and as it was the top suggestion on MSE I went ahead and applied. However they then authorised at £1500 credit limit. This obviously won’t cover as I required it to.

Do you normally close the old cards after transferring the balance? If not, it's hardly a surprise that you start getting lower limits and, finally, rejections. And if you keep some cards, check them for offers for an existing customer.

Can you advise what to do now? I’m aware that it can impact my credit rating to apply for 2 credit cards so quickly but I’m not sure that I have another option at this point?

Transfer as much as you can and apply for another card. 1 credit check and even 2 in in a row isn't too many and you have nothing to lose, but it's difficult to predict the outcome and the limit(s).

Ayjay321

Thank you - yes all previous cards have been closed. This is currently the only card I have and aside from a mortgage I have no other debt

Nasqueron

You should transfer as much as possible to this card and either try another card application (2 together is the most you should do) or pay off the remaining balance using the money you put aside for this.

vacheron

Try another card application as soon as possible. use a balance transfer card comparison site and apply for the 2 which show the highest chance of approval.

I was stiffed in the same way by Barclays with my last card, where despite me owning 3 previous barclaycards with 5 figure balances (and being a Barclays premier customer). They decided on my last application to accept me, and then give me a pitiful £1500 credit limit which I only discovered when they posted out the contract days later. 

I moved all I could to it regardless, but closed it as soon a possible when I was accepted for a different providers  card with a substantally higher limit.

Contanti

Hi
We've just had a similar experience with HSBC. My husband was accepted for HSBC's 0% credit card for 32 months but, despite having a high income and great credit rating, was only given £2000 credit limit. This was not much use since he wanted to transfer £7000. It seems a bit misleading to say you can transfer all your outstanding credit from other cards then limit the amount of credit you can have? He doesn't want to start applying for another cards since he already has 2 others. It this common to be given such a low credit limit on what looks like a good deal?

CliveOfIndia

Contanti said:

My husband was accepted for HSBC's 0% credit card for 32 months but, despite having a high income and great credit rating, was only given £2000 credit limit.

A high income (though what do you define as "high" ?) is one positive factor, but it's only one of many factors that a lender takes into account.  And if you're referring the the CRA's assessment of your credit rating, ignore that - each lender will make their own assessment by comparing your credit data against their own particular lending criteria - which can very quite substantially from one lender to another.

Contanti said:

It this common to be given such a low credit limit on what looks like a good deal?

Yes, it's very common - they'll decide on what limit to give you when they've run all of your data through their algorithms.

Contanti said:

This was not much use since he wanted to transfer £7000.

As per previous comments, transfer what you can.  You can make one more application with a different lender, but don't go making more than 2 in quick succession.

This is a prime example of why it's always advised never to rely on being able to transfer balances.  If you're able to BT, then great - but one should never bank on being able to do so.

Organgrinder

I've run up a fair bit of stoozing (for me it seems quite high) - approximately £30k - and applied for 2 new cards yesterday - the first gave me £11,000 of credit, no problem. The second however despite being "pre-approved" in their own app - then gave me half the limit and said they'd decide in a week or so whether I now qualify.

Over the past couple of months the deals I've been "offered" have remained fairly constant but today there are very few. Clearly opening the last card has tipped me over! Not to worry - I'll wait a few months and try again!

It was however motivated me to get rid of unwanted cards and accounts. So have closed one's I am no longer using. Doubtless my own fault for getting a bit lazy and not closing cards down once finished with them!

Lesson learnt!