Short answer: it can, in two ways. The application left a credit enquiry on your file, and the new card adds a credit limit that lenders count as a potential monthly commitment, even if you haven't used it. Neither is fatal, but it's worth managing before you apply for a car loan.
1. The enquiry
Each credit application is recorded on your file. One recent enquiry for a card is normal. Several in a short period can make lenders wonder whether you're under financial pressure or being declined elsewhere. Avoid any further applications in the lead-up to your car loan.
2. The limit
Lenders usually assume a monthly repayment of around 3% to 3.8% of your card's limit, whether or not you use it. A new $8,000 card could reduce your car loan borrowing power by the equivalent of roughly $240 to $300 a month in repayments. More in how credit card debt affects car loan approval.
3. How you use it
A new card that's quickly run up to its limit looks worse than one that's barely used or paid off in full each month. Lenders see this in your bank statements.
What to do
- Don't need the card? Consider closing it before applying, and keep written confirmation.
- Want to keep it? Ask the bank to reduce the limit to what you actually use.
- Balance transfer card? Make sure the old card is closed, or you'll be assessed on both limits.
- Tell your broker so they can factor it in and choose a suitable lender.
Recently opened a card and planning a car purchase? Tell us about it in about 60 seconds and a licensed broker will call you. No credit check to enquire.
Related guides
- Does a maxed-out credit card hurt your chances?
- Should you apply for multiple pre-approvals?
- How much can you borrow?
General information only. This isn't financial advice and doesn't take your personal circumstances into account. Finance the Ride is a referral service and doesn't hold an Australian Credit Licence. Last reviewed September 2026.
