Appealing credit rejection with manual underwriters

The_Blue_Liftman

Hello

I wanted to ask the experts out there if they have any experience on a perplexing situation I find myself in?
I have been employed for 40 years, having a variety of good jobs, paid a mortgage off and all debts without any defaults even when it was a struggle to do so.
For the last two years I have my own consultancy business which for indemnity reasons is set up as a limited company with me as the sole employee.
I take the basic salary and pay myself dividends while charging the company for mileage and expenses.
Before I started the business I had a credit card with a 29 month 0% on purchases which I used to buy a car for my daughter and she gives me the money to pay the minimum payment plus extra when she can to reduce the balance. The 0% ends in August so looked to transfer the remaining debt to another balance transfer card.
I applied for Barclaycard Platinum card as they had the best deal and I am a Barclays customer for personal and business banking.
Upon applying I was told that my application had been rejected on the grounds of affordability. On contacting Barclaycard I was told it would be reviewed by their manual underwriting team, they came back with the same decision, my current borrowing and expenditure indicate if I took further credit I might find it difficult to keep up repayments in the future.
My issue is I cannot speak to anybody who will explain to me how they have come to this decision, I have revenue streams which prove the opposite, they keep just telling me it's based on affordability. I don't want the card from them just a detailed explanation on what I need to change in the way I pay myself to avoid similar situations in the future, if that is the case.
So has anyone had a similar experience who is running a business in the way I am and how I can get the opportunity to be discuss the decision so I can avoid it in the future?
Any feedback would be appreciated, even if it is an escalation process that can be recommended?
Thanks in anticipation

[Deleted User]

You won't get a detailed explanation, as lending criteria are confidential.

Work on cutting your costs and repaying the debt faster.

[Deleted User]

You just don't fit their criteria for a card.

You can try elsewhere, or get the current card paid in full before the promo period ends

Willing2Learn

Have you tried any eligibility checkers? It may be that you fit the criteria for an alternative BT card...

The_Blue_Liftman

My intention is to clear the card debt off, or my daughter will be as she will now have to get a loan and pay interest I was helping her to avoid. The things we will do for our children.
Just to clarify to zx81, I have a car contract hire loan that gets paid off from expenses charged to the company for tax efficiency reasons, a mobile phone contract for £15.00 per month and a credit card for food bills that gets cleared at the end of the month. I pay myself dividends monthly that the business can afford and by doing so am actually have more disposable income than working for a company as an MD and also never go overdrawn. To cut costs would be difficult as I don't have many which is the point about affordability, anything I pay out is covered easily.
Do you think they will share their view with other companies if I approach them for credit?

The_Blue_Liftman

Will do, thanks for the tip

[Deleted User]

Each lender will assess you individually - no lending criteria are the same.

BoGoF

As you have discovered, tax planning via a Ltd company (low salary and dividends) are not particularly appealing to a credit card company. You can't have it both ways.

The_Blue_Liftman

BoGoF wrote: »

As you have discovered, tax planning via a Ltd company (low salary and dividends) are not particularly appealing to a credit card company. You can't have it both ways.

It has been a learning curve on that front and something I hadn't considered until now. The only loser is my daughter but suppose she has to learn to stand on her own and develop her own credit history like we all have had to do. I don't need the card or to carry the debt for my own needs.
Thanks to everybody for taking the time to post.

[Deleted User]

How old is your daughter?

Why don’t you get her to apply for her own card and transfer the balance to her so it’s in her name (as it should be)?

Nasqueron

The_Blue_Liftman wrote: »

My issue is I cannot speak to anybody who will explain to me how they have come to this decision, I have revenue streams which prove the opposite, they keep just telling me it's based on affordability.

If they told you how their system worked, you could game the system to get more credit than they'd give you, hence why they limit what they tell you.