Hi guys, I am looking to get a new credit card and transfer the balance from my existing credit card. I am wondering if it will have any affect on my credit history? Also, if I get rejected for the new credit card will that have a negative impact on my credit history? Thanks in advance.
Balance Transfer on Credit Card- Does It Affect Credit History?
apprentice on 16/04/2019 - 08:40
Comments
Oh wow and here I was thinking I could live interest free forever transferring from card to card. Lucky I never put that plan into effect.
You can. As long as you don't have too many applications, it's fine. It was previously mentioned that some banks look for no more than 2 card applications in the past 6 months.
Also, once you have 2 (or more) credit cards open, you can just keep transferring between them with no effect on your credit score. Opening a new card is listed on your credit report, but not your balance, how much you're repaying each period or if you've applied for a balance transfer.
I've been bouncing around balance transfers for years without issue. I use the money to put into the mortgage to reduce interest there.
Yes, its an application for new credit! If its rejected, the enquiry will appear on your credit report and lower your score either way.
Rejected or.not, The credit enquiry will always appear.
Yes, on your credit report, there's no differentiation between:
- Applied, approved and accepted
- Applied, approved and not accepted
- Applied and denied
Applying for a new credit card will affect your credit history, but requesting a balance transfer on top of that will have no additional impact.
In terms of the effect a rejection will have on your credit report, there's no differentiation between:
- Applied, approved and accepted
- Applied, approved and not accepted
- Applied and denied
Yes, and Yes.