HELP! - Refused 0% Balance Transfer Credit Card

Vicky1210

HELP! I have alway been an avid follower of Martin Lewis and regularly use the MSE Website. I have had a 0% Credit card which the 0% interest has now come to an end. I have applied for a 0% Balance Transfer and been refused and now I am at a loss at what to do as my current credit card now has an 18.9% APR Interest rate. Can anyone please help or advise me what is best to do?

Candyapple

Have you entered your details below, what do the results say?
https://creditcards.moneysavingexpert.com/?balance-transfer&_ga=2.51552489.1567138419.1508144993-160981962.1507628140

Vicky1210

Hello - thanks for the reply, I used the quick calculator tool through MSE and applied for a Barclaycard which said i had 95% chance of being accepted for but got refused. I then applied through Sainsburys bank and too got refused. I don't want to keep applying, and being refused as i know it affects your credit score.

StopIt

Step One: Check your credit history (Not the score) of all 3 major CRA, free.


1: ClearScore
2: Noddle
3: MSE Credit Club


Make sure there's nothing untoward on there. (Untoward being defaults, CCJs etc, make sure you're up to date on the electoral roll too).


All good? Then maybe you're being failed on affordability, and thus lenders don't want to give you more 0% credit.


What can you do in this case?


head to the DFW boards, post up an SOA, and find ways to eliminate this (And other?) debts.


The better your debt to income ratio, the more chance of getting 0% deals again.


Also, it's a myth that credit rejections harm your credit score. There is no such marker on your credit files. Multiple applications set off markers that prevent further applications for credit by many lenders as lots of applications at once is a major risk factor (The obvious risk is that someone is going to take a load of money and leg it). These applications usually take 6-12 months to filter through and I'd advise against applying for any more credit products until you can get a better picture of why you're being rejected.

jonesMUFCforever

How much do you owe on the card?
What other debts do you have and what income?

I would not apply for any more cards as 2 declines suggests something in the background you have not divulged.

You need to go over to the debt free wanabe board and write out a statement of income and expenditure. This will show what you can cut down on to throw at the debt.
Plan B would be to sell unwanted items to reduce the debt.

Candyapple

Vicky1210 wrote: »

Hello - thanks for the reply, I used the quick calculator tool through MSE and applied for a Barclaycard which said i had 95% chance of being accepted for but got refused. I then applied through Sainsburys bank and too got refused. I don't want to keep applying, and being refused as i know it affects your credit score.

The free versions to check your credit files are below:
Experian: https://www.moneysavingexpert.com/creditclub
Equifax: https://www.clearscore.com
Call Credit: https://www.noddle.co.uk


Please list all credit card limits along with outstanding balances.

Do you have any other loans / overdraft / car finance etc?

Do you have any late payments / defaults / CCJs?

What is your annual salary?

Are you on the electoral roll (does it show on all 3 files?)

Do you have many other 'credit' accounts showing on your files such as bank account / mobile phone etc.?

Aside from those 2, have you made any other credit applications in the last 12 months?

Vicky1210

Thank you for your help and suggestions - I am somewhat of a novice at this, however I have been over to MSE Credit club as recommended and had a look at my Experian credit report. My credit score is “good” I have never missed any payments or have any CCJ’s. However it did seem that my overall what they call unsecured debt is already high, therefore reducing my chance of lending. While I understand this, it’s still extremely frustrating as I don’t want to borrow anymore, just transfer existing debt to 0% interest.
There were a few queries in my report which I do have though.
Firstly there were “Financial associations” on my report where I have none, so no joint mortgage, bank accounts or applications.
Secondly there was also a credit card listed on there which has never been used and the account is closed. Can this be removed as it is potentially showing I have extra credit available when I don’t.
Any help or advice is appreciated. Thank you

eskbanker

Vicky1210 wrote: »

There were a few queries in my report which I do have though.
Firstly there were “Financial associations” on my report where I have none, so no joint mortgage, bank accounts or applications.
Secondly there was also a credit card listed on there which has never been used and the account is closed. Can this be removed as it is potentially showing I have extra credit available when I don’t.
Any help or advice is appreciated. Thank you

Follow Experian's correction process, as explained at https://www.experian.co.uk/consumer/questions/askjames308.html

Vicky1210 wrote: »

it did seem that my overall what they call unsecured debt is already high, therefore reducing my chance of lending. While I understand this, it’s still extremely frustrating as I don’t want to borrow anymore, just transfer existing debt to 0% interest.

But as far as lenders are concerned you are looking to secure more credit over and above what you already have - even though you'd intend to transfer a debt and close that old line of credit, they can't rely on that and so will always regard any application as adding to your overall credit rather than replacing some of it.

Superscrooge

Vicky1210 wrote: »

HELP! I have alway been an avid follower of Martin Lewis and regularly use the MSE Website. I have had a 0% Credit card which the 0% interest has now come to an end. I have applied for a 0% Balance Transfer and been refused and now I am at a loss at what to do as my current credit card now has an 18.9% APR Interest rate. Can anyone please help or advise me what is best to do?

You are not the first to be caught out assuming you can roll debt from one 0% BT to another ad infinitum. Much of the time you can. But you always need a Plan B.

if you have already had two rejections I wouldn't make any further applications for three months and concentrate on paying off as much of the debt as you can.

With less debt you can then try another application in three months which might have more chance of success.

Sarastro

Superscrooge wrote: »

assuming you can roll debt from one 0% BT to another ad infinitum. Much of the time you can. But you always need a Plan B..

I think plan B needs to be paying back the debt...

WillyWonga

If you transfer £xxxx on a BT card and make the minimum payments then you could get caught up in the trap. Don't assume BT cards allow you more free income. If you pay £100 a month on a standard card and then get a BT then still pay the £100 to clear the debt on your BT card. Tempting when Min payment might well be £15 or so then he card company has you trapped. BT cards are hit and miss if you get one assume it's the only way be you will ever get and Chuck everything at it