Question about credit card applications

[VectraMan]

However, I reckon as a contractor its impossible to borrow money when say for example you've been say, 6 months out of a contract and you only have 12k in the bank and the economy has hit the doll drums.

When I started contracting I took out three credit cards and arranged an overdraft facility, just so I knew I could survive for a while. And I didn't tell any of them I was now effectively unemployed.

£12K in the bank is quite a lot, I don't see why you'd want to be spending on credit cards when you have the cash.

[BrilloPad]

I want to have the max. available credit to me just in case...

Is credit cards the only way forward? That statement concerned me - personally I would rather live off state benefits than borrow money I might not ever be able to repay. When I was young credit was called the never never - I suppose things are different now?

[eliquant]

You do know that credit cards are probably the most expensive possible way to borrow money?

Yes, I do know that credit cards are a bad thing hence my zero balance on all my existing ones.

However, I reckon as a contractor its impossible to borrow money when say for example you've been say, 6 months out of a contract and you only have 12k in the bank and the economy has hit the doll drums.

[TykeMerc]

You can have multiple Visa cards and Mastercards, simply because they have the same symbol doesn't make them connected. It's possible to have multiple Mastercard of Visa cards from the same card issuing company like RBS, Lloyds TSB, HSBC, MBNA etc etc etc. Cards from Harrods, BA F. Bloggs retail with the Visa or Mastercard symbol are issued by one of the large card companies and just branded differently. Tesco for instance used to be RBS cards, they probably still are.

All credit card applications that I've ever seen require you to declare any cards you currently hold so that they can assess your risk. If you leave info off that they require you will risk the application at the least and a refused application is a negative on your credit record.

The amount of credit that you have has effects on your credit record. If you have no or next to no credit then you're a bad risk and if you have massive amounts of credit accross huge numbers of cards you're a bad risk.

Check moneysavingexpert.com for real advice, it's a good site.

You do know that credit cards are probably the most expensive possible way to borrow money?

[Gonzo]

1. The question is it possible to hold say, 2 x Master Cards from different companies and just double up your credit allowance in that way or do you have to declare the other Master Card when applying for the 2nd one ?

Yes you can. I think that you will be required to declare any other cards on the application form for your new one. At which point they will offer you "generous terms" on a balance transfer.

Also if you can say hold 2x VISA cards or 2x Master Cards how does this affect your credit rating ?

Microsoft Money tells me that if I have more than 5 cards then that is detrimental to my credit rating.

I was running some serious balances on multiple cards back when I was a permie - that only seemed to make me more attractive to the card companies. I owe them nothing now of course

[eliquant]

I have the usual bog standard array of Credit Cards i.e. Access / VISA / Master Card but I keep getting offers for the same cards but from different companies ie I think Harrods offered me a top end Master Card.

The question is it possible to hold say, 2 x Master Cards from different companies and just double up your credit allowance in that way or do you have to declare the other Master Card when applying for the 2nd one ?

And yes I am asking because I'm pretty sure that I won't be getting renewed and times are tough and I want to have the max. available credit to me just in case...

thanks in advance. ...

Also if you can say hold 2x VISA cards or 2x Master Cards how does this affect your credit rating ?