Santander CC

docdar

Santander recently turned down my application for CC stating that I had poor Experian credit score. From another perspective they were happy to open the 123 account the same day when I told them that I would like to move my savings from elsewhere to Santander. On subsequent enquiries they told me that I had too many addresses in my address history. Hence they declined the credit card.
However when I checked with Experian they said my credit score was GOOD. Furthermore that too many addresses explanation given by Santander was not valid.
As doctor in the NHS providing emergency on-call care, one rotates through the different hospitals through specialist training period. It is also common knowledge that this can span a few years. Hence the postcodes of my previous addresses is of NHS hospitals as I stayed in the hospital accommodations. However I am now concerned this is being used by certain banks to deny a financial product. In the murky waters of financial dealings I find it very puzzling as to how on one hand HSBC happily sign me up for a 5000 pound limit card on the other Santander refuse a 1200 pound limit card.....
There are at any given point a few thousand junior doctors like myself who provide similar services in the NHS. If this excuse of address history is adopted by banks then indeed it is a disturbing trend......
I would welcome views and inputs from other MSE forum members and experts on this approach of Santander.

grumbler

docdar wrote: »

Santander recently turned down my application for CC stating that I had poor Experian credit score.

What Santander actually use is your credit history that Experian store, not some 'score' that lenders use their own algorithm to calculate.

However when I checked with Experian they said my credit score was GOOD. Furthermore that too many addresses explanation given by Santander was not valid.

Whatever 'score' Experian sell you is meaningless and is a marketing ploy.

As doctor in the NHS providing emergency on-call care, one rotates through the different hospitals through specialist training period. It is also common knowledge that this can span a few years. Hence the postcodes of my previous addresses is of NHS hospitals as I stayed in the hospital accommodations. However I am now concerned this is being used by certain banks to deny a financial product. In the murky waters of financial dealings I find it very puzzling as to how on one hand HSBC happily sign me up for a 5000 pound limit card on the other Santander refuse a 1200 pound limit card.....
There are at any given point a few thousand junior doctors like myself who provide similar services in the NHS. If this excuse of address history is adopted by banks then indeed it is a disturbing trend......
I would welcome views and inputs from other MSE forum members and experts on this approach of Santander.

If you move frequently, use, say, your parents' address for all your credit and current accounts.

It's understandable that Santander don't want to have problems with chasing you if/when you fail to pay back what you owe them.

shortcrust

When you talk about excuses and denying products you make it sound like they're not giving you something you're entitled to. Banks can use whatever criteria they like to choose customers and they don't have to convince you that their reasons are valid and legitimate. Having a busy address history may put lenders off but it's a problem that affects all mobile workers and not just junior doctors. There are ways round it - Grumbler gives good advice.

PeacefulWaters

docdar wrote: »

Santander recently turned down my application for CC stating that I had poor Experian credit score.

I would be very surprised if it did say that. "Information provided by our credit reference agency" or "our credit scoring systems" are more likely.

From another perspective they were happy to open the 123 account the same day when I told them that I would like to move my savings from elsewhere to Santander.

You have no relationship with the bank? It seems fair that they'll test the water with you on a current account but hang fire on extending a credit card limit to you.

On subsequent enquiries they told me that I had too many addresses in my address history. Hence they declined the credit card.
However when I checked with Experian they said my credit score was GOOD.

Experian don't offer credit. Their "good" is meaningless to Santander.

Furthermore that too many addresses explanation given by Santander was not valid.

It is very valid. People who are transient are harder to track down if they forget to pay. They are by nature higher risk.

As doctor in the NHS providing emergency on-call care, one rotates through the different hospitals through specialist training period. It is also common knowledge that this can span a few years. Hence the postcodes of my previous addresses is of NHS hospitals as I stayed in the hospital accommodations.

So it is factual that you move around. Thus it is a valid part of their credit scoring systems that will attract a low score. It will in part get offset by a higher score as your occupation will be "better" than, say, mine.

However I am now concerned this is being used by certain banks to deny a financial product.

It has been this way for decades, as part of more complex alogorhythms that determine who a lender will extend credit to.

In the murky waters of financial dealings I find it very puzzling as to how on one hand HSBC happily sign me up for a 5000 pound limit card on the other Santander refuse a 1200 pound limit card.....

How do you know what credit limit Santander were considering? Do you have any other relationship with HSBC? Do HSBC have a different scoring system to Santander? Do HSBC have more of a niche target market of higher potential earners than Santander?

It baffles me that two doctors can come up with a different diagnosis for the same illness and still both be wrong.

There are at any given point a few thousand junior doctors like myself who provide similar services in the NHS. If this excuse of address history is adopted by banks then indeed it is a disturbing trend......

It really is a lot less disturbing than the way the medical profession closes ranks when one of their own inadvertently kills a patient. But that's a discussion for elsewhere.

I would welcome views and inputs from other MSE forum members and experts on this approach of Santander.

I think it's great. A bank that knows nothing about you accepts you for a current account but makes you wait for credit until they know a bit more about you. Some would say it's a bit old-fashioned but it strikes me as fair and responsible, especially if they know you already have a £5k limit elsewhere.

redpete

docdar wrote: »

I would welcome views and inputs from other MSE forum members and experts on this approach of Santander.

I wouldn't expect the computer programme that made the decision to check whether you are a medical doctor and if so how recently you qualified in order to apply the 'common knowledge' about junior doctors' work patterns.

I might expect such information to be taken into account if you go into your branch and talk to someone who can over-ride that decision.

adindas

[FONT=&quot]docdar Yesterday, 11:56 PM[/FONT]


I also have an excellent but complicated credit history, when I applied for current account, credit card it is like a matter luck as sometimes got accepted sometimes declined. I have learned that I have more success if I apply in person in Branch o over the phone, rather than online application.

Regarding the Santander I have an interesting experience with them that you or other people in this forum could learn.
- I have been banking with them since it was still A&L around seven years ago.
- At one particular time I have around £75,000 cash spread among different accounts with Santander
- At one time when they were one of the best in paying in interest for their products, I have three current accounts, several saving accounts with them with an overdraft of around £3,000 (?). I never use OD facility.
- During that period I have applied more than 30 products with other banks and BS which include CC, current account with OD. In case of OD, in all cases, I never ask for OD facility unless I see the opportunity to do stoozing. Yet the OD is provided without even asking them.
- I have a splendid credit history. Sofar, I never have any debt (apart from CC and mortgage), CCJ, etc. Unless I get benefit of not paying in full I always pay my CC balance in full by DD.

Now experience with Santander CC.
I have a Santander Zero credit card with them with limit of £500 (I know it is very low). Since I have around six years ago the limit has not changed. During that period I have asked twice to change my limit and declined. At the same period they have approved my application for current account with an OD facility over £500.

In one particular time I have a dozen credit cards with multiple times of £500. Some of them were cancelled due to no benefit of keeping them.

What I have learn.
In current account and Santander card application you are accesses by completely different people with complete different criterias. The underwriters from Santandercards are a bunch of people who cannot think rationally, might be Lazy and very risk averse …

Now to apply in your case.
It might be something to do with having to move so often and this a very valid POV, as banks don't want to have problems with chasing people when people fail to pay back what they owe them, as it is harder to track down if they forget to pay. Indeed in reality some people (e.g. criminals) are using this tactic to avoid paying their debt.

But in your circumstance the things are different, given your profession which is accepted by the general public as a very good standing.

I suggest

- Use your parents' address (say) for all your credit and current accounts.
- Apply in person in Branch. In branch they could scrutinize you and could override the decision made by the computer. I myself have a good record of success by applying over the phone and in branch rather then online
- The combination of the to will have a much higher impact.

Have a try and see where does it go ...

Fruit_and_Nut_Case

PeacefulWaters wrote: »

How do you know what credit limit Santander were considering?

I suspect that docdar saw the representative example used by most, if not all, providers of £1200 and possibly thought it was a personal offering.

BTW my compliments to you for your well thought out and comprehensive reply to the aforementioned docdar.

chattychappy

docdar wrote: »

There are at any given point a few thousand junior doctors like myself who provide similar services in the NHS. If this excuse of address history is adopted by banks then indeed it is a disturbing trend......

Why is it a disturbing trend? Is it because you think that doctors and the NHS are special and that you have some sort of special entitlement? You say "doctors like myself who provide similar services in the NHS". Do you see yourself as some sort of hero providing quasi-volunteer services to a quasi-good cause?

Your job and the NHS might be special in your eyes, but to a CC the NHS is just an employer and you are an employee. Your job is just a part of a career you have chosen. Welcome to the commercial world!

happysaver9

I have to agree with Grumbler. When I was a student, even when I got my first couple of places, I didn't bother changing my address with by bank or most companies. It's so much easier to leave things as they are.

That said, I did live fairly close to my parents so picking up post wasn't an issue but if this isn't the case with you, perhaps you could ask them to go through things for you and scan / e-mail if necessary?

adindas

As in general rule, profession will contribute to whether you could be trusted, for instance to become a witness in the court. It is also apply in commercial sector, for instance renting property. So applying for credit card is not an exception

A dentist, a doctor, judge, police force, solicitors will be less likely to default or to commit fraud then say people working in casual job. They have a more stable income and due to their profession they will have too much to loose if they default or commit fraud in a tiny scale (say).

Also if your profession does not contribute to the decision making, why do they need to ask people in the application form.