Credit card application, Declined. Why?

Davewils

Sadly its not an either/or thing. Different lenders have different lending criteria, and they're pretty much all a mystery

It could be that the lender you asked looked at your history and simply thought, "there's no profit in it for us" and declined you for that reason. There's not really a way to know exactly whey you were declined but the card companies really can be that cynical.

ukjeeper

Thnaks for the reply.

Davewils wrote: »

You would need to give us A LOT more information before anyone can even guess at why you were declined. Info like:

Income:
Total Debts:
How much of your current credit limits have your used up: (ie, if you have a £2000 credit card limit, what is the current balance)

I only have a £500 card, almost full.

Are you on Electoral Roll?

No. Does that make that much of a difference?


What is your past history of borrowing?

We have a mortgage (up to date), a loan with 1 month left and not anything else. We're not particularly IN debt, we pretty much keep it above water. The only reason i can think of is that they look at us and finances and think "hmmm, can they afford the extra payments?"

Tixy

Are you on Electoral Roll?

No. Does that make that much of a difference?

Huge difference.

ukjeeper

Tixy wrote: »

Are you on Electoral Roll?

No. Does that make that much of a difference?

Huge difference.

Whoops! Better sort it then. Thanks.

bluffer

Davewils wrote: »

Yeah, without looking at a detailed report i would only be guessing but, you could try ringing up one of the card issuers, telling them that you are thinking of closing your account, unless they are willing to offer a 0% balance transfer deal to you.

Could you also mention who the cards are with and who you applied to? Many companies use the same 'banks' to run their credit cards through. So if, for example, you have a Tesco card, it is unlikely that you will get an RBS or Natwest card as they are issued by the some company.

tesco now have their own banking licence so issue their own cards now. they bought out rbs last year or the year before from the joint venture.

calmity - just remembered, how many store cards / current accounts do you have? these will show up as well. so if you have any cards or accounts you dont use anymore, close them. you can always reopen them in 6 montsh to get any new bonuses of course

ukjeeper

Just getting more confused. I applied for the Tesco card, and also a Barclaycard (after it being the only card recommended by the credit card wizard on this site).

Both declined. Go the letters today and both refer me back to my credit report (Experian).


Had another look. Apart from the electoral roll, the only other 'red flags' (actually they're not red, they're yellow) are a couple of late payments on the mortgage earlier this year. Just a month late. Everything is green, 'satisfactory'.

YorkshireBoy

To other lenders you will appear to be in financial difficulties, ie...

3 searches in quick succession (2 x Tesco + Barclaycard)
Your credit card is maxed out
You have an existing loan
You're missing payments on your mortgage (a big no-no!)

You're also not on the Electoral Roll

(All of which, if any further proof was required, only goes to confirm the value of an Experian score...precisely nothing!)

So get yourself on the ER*, wait a while (6 months or so), and apply again.


* The chances are that, at this time of year, you'll need to wait until 1st December for your ER info to be updated, due to the yearly borough audit taking place.