when you should apply for 2nd stoozing card?

homersimpson_3

my friend recently applied for virgin, accepted and payed money into flexible mortgage account. she payed first minimum payment to virgin.
will this appear on her credit report? is is safe for her to apply to egg so she will have 2nd stoozing credit card which she also intends to pay into mortgage account. will egg ask about money she owes virgin and use this information to determine how much money they will give her. i think she have good credit rating and doesn't want to damage it in any way by coming across as being too desperate etc.
thanks

Clariman

Hi Homer
When your friend applied for a credit card, a bank loan, interest free offer on a 3-piece suite or even a mobile phone telephone contract, the lender will do a credit check on her (or anyone else for that matter). A credit check involves contacting one of the credit reference agencies (e.g. Experian or Equifax) who collate and store information from all lenders. So any lender will see what is on her credit report i.e. they will see what other debts she has, what her payment history is like, whether she has defaulted on any debts, whether she is on the electoral role at her current address etc etc. In addition they will also see how many other credit searches have been done on her credit file.

So, in answer to your questions. Yes, the Virgin card will appear on her credit report as both a credit search and an existing debt. Depending on how recent the monthly payment was, it may or may not yet appear on her credit report.

Yes, Egg will see that she has recently applied for and received a Virgin credit card and what the credit limit is. Will this affect how likely Egg are to lend to her ? Well - it depends on lots of things like salary, total existing debts etc etc. However, applying for 2 cards within a couple of months of each other is not, in itself, a problem.

Egg won't ask her how much she owes Virgin because they can find out from the credit check anyway. Sometimes application forms do ask you to provide details of your other debts so, if they do, she should answer truthfully.

Clariman