Halifax account - rejected

username

I tried to apply for a Halifax student current account, but was rejected on the basis that my credit score was no good. I've requested a copy of my credit file from Experian for £2 by the way.

I currently have a full Lloyds TSB current account, with a 3in1 debit card, chequebook and a £50 overdraft and TSB seem to have no qualms about throwing a credit card at me when I go and deposit money (even though I don't want a credit card).

So, where do I go from here? Is it advisable to simply hang fire and wait until my credit report comes? Or keep applying in the hope that I will eventually get it (and that it was a computer says no thing)?

merlinormartin

My partner and i, where both rejected a few years back by Halifax for a student account. We decided to take our cash elsewhere... we both opened a student account with Natwest .... interest free over draft upto £1600... credit card (if u want it).... but the best selling point was the 3 years interest free over draft after graduation! :j

username

I've received my credit report and there doesn't seem to be any defaults/CCJs etc on it.

There are a number of searches though, around 4 (!!) for Nationwide when I tried to apply for their current account last year, one from Natwest (who I currently have an account with that I don't use and just sits dormant, as I can't seem to be able to reset the password on the internet banking, their service in branch seems to be poor - long queues in nearly every branch I have been to etc). Would this affect it?

Broke_Student

username wrote: »

I've received my credit report and there doesn't seem to be any defaults/CCJs etc on it.

There are a number of searches though, around 4 (!!) for Nationwide when I tried to apply for their current account last year, one from Natwest (who I currently have an account with that I don't use and just sits dormant, as I can't seem to be able to reset the password on the internet banking, their service in branch seems to be poor - long queues in nearly every branch I have been to etc). Would this affect it?

Yes I believe so. A large number of recent searches looks suspicious to banks and is treated with caution. It could hint that you might be getting ready to take multiple loans and disappear, are opening multiple student accounts for a free overdraft, are taking out alot of credit due to financial problems and won't be able to meet repayments or something else suspicious along those lines!

Badger_Lady

Nationwide last year, and Natwest accepted you... no, that's not a major footprint problem.

It's not necessarily your credit rating - most lenders use this as an excuse when they turn you down because they don't reveal their lending criteria.

It could well be that they consider you a risk due to your age, your income, you already have too much credit, you don't have enough history of credit... could be almost anything. The silliest excuse I've heard is "Mrs Badger, sorry but you are earning more than we would expect for your age".

melancholly

halifax are notoriously funny about giving out student accounts - lots of people get them but then they won't give them big overdrafts, so it isn't something to get too worried about!

dmg24

If any consolation, I just got declined too.

Rang them to query it, and they gave me the usual spiel about credit scoring. I then advised her that I had my report on the screen in front of me, and I have no late payments, no recent searches etc. Also, it is not a question of having no credit history as I have had one for the past ten years. I even got accepted for Capital One's notoriously hard to get credit card (I didn't tell her that bit)!

She put me on hold then ...

She has suggested I print off my report and take it into branch. TBH I'm so annoyed I think I will just take my business elsewhere!

I know this is the account that Martin recommends, maybe he should research what their elusive criteria is!

someone

I applied for a Halifax student account. It got referred to the underwriters (someone actually made a decision in the end, not a computer said no).

It would not surprise me if the occupation "student" marks down their credit score!

username

So, would it be worth going into the branch, armed with a copy of my credit report to get them to reconsider their decision?

dmg24

username wrote: »

So, would it be worth going into the branch, armed with a copy of my credit report to get them to reconsider their decision?

Can't do any harm?

I have decided to stick with my usual current account, though my situation is a little different as I am a mature student so have a large overdraft facility on my usual account ... and I'm still hoping that I won't have to use it!

Let us know how you get on x

username

I went into the branch today and asked to see someone. I did, and I explained the situation to the man and he looked through the credit report. Apparently because it was marked on the system as 'declined' they couldn't/wouldn't budge from the 'computer says no' decision and there was 'nothing they could do about it'. It was down to my 'low credit score'.

The man offered to try the application again (but he couldn't guarantee it would work). To save my file from another search, I declined this. I asked him if they could do a 'manual' application - and he said it's all automated. Phone the underwriters and ask them to look at it again? Not a chance. The address at which I live? Possibly, was his answer, if there have been bad debtors previously living there.

So no flexibility to bend the rules, or indeed get a human being to reconsider the decision. Oh dear. Well I guess that's it for me and Mr Brown, this is where will probably part.

All this credit scoring business seems so kafkaesque and hit-and-miss. Some places will accept you, some won't. Others will offer you full facilities, others will offer you nothing.

So, where should I go from here? :mad: