Applying for Credit Card during KDRB - Outstanding Loan Details

Schumi5 on 04/03/2025 - 08:27

A bit of an odd one, but it could me just overthinking it.

I'm planning on churning to new credit card,

Obviously one of the questions is going to be what is your current home loan amount and what repayments are monthly. Normally this is straight forward(just put what you owe) but given we have just started a Knock Down Rebuild its got me thinking what amount do I put since we are only in the early stages of the build and the amount currently outstanding is not the full amount that we have refinanced if that makes sense.

E.G refinance from existing house was 150k brought across to new loan and the total refinanced to rebuild 950k, however we are only up to Stage1 of the build so currently the loan outstanding is technically
Original Refinance 150k + Stage 1 KDRB 48k
total loan currently outstanding 198k (interest only construction loan)

So my question is, on the application would I put 198k or do I put the full amount that we have refinanced and been approved for of 950k, and also in terms of the repayments do I base it on the 198k interest only construction loan or what the repayments would be once home is finished.

Given that we have just started the build it will be another 9-12 months before loan turns into a regular loan.

Any help appreciated.

Financial Credit Card

Comments

  • boomramada on 04/03/2025 - 08:36
    +2

    Whatever the amount at the point of the application or call the bank - credit card team and ask?

  • GordonD on 04/03/2025 - 08:38
    -3

    Yawn. Boring.

  • Ocker on 04/03/2025 - 08:44
    +1

    I would suggest your actual financial position at the time of application. Meaning do not include undrawn commitments as in reality there is a possibility (albeit minimal) there obligations may never materialise.

  • MS Paint on 04/03/2025 - 08:51
    +2

    Run a credit score check on yourself and see what the amount of the loan is listed there. That's probably the figure the banks will use.*

    *This is all just a guess.

    • miwahni on 04/03/2025 - 22:40
      +1

      This is often the case, however if the credit enquiry amount is significantly more than the loan amount shown against the loan on the credit report, questions may be asked and you may be required to provide loan docs as evidence. Different banks can have different approaches though.

  • CodeXD on 04/03/2025 - 09:08

    The thing about common sense is that it's not that common

  • Schumi5 on 05/03/2025 - 05:26

    Thanks for the feedback everyone,
    Appreciate it

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