Why can't I get approved? What's changed?

j_tyne · 7 April 2020 at 4:34PM

Hi, this is my first post. I'm paying a lot of interest on a balance transfer credit card since the interest free period expired. I really want to swap to a new 0% balance transfer card, but I'm having no luck. I've always been able to do it in the past. I'm not sure what's changed? I have one other credit card that I use for purchases when needed. I've never missed a credit card payment ever. I dropped to part time hours since having a child, but I'm married, in private tenancy. Husband works full time. I have a bank overdraft, but I've had this for years since uni and manage it. We both work hard and pay our bills on time. I did some credit card applications just after we moved house 10 months ago, which probably wasn't good timing - and got declined. I tried a soft search on here this week and got 100% approval for virgin credit card, but still got declined. I just did a mbna soft search and got rejected too. If anyone could shed any light on why this might be and should I wait or try something else? I'd really appreciate it. Thanks.

eskbanker · 7 April 2020 at 4:39PM

j_tyne said:

I'm not sure what's changed?

Possibilities include:

j_tyne said:

I dropped to part time hours since having a child
[...]
I have a bank overdraft, but I've had this for years since uni
[...]
we moved house 10 months ago

Have you checked your credit files to see what they look like? Are you on the electoral roll at the new place? The overdraft may not be a change as such to your personal circumstances (although debts become more significant when income is reduced) but lending criteria are likely to be tighter in the current crisis....

j_tyne · 7 April 2020 at 4:41PM

No I haven't yet. Do you know the best way to check my credit files? Can you do it through their websites?

[Deleted User] · 7 April 2020 at 4:41PM

You've gone part time, you're still in your overdraft after some years, moving existing debt around and there's also something of a financial crisis going on. That's why.

Focus on throwing every spare penny at the debts for now.

eskbanker · 7 April 2020 at 4:42PM

j_tyne said:

No I haven't yet. Do you know the best way to check my credit files? Can you do it through their websites?

https://www.moneysavingexpert.com/loans/check-free-credit-report/

comeandgo · 7 April 2020 at 4:43PM

You must be up to your max. The credit card companies just see you using the new credit card to increase your debt. Pay some of the debt off and try again next year.

cymruchris · 11 April 2020 at 1:04AM

It seems that in general it's easier to get another zero percent card when you're not holding a recurring balance close to your limit - so as you say you're now paying interest - you need to focus on doing what you can to reduce the balance rather than rely on a zero percent card. Banks don't offer zero percent cards just for the fun of it - they're out to make a profit - and yours is now making that profit from you. Get your balance down, wait a few months - and then try again.