Disaster

Me_ma

Hi, I'm looking for some help with a problem please... here goes:
1. I currently use a Santander 123 credit card, it just about pays its monthly charge with a smallish amount of cashback for me (about four pounds after the charge is taken) but it will no longer be worthwhile from next year when all the changes kick in, i.e the cap on cashback and the increase in the fee.
2. I shop mainly with Sainsburys and have a Nectar card. I decided to go with a Sainsburys credit card to capitalise on the Nectar points.
3. I applied for their lowest APR card (5.9% variable) because APR isn't important to me I always pay the balance at the end of the month, and I was TURNED DOWN. - Yes, my pride was hurt, I expected to sail through. I am debt free, pay all my bills in full each month, am a home owner, am retired with a reasonable monthly income of my own plus very good savings, have a spouse... you get the picture?
4. I went into anxiety melt down, feared someone had used my details to obtain credit in my name, all that kind of stuff, so I joined Experian CreditExpert to get my credit report. My score is 999 - the highest - so I am at a loss to explain why Sainsburys turned me down. I've kept the personal stuff in this post to a minimum, obviously, but does anyone here have any kind of theory to offer for my refusal? I did ring the customer service dept but the person who spoke to me said they don't see any reasons why someone is refused credit, but that I should get a letter of explanation - it hasn't turned up yet, about 10 days now. The online response at the time of applying was my application "did not meet their lending requirements" and that they use credit scoring and credit searches, plus many other processes and sources of information. Could the fact that I had a row with Sainsburys over Nectar points and copied the CEO into an email have influenced their decision, are they that small minded?? Another point is, will the refusal mean I can't apply to any other companies for a card? I used to have an MBNA card, which I changed out for Santander - I bank with Santander, so I guess I would be accepted if I just change out my 123 card for a standard no perks card from them but, hey, we all like a little free perk?

I hope someone might have some useful ideas but thanks for looking anyway.

A mystified Me_ma

Arleen

It doesn't matter what your score is but what is on your file, so what is on there?

If there is nothing adversary there, and there is some history of actual credit usage (aka it's not an empty file) then shrug it off, apply for tesco card and start shopping with them instead.

gingercordial

Disaster? That's a bit strong.

No, I don't think they are going to be holding your row about Nectar points against you; Nectar is a separately-administered scheme. But for whatever reason they simply don't want your business, as they are entitled to do - maybe they don't see enough opportunity to make profit out of you when you have such a good history? It doesn't mean there is anything bad.

Apply somewhere else, it'll be fine.

Me_ma

Areleen, thanks for speedy reply. I assume you mean things like CCJ's etc? Nothing like that - not ever - I do have credit accounts with a few catalogue sites, again, paid in full every month that I use them to buy things, so the report is not "empty". I'm just not a big spender, don't change my bank account to take advantage of deals... did all that stuff when I was younger! You are right, I will try someone else and if I get knocked back again I'll just ask Santander to change my card out for a standard one.

Thanks
Me_ma

GingerBob_3

Could the fact that I had a row with Sainsburys over Nectar points and copied the CEO into an email have influenced their decision, are they that small minded??

I would say there's every chance this is the reason. I assume most financial institutions keep blacklists with this sort of stuff recorded indefinitely (probably in contravention of data protection rules/guidelines). It might be worth the £10 fee to hit them with a SAR. That might shed some light on what would appear to be a dubious refusal. One thing is for sure; they'll tell you nothing of any use in the letter of "explanation" - which will be anything but.

Me_ma

Thanks Gingercordial - the credit card is actually from Sainsburys Bank rather than Nectar, it's just that it gains Nectar points from all purchases, so extra points to the standard ones that you get on your Nectar reward card. I just wondered if the CEO's executive office might have labelled my Sainsburys account to say "watch out for this troublemaker" and that might have influenced whether they want me to bank with them!!!

Me_ma

GingerBob wrote: »

I would say there's every chance this is the reason. I assume most financial institutions keep blacklists with this sort of stuff recorded indefinitely (probably in contravention of data protection rules/guidelines). It might be worth the £10 fee to hit them with a SAR. That might shed some light on what would appear to be a dubious refusal. One thing is for sure; they'll tell you nothing of any use in the letter of "explanation" - which will be anything but.

Okay, thanks for that... I did wonder about hitting them with a request to see any notes on my file but my OH thinks I'm being paranoid, and to move on. Trouble is, won't they just delete anything dodgy before they comply??
Me_Ma

PixelPound

Me_ma wrote: »

3. I applied for their lowest APR card (5.9% variable) because APR isn't important to me I always pay the balance at the end of the month, and I was TURNED DOWN. - Yes, my pride was hurt, I expected to sail through. I am debt free, pay all my bills in full each month, am a home owner, am retired with a reasonable monthly income of my own plus very good savings, have a spouse... you get the picture?

If APR isn't important, then why go for their lowest card, surely this would have been hardest to get.

Me_ma

Actually, good point Nic_c - my OH said something similar. I just thought it would be the easiest, funnily enough. I looked at the three options on the website, they were all similar in perks it seemed, so I went for the one with the lowest APR just because it seemed to me that everyone would be after the balance transfers and the purchase cards - I just wanted straightforward and a small perk. Perhaps that was my mistake?

DCFC79

Your score has no bearing on anything financial. You just need to understand that you can get turned down for a credit card, loan etc, its just how it is. I believe the reason doesnt have to be communicated to you.

Not a disaster though.

Gaz83

If APR isn't important as you pay in full, and therefore don't pay any interest, perhaps they just don't want your business as you don't make any money for them.