Credit scoring problems

sw_jay

Can anyone please provide me with some tips to overcome a slight problem I have...

I am 32, single, living in rented accomodation, with a decent job and a good salary. I have a current account and savings of a few thousand pounds. I have a personal loan owing about £8,000 and a credit card owing around £900. I have always paid my monthly payments on time and never been in arrears.

However, I have major problems when applying for new credit, whether it be for a credit card or a personal loan. I always try to keep my interest rates as low as possible by switching regularly but find myself unable to do so because I keep getting turned down for credit.

I have been advised that this is because I am not registered on the Electorall. Unfortunately, due to circumstances beyond my control, I am unable to put myself on it so I continually find my applications being turned down. Apart from that, I would consider myself to be a safe bet for credit. All of my accounts and direct debits are set up at my home address so this I would have thought should provide the credit companies with proof of residence.

Is there anything I can do to resolve this problem?

Reaper

Not a great deal that can be done I'm afraid, they really are keen to see your name on the Electoral Role. Also you say you have been doing lots of switching and keep having cards rejected. Bear in mind that every time you apply for a card a search is logged on your file. Lots of searches in a short time also count against you, so each rejection is making it harder for you to get another card.

I can only suggest:
1) Apply to get your credit reports from Experian and Equifax. It only cost £2 online and means that you can check there are no errors on your report making things look worse than they are.
2) If you can hold out don't apply for any cards for around 6 months so those previous credit card application don't count against you.
3) Try writing to those who rejected you and apealing their decision, people occasionally report success doing this. I'd suggest including recent utility bills to prove where you live.
4) If you have any old cards you no longer use cancel them. If you have too much available credit it can count against you (you might even get lucky and be offered a deal when you phone up to cancel).

Good luck.