No point in having good Credit Rating - I'm going to deafault !!

HouseHuntr

NoNoDrama wrote: »

:mad::mad:

I have a perfect credit rating in the sense I have 6 years of green 0's. I have an HSBC Credit Card maxed at 6k they keep upping the interest rate and currently 21% :eek:

My salary is £15k I'm trying to refinance this debt but have been rejected by Virgin, HBOS group (both 6 months ago) this time I have tried Sygma who have rejceted two applications (for 2 different cards) and Capital One have rejeceted me for there 19.9% card (both lower end sub-prime)!

What's the point in having a good credit rating if I can't refinance this debt?

Is anyone else in this position? Surely defaulting and not paying back would be the best option here instead of being ripped of by HSBC. I know this would affect my credit rating but I can't get credit anywhere anyway! Maybe it's a con by the banks to hike up interest rates but restrict lending to new customers?

It's just not fair I'm going to scream and scream and scream til they give me more credit like the petulant child I am, then I'm going to go on the internet and really throw my toys out of my pram to show them.......so there...nah nah nah nah nah !!!

Keith

NoNoDrama wrote: »

I have a perfect, clean credit file so i'm not that irresponsible (jealousy here perhaps?)

You don't have a perfect file, you are over spent.

Try a few more banks and come back and say you have a perfect score.

drbesty

Your credit file can't be that good because you can't get any more credit. Your salary is the problem, you can't continue to live beyond your means, get a better paid job if your intellect allows.

What makes you think that if you default you won't have to pay the money back?

lurvlyloz

if your thinking about defaulting then cleaerly your not thats responsible. next you'll be saying " i may as well go bankrupt" not knowing that it costs you about £500 to actualy go bankrupt. so why dont you just pay more off your cc each month? your clearly living beyond your means.
yes fair enough people saying "get a better job" is easier said than done...but to be honest thats another contribution to you not getting any more credit.
i think you need to take a good long look rather than thinking that the banks are trying to do you over. they wouldnt be very good if they gave u then £6k...then you might end up spending it being in £12K debt then be p*ssed because the banks were "irresponsible" lending it to you!

any way...

redpete

NoNoDrama wrote: »

I have a perfect, clean credit file so i'm not that irresponsible (jealousy here perhaps?)

You don't have any missed payments, which is only one criteria that a lender will make when assessing your credit score. As several others have pointed out having a high debt-income ratio and not paying the debt down will be seen as a high risk these days.

beingfrugal

I'm of the school of thought that thinks thank goodness that there is now stricter lending. We all know of the 'banks will help you in your hour need' misconception where borrowers run to their banks to rejig their borrowing to be able to cope with the monthly repayments, the banks were only too happy to help of course and the individual found themselves with even more debt.

Banks are not there to help, they have no repsonivility in helping a customer, just to weigh up the risk and say yeah or neigh... banks have been burnt I feel and are slowly learning (I hope!) look after yourself and pay off those arrangements and thank your lucky stars OP that you were not given any more money - it would never have helped you in the long run

Rupert_Bear

NoNoDrama wrote: »

:mad::mad:

I have a perfect credit rating in the sense I have 6 years of green 0's. I have an HSBC Credit Card maxed at 6k they keep upping the interest rate and currently 21% :eek:

My salary is £15k I'm trying to refinance this debt but have been rejected by Virgin, HBOS group (both 6 months ago) this time I have tried Sygma who have rejceted two applications (for 2 different cards) and Capital One have rejeceted me for there 19.9% card (both lower end sub-prime)!

What's the point in having a good credit rating if I can't refinance this debt?

Is anyone else in this position? Surely defaulting and not paying back would be the best option here instead of being ripped of by HSBC. I know this would affect my credit rating but I can't get credit anywhere anyway! Maybe it's a con by the banks to hike up interest rates but restrict lending to new customers?

Sounds to me you are being a bit of a dramatic queen over this.

You are now talking about defaulting so I guess you having a problem servicing the debt and if that is the case the banks on this occasion did act responsibly by turning your request down.

Karma4All

I'm not going to moralise about whether you should have so much debt or not. For all I know you might be on a low wage working in a hospital as a junior nurse, having racked up a debt putting yourself through college. You haven't been a bad creditor, therefore perhaps insincere with regards to default. I think almost everybody would prefer to be free of debt & I wish you well if that is your goal. It may be uncomfortable when your lender increases the interest rates, but some part of that will be to help offset other borrowers defaulting. I would consider the re-financing, it is in your interest to move away from overdrafts & credit cards which are after all generally more expensive, but as always check the T&Cs for early repayments etc.

woody01

I have a perfect, clean credit file so i'm not that irresponsible (jealousy here perhaps?)

Yep...i am amazingly jealous of your £15K per year.
I am also jealous of your stupid commitments to borrowing.

For god's sake, if you think £15K entitles you to more, then you are living in a dream world.
£15K wouldn't even cover my mortgage for a year.

Karma4All

woody01 wrote: »

£15K wouldn't even cover my mortgage for a year.

Must admit, I wouldn't want to be servicing that kind of debt, each to their own.