Will being turned down for current account effect credit rating?

keepittidy

Hi All,

I am currently in the process of rebuilding my credit rating.

I have a Natwest Basic account and would like to upgrade to an account that will let me use my card at all ATM's rather than just the RBS group machines.

I have had the account for 5 years and always kept it in good condition, i also have an instant saver account with Natwest.

I have just (last week) been accepted and received a Capital One Progress mastercard.

If i apply to have my account upgraded to a "proper" current account like the silver account and get refused, would this damage my credit rating at all ??


Thanks

Gromitt

Yes, regardless if you got the account or not. Any application will affect your credit report by a small amount.

But a small number of applications over a period of months will not affect it that much, say upto 2 applications per 3 month period.

keepittidy

Thanks Gromitt,

would it be better to use the Capital One card i just got for a few months (use almost to limit and pay off in full each month) then apply for a Natwest Silver account later on. Would this maybe increase my credit score and thus give me a better chance of getting accepted.

To be honest i don't actually know IF Natwest would decline me now, i just didn't want to jump the gun and get a rejection on my file.

jalexa

keepittidy wrote: »

If i apply to have my account upgraded to a "proper" current account like the silver account and get refused, would this damage my credit rating at all ??

The refusal has no effect, a (single) search has a very minimal effect declining in the course of a few months.

There is no "rejection" on your file only a "current account search".

If you particularly want the Silver (you do realise that costs?) then rather than "upgrading" I would suggest applying for a new account. That way you can keep the basic account in reserve or for spending.

keepittidy

Cheers Jalexa,

My bad, i meant the Select account not the silver :doh:

chanz4

If you have been good, apply online and it will tell you although you normaly get new acc details

keepittidy

Is it better to apply online or in branch, or is there no difference ??

Cheers

BugsyBrowne

keepittidy wrote: »

Is it better to apply online or in branch, or is there no difference ??

Cheers

Forget natwest and apply for Barclays or Lloyds as with natwest you'll end up with a restricted debit card that doesn't work everywhere.