A lender will usually check your personal credit history when assessing whether to approve you for a home loan. Having a credit card also impacts on what the lenders sees as your debt serviceability, your ability to repay the loan. It will normally be assumed that your existing debt will include the full credit limit on your credit card(s), not just the outstanding balance you have on the card(s). Having minimal existing debt liabilities should generally improve your chances of home loan approval.

An Aussie Broker can help you understand the implications of credit cards and other debt on your application for a home loan, and what you need to do in order to be eligible. This service is part of your free appointment with an expert Aussie broker.