Say No To "computer Says No!"

wayoflife

Hello,

As I have mentioned in another post "an opposing view about reducing credit limits" I feel very strongly that it is about time credit and finance companies are forced to be alot more simple.

By this I mean the whole credit rating system is very complicated, and unless you are very general with it no one knows exactly how it works.

All this hype is created about RECLAIMING BANK CHARGES, which, essentiallybenefits people that cannot keep their accounts in order and will end up penalising people like us, who are trying to do the right thing, and are acting responsibly.

It is about time something is done to actualy help the people who end up subsidising everyone else.

Now im a realist and I dont expect everything to heppen overnight, but I feel that people shopuld stand up for this...

Firstly a full and valid response should be given as to why you are rejected. Not just "well it is based on a number of factors e.t.c." im sick of this! An argument that the companies give is it is to reduce the risk of fraud, as if everyone knew what made your credit score good then there would be more fraud going on....? Im sorry...what?? lol surely if people are educated more and are tole why they are turned down people would learn to act more responsibly..this surely is going to have a positive effect?
I use the counter argument of a mortgage, ok now this is still quite complicated. However, a mortgage (largely) is based upon income multiples, you know if you earn £20,000 a year then you wont get a house for £800,000. Everything is much simpler, how much fraud do you see with mortgages? EXACTLY

Secondly there should be some sort of scale, obviously things are case specific in most instances, but there should be a scale and a number given to people, according to what their credit history is like. Then the credit cards should market their products to people of that type. Surely it must cost the credit card companies alot of money to go through applications e.t.c if they are rejected.

Lastly (for the moment!) I feel the system of amending your credit file is wrong! especially if it is not your fault. I got my credit file (which I had to pay for) then when I found a multitude of errors, I was told that I had to ring every company seperately. Then I had to write letters and photocopy my credit file and post recorded delivery. All of this has incurred me with extra expense, for something that....wasn't my fault!!!!

Ok let me contrast this with the BANK CHARGES ARGUMENT. If you want your bank charges back then you can go on sites like this, and other sites to get free advice, fair eneough. You then can get a free 'legal' service (Ombudsman) in which the fees are £500 plus VAT (which the company has to pay for). There is constant support e.t.c. for something, which is, in essence soemthing which you are not really entitled to.
Dont get me wrong I empathise with the people who are doing this, and I have done this myself for my partner. I am only saying that there should be a similar network of support for issues concerning people who 'do the right thing'

I know that support networks are set up to help the majority, however from what I can see there are hundreds of people on this site who would support this campaign...

This is something which I feel very strongly about, and I could write alot more...I just wanted to be as brief as I could to start!!! lol and see your views on it

Please feel free to post a comment, And I dont mind opposing views, as long as its constructive!!!

I hope that this post is successful and goes on as a 'sticky'! lol

Pound

Firstly a full and valid response should be given as to why you are rejected.

Go with someone else if you're rejected, if you're rejected again there's probably an obvious reason for it.

Lastly(for the moment!) I feel the system of amending your credit file is wrong! especially if it is not your fault. I got my credit file (which I had to pay for) then when I found a multitude of errors, I was told that I had to ring every company seperately. Then I had to write letters and photocopy my credit file and post recorded delivery. All of this has incurred me with extra expense, for something that....wasn't my fault!!!!

So ask whoevers fault it is to incur the costs.

Dylanwing

All this hype is created about RECLAIMING BANK CHARGES, which, essentiallybenefits people that cannot keep their accounts in order and will end up penalising people like us, who are trying to do the right thing, and are acting responsibly.

Nobody really objects to a reasonable penalty fee, the reclaiming is because Banks set them far too high. I have suffered them once, and it is like a Pirahnah attack on your money. You are looking at the wrong target, try looking at Directors/ Execs salaries and bonusses if you object to waste! Also, do you object to the interest rate rises subsidising 0% offers? Or the Bank charges subsidising the £100 giveaways? And all the paupers charged a tenner by Worst Direct so that they can offer £100 to the wealthy move Bank account?

With regard to credit scoring, you are right, they are like sheep and just believe that the computer is always right. I could get a £15,000 unsecured loan, but cannot get a Vanquis credit card - That just about sums up the stupidity of Banks and their rigid policies, and justifies my comments about the overpaid Execs!

The_Boss

Pound wrote: »

Go with someone else if you're rejected, if you're rejected again there's probably an obvious reason for it.

Take a read of my thread "Closing cards....etc" and you will see that isnt always the case

wayoflife

Pound wrote: »

Go with someone else if you're rejected, if you're rejected again there's probably an obvious reason for it.

With regards to this, as I have said, I do not mind opposing opinions, as long as they are constructive. I don't think you understood me, as obviously this isnt the case with most things, many people are rejected for having a good credit score, just read the capital one cashback discussion to mention just one.

So ask whoevers fault it is to incur the costs.

Ok this isnt going to happen is it? well unless people do something about it...

wayoflife

The_Boss wrote: »

Take a read of my thread "Closing cards....etc" and you will see that isnt always the case

I know...i wish people would read the full thing first, including the references before they comment

wayoflife

Dylanwing wrote: »

Nobody really objects to a reasonable penalty fee, the reclaiming is because Banks set them far too high. I have suffered them once, and it is like a Pirahnah attack on your money. You are looking at the wrong target, try looking at Directors/ Execs salaries and bonusses if you object to waste! Also, do you object to the interest rate rises subsidising 0% offers? Or the Bank charges subsidising the £100 giveaways? And all the paupers charged a tenner by Worst Direct so that they can offer £100 to the wealthy move Bank account?

I dont want to get into an argument about this,...I was just using it as a direct contrast in relation to how much support people recieve for this compared to my issue. lets keep the comments directed at a positive campaign to get these companies properly regulated

With regard to credit scoring, you are right, they are like sheep and just believe that the computer is always right. I could get a £15,000 unsecured loan, but cannot get a Vanquis credit card - That just about sums up the stupidity of Banks and their rigid policies, and justifies my comments about the overpaid Execs!

Yes I agree with this....there is nothing wrong with Vanquis turning you or me down, as credit is a priveledge, at least they could be honest and say ok it is because you pay your balance off in full each month or soemthing like that

Dylanwing

there is nothing wrong with Vanquis turning you or me down

I think of myself as "special" for that achievement:rotfl:

PBA

wayoflife wrote: »

Firstly a full and valid response should be given as to why you are rejected. Not just "well it is based on a number of factors e.t.c." im sick of this! An argument that the companies give is it is to reduce the risk of fraud, as if everyone knew what made your credit score good then there would be more fraud going on....? Im sorry...what?? lol surely if people are educated more and are tole why they are turned down people would learn to act more responsibly..this surely is going to have a positive effect?

Sorry mate, but you're totally wrong on this. If you got declined for a loan because your income wasn't high enough, you'd just apply again stating a higher income. Same if you were told it was because you weren't a homeowner, or because you didn't have a landline, or because you're single (using you to mean any person, not you personally). Each bank surely has to be able to set their own criteria of who they'll lend to, and they have the right to keep that information secret to stop people pretending they meet that criteria when actually they don't.

Mortgages can afford to be more transparent, partly because people apply for a mortgage after making an offer so they need to know how much they can borrow, partly because more proof of income etc is required with a mortgage, but mainly because on a mortgage the bank holds the deeds to your property in their safe, so if you don't make your repayments they can sell the property and get their money back.

wayoflife

PBA wrote: »

Sorry mate, but you're totally wrong on this. If you got declined for a loan because your income wasn't high enough, you'd just apply again stating a higher income. Same if you were told it was because you weren't a homeowner, or because you didn't have a landline, or because you're single (using you to mean any person, not you personally). Each bank surely has to be able to set their own criteria of who they'll lend to, and they have the right to keep that information secret to stop people pretending they meet that criteria when actually they don't.

Mortgages can afford to be more transparent, partly because people apply for a mortgage after making an offer so they need to know how much they can borrow, partly because more proof of income etc is required with a mortgage, but mainly because on a mortgage the bank holds the deeds to your property in their safe, so if you don't make your repayments they can sell the property and get their money back.

Yes I accept this, but this is fraud and totally wrong. On your argument then car insurance companies shouldnt market their products for a specific group of people, as this would encourage people to lie about things.

Sure unsecured credit comes with more potential problems in this way, but this should be rectified with proof of income, e.t.c which some companies do ask for i.e. style card if you are not on the electoral role. It is not acceptable to just say that, companies should be tighter in this respect.

Additional to this, companies keep stringent records of people calling in and making applications for up to 6 years, but certainly for 1 year (I know this as I have had to amend my credit file recently). If people apply again with different information, then surely this would be highlighted?

I take it you have had no problems with obtaining credit then? I dont mean this in a patronising way and I respect your opposing view, however it does seem that when things happen to the individual then they swiftly change their mind. I would use the bank charges argument again, Im sure if I had incured bank charges I would be the first one to complain!!! I suppose its just down to individual circumstances and what people have experienced.

I strongly feel in general that there should be a different approach to that is used now. And it should work both ways...

Also in the case of someone with poor credit. I applied for a sub prime credit card for my partner a few months ago. This was declined. I contacted the underwriting department and he explained why they could give credit, which I accept.

wayoflife

Hello I am wishing to apply for a XXXX card

Ok lets go through some details ....... Computer says no!

Ok can I ask why? I mean I havnt had any bad credit before?

Erm, well have you obtained your credit report?

Yes, nothing wrong with them...

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BRICK WALL...BRICK WALL..BRICK WALL!!!!

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You have to laugh dont you!!! or you might end up smashing something up! grrrrrrrrrr!!