Credit Card practises

[MartyG]

Bloke down the pub told me that having one and not using it is bad for your credit rating.

Any truth in that Easty?

Sort of. If you're applying for credit you're scored on various things. You start off with a base score and then points are deducted or added based on different criteria, one of those is not missing payments on loans and credit cards which shows you pay your debts reliably. However, the points lost are tiny on that, from what I remember when I was working on scoring systems is banking with the right bank gave you a more positive score than no payment history. CCJs don't go down well though.

[eastyy]

Bloke down the pub told me that having one and not using it is bad for your credit rating.

Any truth in that Easty?

as a rule they like to see payments made and clearing balances in full and that but if your not using it after a period time some credit cards can "expire" and if you leave it to long you cannot reopen so if you have a credit card your best to keep the account active making the odd transaction and clearing it

but i did have a customer who said had credit cards about 5 of them each with a 10k limit and then applied a credit card with us and was only approved a 1k limit. You do not get unlimited credit so if you close down cards your not using and never going to use it does help later on

[buster_broon]

I got my current credit card because there is no charge when its used abroad, you get cash back on uk purchases and it was 18 months at 0% interest and I've still got about a year left of it

There is about ?1000 on it at the moment , only use it for days out, concert tickets and some Christmas presents but normally pay ?100 a month to it to keep the balance down , just before the interest hike I will get it cleared

For me I would t bother clearing it off every month with most cards if you clear a debt within 60 days you don't accrue any interest but always always make a payment every month because if you miss one you up schtuk

I also have a direct debit set up just incase I miss a payment as a back up and its set to pay the minimum payment

['Press Start']

Anyone here going to own up to having the Amex slate card?

It is really weird card, cold to the touch and obviously rock solid. Must be awkward to have in the pocket?

[Decider-VT]

Is that the metal one?

[baad bwoy]

i work for a credit card company



People often ask for there credit limit to be a certain amount to avoid temptation but that may affect credit file

How might it affect your credit file by requesting a lower credit limit?
Also to Colin, I wouldn't feel safe having a credit limit of 30g's just in case I was defrauded...better to hold a lower one or none at all

[eastyy]

How might it affect your credit file by requesting a lower credit limit?
Also to Colin, I wouldn't feel safe having a credit limit of 30g's just in case I was defrauded...better to hold a lower one or none at all

it is not quite this simple but when banks see a reduction in credit file they do not know if the credit card company did it or if the customer requested it. Though they would take into account other things like payments etc


most cards are covered for fraud anyway regardless of the amount (though may want to check with credit card company you are with )

[wod]

Credit Card practises

I wondered this as I have a Halifax card and they lowered the limit themselves even though I have been using it fairly regularly.

Wasn't too bothered as the interest rate was ridiculous anyway.

Is it bad on my credit file if I have say 3 cards ?

I use them to switch balances on for 0% offers etc.