Credit Card while applying for affordable housing

Hey guys

Sorry if this has already been asked before but, i'm currently planning on applying for the affordable housing on my own. I have a credit card bill of 3,000 euro but have been saving for the last year and have 11,000 euro in savings. Would it be best for me to take 3,000 from my savings and pay off the credit card or will they look on this as that I haven't saved 650-700 a month for the previous 3 months to my application.

Would be great if anyone could advise me

Thanks

I think you would be better off clearing the €3K from your saved funds since maintaining savings while borrowing (especially at CC rates) makes no sense. Also - €11K in the hand and €3K on the CC is worse than €8K in the hand and €0 on the CC if the CC balance is racking up interest charges. If necessary explain to them that you actually saved €11K some of which you used to clear debts to become debt free.

Another alternative might be to transfer the outstanding balance to a 0% offer CC especially if you are going to close a purchase in the next 6 months or so thus reducing the cost of credit and keeping your lump sum intact. Just don't start racking up more charges on the CC (which may incur interest costs immediately as long as the transferred balance has not been cleared) and make sure to clear the balance before the 0% offer period elapses.

Pringles said:

Hey guys

Sorry if this has already been asked before but, i'm currently planning on applying for the affordable housing on my own. I have a credit card bill of 3,000 euro but have been saving for the last year and have 11,000 euro in savings. Would it be best for me to take 3,000 from my savings and pay off the credit card or will they look on this as that I haven't saved 650-700 a month for the previous 3 months to my application.

Would be great if anyone could advise me

Thanks

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why not change to NIB credit card around 10% per annum interest, 6 mths free interests payments

PAY IT OFF!!

I have been approved for affordable housing in both Fingal and SDCC. My credit card bill was under €200, the lady in Fingal told me this was ok, but if it was much more I'd be in trouble. By the time of my interview with SDCC my CC balance was close to zero, but they made me cancel my over-draft on my current account (which was limited to €500 and rarely used). Both councils dont look favourably on short-term credit.

We have been provisionally approved by fingal and were told to keep our credit card under €300. So id either pay of the credit card with the lump sum or put off applying for affordable housing and transfering the debt on the card to a 6 month 0% interest card and pay it off over 6 months.

Forgot to say that we also had other debts before we applied for the affordable housing, which we paid off using our savings and that did not seem to adversely affect our approval.