The Martin Lewis Podcast Question Time: Is cash king? Should you keep some mortgage debt? Can I reclaim student loan taken off my bonus?
Oct 13, 2025
This week, listeners dive into credit card strategies and whether unused cards should be canceled. The discussion heats up around managing mortgage debt and potentially keeping it for future borrowing flexibility. Martin also clarifies the ins and outs of reclaiming student loan deductions from bonuses and shares a success story about overpaid loans. Plus, there’s a glimpse into Martin's fitness journey and his routine updates. Finally, he tackles the complexities of distance selling rights at Argos.
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No Single Credit Rating
- There is no single universal credit rating; lenders score applicants differently and use affordability checks as well as credit scores.
- Credit utilisation, debt ratio and disposable income all feed into lending decisions, with varying importance per lender.
Manage Credit Utilisation
- Keep your overall credit utilisation under about 20% for an excellent score and under 40% to stay in good shape.
- Increasing available credit can improve utilisation, but only if you don't increase actual borrowing.
Keep Useful Cards, Close The Rest
- Ignore generic worries and do what's right for your finances rather than chasing an ideal credit profile.
- Keep cards that give useful perks (like balance-transfer options) and close others if you won't use them.