Hey all,
I'm in the process of applying for a home loan, and was wondering if the amount owing on a credit card will affect my ability to borrow?
We've been putting all our savings into an account to satisfy the 'genuine savings' requirement, but now that we've hit the 5% genuine savings mark, would we be better off clearing the credit cards?
I know that the 'Credit Limit' is what is asked during applications, (and normally never ask the current balance?).
I know it sounds like a silly question, but as the balance on a credit card can fluctuate quite rapidly, i thought perhaps they only base their assessment on the total limit.