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Banks assume you could use your entire credit card limit at any time. If you have a $15,000 credit card with a $200 balance, the bank assesses the full $15,000 limit — not the $200 owed.This means a credit card you never use can reduce your borrowing power by $50,000–$75,000 simp
Closing a credit card can temporarily lower your credit score if it was your oldest account, but the impact is usually minor. The boost to borrowing power far outweighs the small credit score dip. Your score will recover within a few months.
Increasingly, yes. Many lenders now assess active BNPL accounts as liabilities. Close Afterpay, Zip, and similar accounts at least 3 months before applying for a home loan.
If the business credit card is in your personal name, it counts against your borrowing power. Cards in a company name typically don't affect personal borrowing capacity, but lenders may still ask about them.
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