Store cards

[strongy1986]

We are about to do a small renno and we might be a couple of k short.
We don't have a credit card

Anyway so I was considering getting a store card for bunnings or masters or both. I think they do $1000 limits

Say we went through with the cards and paid them off in a few weeks and then cancelled the cards would this negatively impact us on our next loan application?
If so can this be quantified?

Cheers

 

[Jamie M]

No - it's only one hit to the credit file which can easily be explained.

Cheers

Jamie

 

[strongy1986]

Ok thanks

If I don't cancel it what sort of affect would this have on our serviceability, assuming a 1 or 2k limit?

Cheers

 

[Aaron_C]

If I don't cancel it what sort of affect would this have on our serviceability, assuming a 1 or 2k limit?

About $30-60 per month.....nothing...

 

[Jamie M]

They normally attribute 3% to your limit when working out the monthly liability.

$2k shouldn't be a big deal - unless your servicing is extremely tight.

Cheers

Jamie

 

[Rolf Latham]

if your serviceability is ok I would not canel them

matching of data on A&L with recent credit enquiries can boost your score a little

ta
rolf

 

[strongy1986]

Thanks for the replies