Failed Credit Check to open Halifx Current Account

imjayw

In the last year I've opened up multiple new current and savings accounts. Some for saving; and some just for switching incentives.

I was in the process of switching my Natwest donor account to a Halifax current account; but failed the credit check and unable to open the account.

I'm a little confused as I've opened many accounts in the last couple months with no problem.

For the record, i've never owned a credit card, I never go overdraft, have multple savings accounts.

Is there anything I can do in order to get a positive credit check? Would using a credit card for every day items (and paying in full every month) boost my credit, or does it work some other way?

Would I even be qualifed for a credit card as it seems my credit isn't good enough to get one?


Any help appreciated
Thanks

[Deleted User]

A credit card is the easiest way to build credit history.

Try your own bank, or failing that, one of the sub prime lenders (aqua, Vanquis etc)

Lou85

Find out from Halifax why you were declined - if you have had multiple credit checks in the last 6 months (for all the accounts you've opened) this could be the reason why you've been declined.

It may be nothing to do with not having credit but some lenders will decline if you've applied for multiple credit facilities in a short space of time as this looks like you are desperate for credit (even though it's current accounts you've been opening - overdraft facilities do not show on a credit search so you could be looking for new current accounts for this reason)

Anthorn

Opening many accounts "over the last few months" most likely with each application resulting in a credit search is a recipe for disaster and most likely the reason why you were declined.

imjayw

Anthorn wrote: »

Opening many accounts "over the last few months" most likely with each application resulting in a credit search is a recipe for disaster and most likely the reason why you were declined.

Am I stuck with this poor credit for good now? Do you recon if I try again in a couple months time it would go through ok, or do I need to make any changes?

Doctor_Duke

No you are certainly not stuck with poor credit record because of searches. Don't apply for anything for three months at least and preferably 6. The searches will have less impact then and after 12 months pretty much are insignificant.

20aday

imjayw wrote: »

Am I stuck with this poor credit for good now? Do you recon if I try again in a couple months time it would go through ok, or do I need to make any changes?

If Lloyds Bank use a similar credit 'scoring' process to the Halifax (seeing as they are part of the same group) you could use the soft search tool (for current accounts) here:

https://secure.form.lloydsbank.com/application/pca_eligibility_check.asp

in a few months' time. Might give you an idea if the Halifax would let you proceed to switch accounts for the incentive.

Ironically when I opened an account with the Halifax for the reward last December they offered me a £250 overdraft but Lloyds never have done despite it being my main current account for two years' now (needless to say I don't want an overdraft but it did make me laugh).

Ben8282

imjayw wrote: »

I'm a little confused as I've opened many accounts in the last couple months with no problem.

Perhaps they are not interested in new customers who have opened many current accounts in the last couple of months as obviously you are not seeking to use their account as your main current account but for other and unknown purposes

imjayw

Thanks for all the advice so far, taking it all on board.

Although if I were to get a credit card, use it for every day payments and pay in full every month - purely to get some positive credit.. is there any specific TYPE of credit card I should be applying for?

20aday

imjayw wrote: »

Thanks for all the advice so far, taking it all on board.

Although if I were to get a credit card, use it for every day payments and pay in full every month - purely to get some positive credit.. is there any specific TYPE of credit card I should be applying for?

As mentioned previously try your main bank account. They'll have a good idea of how you run your account etc.

Failing that take a look here at 'Bad Credit' cards:

https://creditcards.moneysavingexpert.com/?bad-credit&_ga=1.224517789.687914028.1457215629

One such card (Barclaycard Initial) could see your APR fall within a year if you manage your account well.