Accepted by Capital One

bigadaj

chuckley wrote: »

they're probably hoping you'll crash and burn so they can cash in.

Doesn't really work though if the customer defaults the bank loses its money.

Carrot007

Pretty much the same thing happened to me.

DMP Ended around Last Nov. Applied to Aqua (as do a few transactions in dollars and is cheaper), got rejected.

8 months on.. And still 1 default until July 1016. Apply again. £1200 limit.

Maybe it's because I have moved house an got a new mortgage?

Also got approved for £10k loan (many house issues, buyer beware I guess!).

It's odd.

I have however |learnt my lesson and am not going mad like I did last time (joint 70k of debt, well 60k I guess, still not asking for old student loan), I only got the loan as a new bathroom is better than the bodge of a wetroom which will make the kitchen ceiling cave in if left!

andyfromotley

bigadaj wrote: »

Doesn't really work though if the customer defaults the bank loses its money.

Ah yes but default isn't what they are hoping for, what they want is for you to borrow more than you can repay in full each month and start the interest ball rolling.

Eventually they may not even mind if you default as you will have paid so much in interest if you keep trying to resolve it for years that they will be quids in even if the capital is never repaid.

Kim_13

They've never seemed to have a reputation for being generous with credit limits before. Perhaps they're trying to get more customers to use their cards regularly after the mass exodus over cashback?

glentoran99

ive just finished a dmp (well not quite still paying contractul payments to one)and barclaycard gave me 5k, 3 defaults still showing on my file 18.9% apr

Ben8282

A4445 wrote: »

Ok...I've had serious credit issues in the past, declared bankrupt in Dec 09 discharged Dec 10. I also had a BRU that was satisfied in Apr 14..plus all the defaults that go along with this.

I thought I'd give a go at appling for a Capital one bad credit cards and they approved me imeditley with the maximum £1500 credit limit! Does anyone else think that's crazy? I was expecting an automatic decline or if they did say yes a max limit off £200!!

The opposite. Your bankruptcy was discharged almost six years ago and the BRU (have to admit I don't know what a BRU is) is satisfied and you say all the defaults are gone, so why should you not have been approved for the card?

plumber2009

The reason for the higher credit limit is because of the BR and therefore there is no outstanding debt.

Cap1 most likely feel that the OP wont get credit elsewhere so therefore can afford to take the risk and offer a higher starting limit. High limit with interest payments make them money.

Credit history is only one aspect in the credit scoring process. One of the biggest factors when assessing an application is how much existing credit you have access to. You could have an excellent credit history and get rejected for any number of reasons such as:-

1.High levels of credit elsewhere.
2.Not profitable to them. E.G pay in full every month
3.Income
4.Existing debt levels elsewhere.

I would rather lend £1000 to someone with no debt and poor history of credit than to someone with £50k of outstanding debt plus a mortgage.

chuckley

bigadaj wrote: »

Doesn't really work though if the customer defaults the bank loses its money.

with the amount they secure through interest and selling the account. they're quids in.

On to the next one.

bigadaj

chuckley wrote: »

with the amount they secure through interest and selling the account. they're quids in.

On to the next one.

So there's no point in credit scoring anyone apparently, why bother if you can just charge interest and sell it on?

bengal-stripe

glentoran99 wrote: »

ive just finished a dmp...... and barclaycard gave me 5k,

Don't count your chicken (just yet).

Barclaycard is (in)famous for changing their mind a week or two later and closing the previously opened account.