Should I be worried?

Snuggles

I recently received a "pre-selected" credit card offer from Capital One, inviting me to apply for a card at 34.9%APR!!!!! The letter says "Get your finances back on track" and "we know you've worked hard to improve your credit rating".

Now, I have an excellent credit record, I have never had ANY issue with geting credit, making repayments etc, and in fact I've had Capital One cards in the past (NOT at the sort of eyewatering rates they are so "kindly" offering me now!). So this stuff about me working hard to get my finances back on track is rubbish, as they have never been off track.

I occasionally check my credit report on Equifax just to make sure all looks ok, and there's nothing there I don't recognise. I last did this about six months ago I think, and evertything was perfect.

So, should I be concerend that Capital One appear to think i'm so desperate that I would take out a credit card at such a criminal rate of interest??

I was thinking about whether it was worth making a subject access request to find out what info they hold on me, and why they think my finances are in such dire straits, but I wonder if they would actually provide this or if it would be a waste of time.

Would you be worried if you received a letter like this or should I just forget about it?

YorkshireBoy

A couple of years ago I flew to France with FlyBe.

A short while later I received a pre-approved FlyBe credit card offer (think they were run by Creation/Sygma?).

I binned it and got on with something else.

Does that answer your question?


EDIT: Now I think about it, my boss paid for the flight on his credit card...so all they had was my name, address, DOB, and passport number to base their decision on!

grumbler

Snuggles wrote: »

...
I was thinking about whether it was worth making a subject access request to find out what info they hold on me, and why they think my finances are in such dire straits, but I wonder if they would actually provide this or if it would be a waste of time. ...

I would check my credit files instead - just in case.

Seriously, there is so much spam and junk mail around, that it makes no sense to run to a GP every time you receive a spam text from ambulance chasers.

Snuggles

Just to be clear, it's not the fact that i've been sent a credit card application that I'm worried about. It's the fact that Capital One seem to believe I have a very poor credit history, or some other problem with my finances.

Or are you saying that they just randomly send letters to people saying "get your finances back on track" and "we know you've worked hard to improve your credit rating"?

Surely if they didn't have information to suggest I have a poor credit rating, they would be offering me a reasonabe interest rate, not 35%?

Dabooka

No.

And I hope for your sake you don't get junked by Vanquis. If your reaction to 34% is 'criminal' you'll be calling for the Hague to mete out justice when you see theirs.

Snuggles

Dabooka wrote: »

No.

And I hope for your sake you don't get junked by Vanquis. If your reaction to 34% is 'criminal' you'll be calling for the Hague to mete out justice when you see theirs.

34% seems like daylight robbery to me, how much higher do Vanquis go then?

The_Boss

Snuggles wrote: »

Just to be clear, it's not the fact that i've been sent a credit card application that I'm worried about. It's the fact that Capital One seem to believe I have a very poor credit history, or some other problem with my finances.

Or are you saying that they just randomly send letters to people saying "get your finances back on track" and "we know you've worked hard to improve your credit rating"?

Surely if they didn't have information to suggest I have a poor credit rating, they would be offering me a reasonabe interest rate, not 35%?

Have you applied for and been rejected for another card recently?

About 4-5 years ago I applied for a card, was refused and then a week or so later received a letter from Vanquis offering me one of their cards. It sounded a bit like yours although didn't use the same wording. Could have been coincidence, bit perhaps Vanquis have an information sharing service with some lenders but one which is still DPA compliant. Same could apply with Capital One in your case. It would make sense as they would know you have been turned down for a lower interest card but want to see how desperate you are for the money anyway.

BugsyBrowne

Snuggles wrote: »

34% seems like daylight robbery to me, how much higher do Vanquis go then?

Vanquis is around 59%

FireWyrm

Snuggles wrote: »

Just to be clear, it's not the fact that i've been sent a credit card application that I'm worried about. It's the fact that Capital One seem to believe I have a very poor credit history, or some other problem with my finances.

It's called 'marketing'. If you throw a stick in a street, chances are, you'll hit someone with 'money worries'. It's the financial equivalent of clairvoyant white reading.

Snuggles wrote: »

Or are you saying that they just randomly send letters to people saying "get your finances back on track" and "we know you've worked hard to improve your credit rating"?

Hell yes. There are many more 'financially ignorant' people than there are people who are not. Some will bite, some wont.

Snuggles wrote: »

Surely if they didn't have information to suggest I have a poor credit rating, they would be offering me a reasonabe interest rate, not 35%?

35% probably IS 'reasonable' to in the scale of their interest rates. Considering I've seen Amigo offering 81%, you should think yourself truly blessed and immediately rush out and post that application right back as fast as your little feet can carry you to the nearest post box....</end irony>

Ynayesta

I've got one of those letters a couple of times.

Other people have gotten the same stock letters, don't be worried they're just trying to catch someone out who might get sucked in by "we know you've been trying hard"

You should check your credit regularly anyway, for free of course - by following MSE's instructions.



My horror-scope in the paper today read: "You may find yourself focusing on the present, or the future"

yep they randomly send that crap out.

Snuggles

The_Boss wrote: »

Have you applied for and been rejected for another card recently?

No, nothing like that, I've never had a credit application rejected. From what others are saying though, I guess it's just a marketing tactic that isn't linked to any specific info about me. I just found it strange, as although I've received such offers before, I've never had one which was worded like this, and with an interest rate I wouldn't touch with a bargepole!