Tesco credit card....no searches!!

stephane_2

After having applied to Tesco credit card and despite a good credit report was declined but also noticed that no searches were made against my report with neither experian or equifax. Tesco web site says that they are using experian. Last year I had a similar experience with the post office, I got a letter a few days letter with no mention of credit reference they used and also no search appeared on credit report.
Has anyone had similar situation?

Thanks

savagej

I think it is one of two thing, a mistake, or what is called in the industry "a super decline" which is when your score (against their scorecard) is so low they dont do a credit check (because you are being rejected anyway and credit checks cost them money).

stephane_2

Low score based on what if they don't even bother to check your reports?

PROLIANT

stephane wrote: »

Low score based on what if they don't even bother to check your reports?

Application Score.... If you fail an Application Score they will not carry out a credit check, it is a waste of time and money.
You should always double check your application before pushing the submit button just in case you have a typographic error i.e. you have missed a trailing zero off the end of your annual salary which may put you about 20K per annum less than what it is supposed to be.

stephane_2

so will it be a good idea for me to try again or is it a waste of time?

Trembling_Turnip

Tesco baffle me. About five years ago I had their credit card, paid off and closed.

But for two years in a row they declined me without a credit search. I found the same from Natwest/RBS, same group at the time. My credit file is spotless. I earn over 25k. I have two other credit cards both with limits over £7k. Perhaps they just don't like my postcode anymore.

I have read somewhere from other posters you can write to them and appeal. Frankly I'd rather take my business (and shopping) elsewhere.

Deadman_2

Not Tesco (could have been V12?) but recently applied for 0% finance on a mountain bike and was refused.

On checking my credit file (Experian), no check had been made. My credit score?

999.

Never missed a payment on anything in 20 odd years.

Work that one out.

Moggles_2

Trembling_Turnip wrote: »

About five years ago I had their credit card, paid off and closed, but for two years in a row they declined me without a credit search. I found the same from Natwest/RBS, same group at the time. My credit file is spotless. I earn over 25k. I have two other credit cards both with limits over £7k. Perhaps they just don't like my postcode any more.

Some lenders will not consider applications from former cardholders for various periods following closure.

The Royal Bank of Scotland stable (which includes Lombard Direct, Mint, NatWest, Tesco & Ulster Bank, as well as RBS itself), makes former customers wait eight months following closure of one of its cards, so cancelling any of these cards might explain why your applications were unsuccessful.

Note: for this reason, it's advisable to check your credit reports to make certain the account is actually closed down and marked "settled" before you re-apply. Mistakes happen occasionally.

lisyloo

Low score based on what if they don't even bother to check your reports?

Well, the income you've declared on your application is a very obvious one.
So if they will only offer people on £25K plus and you earn £24K then they won't waste their money getting a credit check.

They can pretty much make up their own rules providing it doesn't fall foul of any discrimination laws e.g. gender, race etc.
But they can certainly discrimnate on income etc.

stephane_2

My income would not be an issues has earning over 34K. I called Tesco & explained, they said they had actually done a credit check with experian and there was something on my file....well there is no search from them I could see and there is nothing on my file I replied to them. They said that I should send a copy of my report and they would look at it again. Don't know yet if I will bother

never-in-doubt

Tesco do not mind about income, chances are you've typed something incorrect because no lender will decline using what used to be known as the 'super decline', which basically means that if you didn't meet their minimum requirements they'd simply fail you using instant reject (fail to meet their lending criteria).....

This practice is no longer considered useful nor is it considered to be beneficial so no1 really uses it, unless you failed a key component such as no job and no partner income - just giving one of many possible examples.

Personally, i'd be appealing to find out what made them say no - it could be a N Hunter entry (but would have to show a credit search for this to happen)....

For the record, Tesco still use RBS for application and processing and underwriting...... this could be why you have issues, i.e. Tesco do not underwrite their own cards.