topic Re: Too much available credit? in General Credit Topics

Too much available credit?

Anonymous — Wed, 08 Dec 2021 05:44:13 GMT

Hi everyone. My plan is to have pay off all my CCs by end of summer of '22 and then purchase a new vehicle. My question is it possible to have too many CCs with too much available credit when applying for a loan?

Re: Too much available credit?

NYC_Fella — Wed, 08 Dec 2021 05:51:55 GMT

@Anonymous wrote:
Hi everyone. My plan is to have pay off all my CCs by end of summer of '22 and then purchase a new vehicle. My question is it possible to have too many CCs with too much available credit when applying for a loan?

No. However, be sure to leave at least one bank card with a small balance; maybe $20 or so. All zero balances have a negative effect on your score.

Re: Too much available credit?

Anonymous — Wed, 08 Dec 2021 06:00:01 GMT

Thanks for the reply. I'll definitely be doing AZEO when it comes time to buy the car.

Re: Too much available credit?

Anonymous — Wed, 08 Dec 2021 10:22:35 GMT

One important item about vehicle loans ... the secured loan agreement the lender will likely require gives them comfort over an unsecured loan.

As you may have observed Secured Loans fetch a better interest rate.

Re: Too much available credit?

Shooting-For-800 — Wed, 08 Dec 2021 13:39:54 GMT

You should have no issues.

Re: Too much available credit?

4sallypat — Thu, 09 Dec 2021 03:34:54 GMT

Yah - no issues at all with an auto loan.

They love people like that (low UT, low DTI) and can qualify for top tier rates.

Re: Too much available credit?

SouthJamaica — Thu, 09 Dec 2021 05:09:41 GMT

@Anonymous wrote:
Hi everyone. My plan is to have pay off all my CCs by end of summer of '22 and then purchase a new vehicle. My question is it possible to have too many CCs with too much available credit when applying for a loan?

No, that won't bother them in the least.