Credit card application failing despite personal wealth

magnum9

Does anyone else find it frustrating that they see people with poor financial control seemingly able to get hold of endless credit cards, yet people like myself who have built up investment wealth can not get credit cards as we are not seen to have a salary income of £"x".

I have always paid off my cards in full each month and have a very high credit rating - yet the lack of monthly salary means I am excluded from many cards!

Is anyone else in this position - and how do they get around it?

I was wanting to switch to a better "cash back" card such as those rec on this site but think its pointless until I can get around the issues raised

thanks

Mike

JasonW_2

I wouldnt condone or recommend it, but... lie! Im not in your position but know it must be frustrating! Ive never had anyone check my (correct) income before in any way applying for loans or CCs. Im not suggesting it as a proper suggestion, but if you do its up to you

J

loan8r

people like myself who have built up investment wealth can not get credit cards as we are not seen to have a salary income of £"x".

I dont think that the suggestion that you falsify your application is acceptable.
However if you have these investments earning you interest / dividends surely that is your income and as such will count on the application form.

Cheers, M.

Milarky

loan8r wrote:

I dont think that the suggestion that you falsify your application is acceptable.
However if you have these investments earning you interest / dividends surely that is your income and as such will count on the application form.

Cheers, M.

Yes, this should be to your credit [forgive the pun] so why not just be prepared to chancee your arm by including a realistic estimate of your income from investments in the 'gross household income' box and only put into the 'other income' section any household income which is not yours? [eg partner] Just be 'creative' - that's not the same as lying. Make optimistic assumptions about future interest rates - put down your income for the next 12 months rather than the last 12.

Do you have any issues with particular card companies [you say you want cashbank mainly] or is your concern more general than that? I've have arguments with Halifax about what 'value' to place on my savings in getting yet another credit card - but the problems aren't likely arise unless you look over-indebted in the first place. If you just want a good cashback card and haven't borrowed a lot of other money, the initial credit limit does not have to be too great if you can get it increased after a while.

newfoundglory

Falsifying income would be fraud... so thats probably not such a good idea.

But definitely make sure you have included everything on the application form... and if you have additional evidence to support your application which the form doesn't take into account you should contact and ask if it would increase the chances of your application being accepted.

magnum9

many thanks for the replies and suggestions.

I do not have debt - no mortgage - and so I dont need a high income because I dont have the debt to service - yet it annoys me that if i earned £50k and had debts of £200k inc mortgage they would be falling over themselves to lend me money!

Why are they so averse to people who are careful and respectful to money - after all, I have net wealth - not net debt - so surely I can give them better security than most?

I think the only way forward is to be "creative" as has been suggested - but why should I be made to "lie" or bend the rules? I have worked damned hard in the past to get to where I am so why do credit card companies turn down people like me (I pay off in full every single month).

Credit card companies seem prepared to issue up to 20 or more cards to a younger person with no savings and huge debts - they may have a high "gross income" of £50k or more but sure as heck in many cases their net income after servicing debts is pretty miserable - but that simply do not seem to count against them.

I simply use a c/c for getting cashback on purchases and hence am looking to switch my Alliance leicester card as it no longer pays cashback.

This thread has made me rethink - I think what is happening is that c/c companies are not interested in full repaying customers like me - could it be that they rate more highly those customers swimming in debt as they are more likely to be able to milk more money out of them in monthly charges?

nh

So do you have NO income at all? Just because you have paid off your mortgage doesn't mean you can live off nothing.

And as others have suggested, if you live off the dividends from your investments then you can put that as income on the form.

Say your income is only £10k, then you should be able to get credit cards up to £20k limit.

That may be frustrating to you because your £10k goes a lot further than another person's £10k (someone who has a mortgage, say)

So maybe you are right that you are not being treated fairly but if you have no income you can't expect to get credit to the same extent as someone who earns £50k, mortgage or not.

I don't think credit card companies only want people who will default. I always pay my cards off in time, I switch cards at the end of 0% periods and never pay interest, but the card companies are happy to give me more cards.

Walletwatch

One significant requirement for the credit card companies (and you cannot fault them for it) is that you should have a steady inflow for your subsistence, plus be able to service the monthly payments. This is the main reason they feel comfortable with someone who has a reasonable paycheck coming in regularly.

deemy2004

magnum9 wrote:

Does anyone else find it frustrating that they see people with poor financial control seemingly able to get hold of endless credit cards, yet people like myself who have built up investment wealth can not get credit cards as we are not seen to have a salary income of £"x".

I have always paid off my cards in full each month and have a very high credit rating - yet the lack of monthly salary means I am excluded from many cards!


Mike

Show the annual gross investment return as a salary

Reaper

magnum9 wrote:

I think the only way forward is to be "creative" as has been suggested - but why should I be made to "lie" or bend the rules?

Don't worry - including income from savings can be included, it is not bending the rules. In the past other people have called the credit card companies and they have confirmed it is ok. Call yours if you want to make sure. Don't forget to quote the gross figure, not nett, just as you would for salary.

loan8r

I think what is happening is that c/c companies are not interested in full repaying customers like me - could it be that they rate more highly those customers swimming in debt as they are more likely to be able to milk more money out of them in monthly charges?

I think you have just hit the nail on the head, of course CC companys dont want the likes of you (no offence intended ) because you dont make them any money! it's only people that are in the s**t that they are interested in I found this on the forum it may be of interest to you..

The three month debt trap !

Removed to prevent any trouble with copyright ETC.

If I ever track down the original again I will put a link here for anyone that wants to read it, sorry I caused such a hoo ha.

If it does not apply to you, you can see why CC companys wont help you because they wont make any money out of you.
Unless you are a royal, or a celibrity that they can "use" for there own publicity I doubt they will offer you any "deals".
I am sure you are on the sixth rung, where we all aspire to be and the best of luck to you I wish you all the best cheers, M.:D