Next credit application.. Gone wrong.

gsyko

Hi, I would appreciate your help...

I was buying a jacket from Next online and at checkout it says 'get £10 off if you sign up to a next account' I did so, intending to pay it off in full. It did a credit check but it declined,there was no reason why so I tried for a second and third time. After this it wouldn't let me sign up. (In hindsight what a stupid bloody idea).

I contacted my bank and they said that they approved it but the merchant declined as the address on my Next account and the address on my credit card don't match. Basically I then realised I'd forgotten to change the address registered to my credit card when I moved house last year.

I am now worried that for the sake of a £40 jacket these credit applications will go down as 'hard searches' on my credit profile?! Will this happen?

Thank-you

Ged

concernedSaver

I did something similar, I was applying for a new current account and failed the credit check twice for an overdraft. It only appears once in my credit report, I think CRAs will "group" multiple searches in a short time span.

gsyko

That is so annoying, how negatively does this effect credit rating?

concernedSaver

There are no hard facts I'm afraid, but generally a search means just that a company asked to verify your credit worthiness, which in turn means that you asked for credit because – presumably – you need money. A lender can easily match a search to a current credit account and infer if you've been rejected.

If you had a very recent search on file you probably shouldn't apply for new credit right away, but it's unlikely to cause real damage to your credit profile. Credit card and store card rejections are just a fact of life.

GingerBob_3

gsyko wrote: »

Hi, I would appreciate your help...

I was buying a jacket from Next online and at checkout it says 'get £10 off if you sign up to a next account' I did so, intending to pay it off in full. It did a credit check but it declined,there was no reason why so I tried for a second and third time. After this it wouldn't let me sign up. (In hindsight what a stupid bloody idea).

I contacted my bank and they said that they approved it but the merchant declined as the address on my Next account and the address on my credit card don't match. Basically I then realised I'd forgotten to change the address registered to my credit card when I moved house last year.

I am now worried that for the sake of a £40 jacket these credit applications will go down as 'hard searches' on my credit profile?! Will this happen?

Thank-you

Ged

Next credit should always be avoided. They are one of these unscrupulous companies who sneak you into a credit agreement, often simply by giving you their catalogue. But this one takes the biscuit; "buy this jacket and get £10 off if you sign up [we shaft you with a credit check]. Oh, sorry sir! we're declining you. You don't get the £10 off [but we've still shafted you with a credit check]." I hope you quickly thought of something exceedingly unpleasant that they could do with the jacket, and then told them to do it.