Rejected applications because of inability to pay?

gmclean

Is it just me?

I'm looking to shift my balance to a 0% credit card as it's my aim to clear it down in a couple of years (have £6k on it).

I've applied to both Lloyds and Barclaycard, the latter saying it won't give me a card as the level of credit I have suggests I would struggle to make payments.

But... I am paying (just barely more than) the minimum payment on the credit card at the moment, I've not missed any bills, my credit rating is good... I'm not taking on MORE credit, I'm transferring a balance to REDUCE credit??

Sorry, first post and I'm having a rant! This seems backwards but I'm powerless to do anything about it until I can get my other credit accounts (my car, a sofa which finishes in Feb, and a loan) closed down. The car and the loan have a few years on them each, but everything else (mobile phone etc) isn't credit, it's billed!

What gives?!

[Deleted User]

They can't force you to do a BT - or not run up the other card again if you do. Hence the rejection.

Pay back some of your existing debt and create a bit of headroom. You may then find that more options become open to you.

arbroath_lass

You could very well go out and spend on the old card, though. Doubling your debt. You say you won't but many people have. Transferring a balance means nothing to a creditor.

SnowTiger

gmclean wrote: »

Is it just me?

I'm looking to shift my balance to a 0% credit card as it's my aim to clear it down in a couple of years (have £6k on it).

I've applied to both Lloyds and Barclaycard, the latter saying it won't give me a card as the level of credit I have suggests I would struggle to make payments.

But... I am paying (just barely more than) the minimum payment on the credit card at the moment, I've not missed any bills, my credit rating is good... I'm not taking on MORE credit, I'm transferring a balance to REDUCE credit??

But you are asking for more more (additional) credit.

For all Lloyds and Barclaycard know, you may keep your current credit card account open after getting a new card.

As you say, you're just about covering the minimum payments each month, so you probably have as much credit as you can afford.

Catch 22.

gmclean

Yup, Catch 22 sums it up.

And yes, I know I 'could' use the second credit card and run up more debt. Shame it's such a faceless system.

Oh well. Another year of juggling ahead it seems.

Thanks for the quick replies, more a sanity check of what I feared but good to have others confirm it.

Cash_Flow

gmclean wrote: »

Is it just me?

I'm looking to shift my balance to a 0% credit card as it's my aim to clear it down in a couple of years (have £6k on it).

I've applied to both Lloyds and Barclaycard, the latter saying it won't give me a card as the level of credit I have suggests I would struggle to make payments.

But... I am paying (just barely more than) the minimum payment on the credit card at the moment, I've not missed any bills, my credit rating is good... I'm not taking on MORE credit, I'm transferring a balance to REDUCE credit??

Sorry, first post and I'm having a rant! This seems backwards but I'm powerless to do anything about it until I can get my other credit accounts (my car, a sofa which finishes in Feb, and a loan) closed down. The car and the loan have a few years on them each, but everything else (mobile phone etc) isn't credit, it's billed!

What gives?!

How many Credit cards do you currently have?

jamesd

MBNA tends to be more willing than some other lenders.

StuC75

Also what are you earnings in relation to the level of new credit you are looking for - as that may say a lot more about how the risk is being viewed.. especially when combined with what other commitments you may have..

gmclean

@CashFlow - I have one credit card at the moment.

Other 'credit' is for my car and a sofa (it finishes in Feb). I rent. I have a landline, broadband and Sky, a mobile phone; those items (and all others like insurance and electric/gas are direct debits).