MBNA Rejection Appeal

goaroundnow

Hi All

I thought I would share my experience with you.

I applied for a MBNA 0% Balance Transfer Card last night and was surprised when it was declined. I was expecting at least a referral. As far as one can tell, my credit file is acceptable (all on-time, mix of accounts, mortgage, good salary etc). The item that seems to cause me problems is a large balance on my (expensive) car's hire-purchase agreement - this is why I wouldn't have been surprised to be referred.

Anyway, I rang MBNA today to see if they could shed any light on the decline and expand on the reason given in the decline letter (failed credit-scoring).

As suspected my address format had caused issues and my credit-file was not picked up at all. It was not, in fact, a failed credit-score but more no credit-score at all! The lady (in underwriting) said she could amend the address and re-run the application.

Once the application was re-run, it was still declined but had picked up my full credit-file.

The interesting points to note:

1) They were able to tell me that it had not failed score (in account conduct etc sense) but had fallen down on debt vs income levels. Obviously my car had scuppered me again. They even commented there was no issues with my file and my account conduct was exemplary but they could/would not overturn the computer's affordability calculation. So, if you appeal, it may not change but you may well get a more specific reason - so call/write, it's worth knowing.

2) I mentioned that Credit Expert had my score in the very poor category (I signed up once and cancelled the same day last month as I wanted immediate access to Experian). This was, according to Experian, due to number of searches and the lady at MBNA said: a) to take no notice of this score (which is well publicised on here) and b) that it shows how useless it is if my score was very low as, in her opinion, no lender would score my credit-file like that and certainly MBNA wouldn't.

Anyway, thought someone may find this information helpful.

grumbler

goaroundnow wrote: »

...a) to take no notice of this score (which is well publicised on here) ...

Where?
http://www.moneysavingexpert.com/loans/credit-rating-credit-score

Universal credit ratings don't exist. Each lender scores you based on its 'perfect customer'

goaroundnow

I think we are at cross-purposes and actually in agreement.

I meant it was "well publicised" that most people agree on this forum that the CRAs' credit-scores are meaningless and each lender will, indeed, score you individually.

I did not say "well promoted," which I think is how you have read my post.