Credit building.

LBradley1989

Hello all, apologies if this is the wrong area to post this or if it's already been covered, but:

I've just been refused my application for my first credit card.
I was wondering if anyone could help me out with regards to if this would have a significant affect on my applications for credit in the future. And also of any ideas on how to increase my likelihood of being accepted in the future.

I currently have an HSBC overdraft (graduate account) which I will have paid off in two weeks (payday!) I have a current account my wages go in to and a joint account with my wife for bills.

I also have recently taken out a contract phone.

I know my wife has quite poor credit, will this affect me at all?

Thanks!:)

TrueUnitedFan

Need more information on why you could of got rejected?

Any CCJ'S, cifas markers, defaults, missed payments, on your account, is your wife showing up as a financial association on your credit reports, are you on the electrol roll at your current address..

I'm not being rude or anything but in future, please do state the above information on future posts as such - This will help those who give a response a better understanding on 'why' you could of got rejected.

DCFC79

Your wifes poor credit will only affect if your financially linked.

LBradley1989

I haven't got any previous financial issues. Apart from the fact that I don't actually have any previous credit. I presume this was the main reason behind my decline. I am mostly looking to try and improve from 'nothing' but obviously appreciate that applying for credit repeatedly in a hope someone will accept me will be counter-productive!

I'm not sure if my wife is financially linked, as I say we have a joint current account but she does not show on any credit report.

LBradley1989

Oh and I am registered at my new address but have lived at four addresses over the past five years. I understand this may go against me, also?

TrueUnitedFan

LBradley1989 wrote: »

Oh and I am registered at my new address but have lived at four addresses over the past five years. I understand this may go against me, also?

I'm not 100 percent sure, but i believe this may have a massive affect on you obtaining credit - as lenders will see you really don't have any stable home address, are you on the electrol roll at your current address? no previous credit history won't do you any wonders also.

rartherinv

also what card did you apply for? if you are going for prime lenders they will decline due to your lack of credit history, lack of home stability and possibly bad credit links (the wife).

-credit history issue
if you go for credit builder cards (ie. poor value cards which take anybody but get your credit file ticking) like capital one or vanquis, you can get your history going and then apply to prime lenders for a good card in 6 months or so.

-home stability issue
ensure you are on the electoral roll. if you are only in your early 20s as your username suggests it might be an idea to keep your parents address (or a close friend/relative with very good address stability) for credit agreements. I am in late 20s and according to CRA's I have had the same home for 20 years even though I've had loads of addresses over the last few years.

-financial association issue
it might sound mad but if you and your wife want to get good credit in the near future you may want to investigate your wife's credit history a bit further and if it is bad news then depending how understanding/savvy your wife is you might together consider disassociating yourselves by getting rid of the joint account and notifying credit agencies you are no longer financially linked, as credit association is made by current joint accounts, not marriage or address or whatever else. You could still have an account which you both use but in one person's name (also, two credit cards can be issued on your account without being a financial association).

Hope it all works out for you!

LBradley1989

Thanks very much for the advice. I did apply at the halifax due to holding my current and savings account with them but I can see now these may have been an error!

I am registered at my most current address on the electoral roll. My parents address I the other side of the country and they have recently moved so that may not be an option.

Having been declined yesterday, how long would you reccomend before applying at a sub-prime lender?

rartherinv

You can apply straight away! Normally you need a handful of searches to disturb a prime lender's credit score so sub primers will not care about a couple of searches for better credit. You have a few strikes left so why not try to go for one of the better ones like the barclaycard initial (they can do a soft search so it won't register on your report), then if that fails maybe capital one, aqua, vanquis?

Best of luck :beer:

LBradley1989

Was declines for the barclaycard initial and then the aqua card! Ooops.

LBradley1989

I've just thought, I am Registered on the electoral roll at my new address but am not searchable. Could this be a contributing factor?