Retiree declined Barclaycard Rewards card

MalMonroe

cabbie37 said:

Thank you all for your comments so far. There are a couple of points that I should add, based on comments provided. 

First, I did do an eligibility pre-check and had no suggestion that I would be declined

Second, when going through the application process, my employment status was asked for. Retired was an option but, at no point, did they say Ah, sorry, you're retired so no go.. As part of the process I had to declare my annual income and, as one of the earlier replies had suggested, my annual income is greater than minimum wage.

Third, checking Experian was done out of interest, after I had been declined. I guess I wasn't surprised to find it at 999. However, as part of the application process, the system itself produces a pdf report that reflects its credit analysis. This also seemed perfect, with green lights everywhere showing a perfect financial record. In fact, I was quite surprised to see entries on it that I didn't think would be part of the process...

It isn't a critical application and, indeed, I can wait and will also consider a Halifax Clarity card. It's just (frankly) that I am offended that I got declined and want someone in authority to feel awkward in explaining the reasons...

Well I'm retired and older than you but I've applied for credit cards recently and been successful. I was looking for 0% balance transfers and was offered the first one I applied for, with Virgin although the elegibility score I got with them via Clearscore (Equifax) was 80%. The credit limit is £3000 too, so I was very pleased.

I did try doing an elegibility score on more than one occasion for a Barclaycard and was told no chance each time. It could be age discrimination but they won't ever admit it which is why you got the explanation you did. If you're older, perhaps they think you'll die before you have a chance to pay off all your debts. (But don't worry, 'cos you're still younger than me!)

I've had Barclaycards in the past but find that now they are very difficult to get. Maybe I should have kept hold of my 'premium' Barclaycard which I closed a few years ago. Anyway, I think if they don't want me then I don't want them. So far so good with Virgin. 

Although I'm retired, I'm also self-employed and registered with HMRC for tax purposes but whenever applying for finance I always say I'm retired rather than self employed as lenders prefer you to have a regular income and don't appear to believe that self employment is a good thing.

As others have said, your credit score means absolutely nothing to anyone. 

I'm sure you will be able to get a decent credit card - Barclaycard not so much at the moment. 

nimps

I'm retired, haven't used my Barclaycard for years and because I live abroad was told that my account would be closed in November unless I provided a UK address.  I did nothing since I wasn't really bothered.  I've just received a new card, valid for five years.  What are Barclaycard playing at?

bradders1983

nimps said:

I'm retired, haven't used my Barclaycard for years and because I live abroad was told that my account would be closed in November unless I provided a UK address.  I did nothing since I wasn't really bothered.  I've just received a new card, valid for five years.  What are Barclaycard playing at?

Cards will be automatically generated on all open accounts and given yours isnt closed yet....that is why.

Oxy1

cabbie37 said:

I I have been told that they will only offer a card to someone in employment.

Their pre-application check that does not include such a restriction. Also if they have such a draconian restriction they should have specified it openly rather than getting people to apply, damage their Credit History in the process and be humiliated in this way.

I would definitely pursue this complaint all the way to the Ombudsmen level. Even if they do not give you the card eventually they have some explaining (and compensating) to do if you were really told the above.

Most likely you being the pensioner is not a real  reason but the phonecall you had is most likely (I would say even certainly) recorded and I would imagine is enough to have them.

Oxy1

born_again said:

cabbie37 said: It's just (frankly) that I am offended that I got declined and want someone in authority to feel awkward in explaining the reasons...

I doubt that you will get passed a front line call center rep who will just say Sorry (if lucky) but system say no. As a non customer they can even ignore a complaint, although they can log your comments.
Believe me, no one in power would feel awkward saying why.

They can ignore whatever or whoever - there is no fundamental law of nature that would prevent them from that. But there is a right to complaint further, to Ombudsmen even if you are just a potential customer.

https://www.financial-ombudsman.org.uk/faqs/using-service/can-bring-complaint-ombudsman#:~:text=We can look at complaints,customers and some small businesses.&text=You don't need to,solicitor or a claims company.

"We can look at complaints from customers or potential customers of financial businesses"

Oxy1

Deleted_User said:

A bank can lend to whoever they like, it's not discrimination or ageism, they could only offer cards to people called Fred, who applied on Mondays and drove a Ford Mondeo if they wanted to - it's a corporate decision based on the risk they consider acceptable. If they don't want your business you can go elsewhere to someone who will.

Not quite like that. Banks are not just a corner shop. If corner shops were to form a cartel and share all the data about customers such as their expenditure and what kind of goods they buy they would end up in jail!

Banks in the UK have easy access to unimaginable amount of financial information about their prospective clients. The way system works is trying to apply to become a customer of one bank can damage your chances of being accepted as a customer of another. It would be interesting what happened to a bank that would care to admit to making decisions in a very arbitrary way.

adamp87

Oxy1 said:

cabbie37 said:

I I have been told that they will only offer a card to someone in employment.

Their pre-application check that does not include such a restriction. Also if they have such a draconian restriction they should have specified it openly rather than getting people to apply, damage their Credit History in the process and be humiliated in this way.

I would definitely pursue this complaint all the way to the Ombudsmen level. Even if they do not give you the card eventually they have some explaining (and compensating) to do if you were really told the above.

Most likely you being the pensioner is not a real  reason but the phonecall you had is most likely (I would say even certainly) recorded and I would imagine is enough to have them.

Why is that not a valid reason? It’s not necessarily age related but I suppose a pension income is limited to someone working. 

Someone working potentially can earn more, a pensioner is retired and as most card applications go off income not savings & such if the card did default/get unpaid the chances of payment are much less at the moment?

Just playing devils advocate, they are being tight across the board Barclaycard I’d just go elsewhere. 

Oxy1

adamp87 said:

Oxy1 said:

cabbie37 said:

I I have been told that they will only offer a card to someone in employment.

Their pre-application check that does not include such a restriction.

Why is that not a valid reason? It’s not necessarily age related but I suppose a pension income is limited to someone working. 

Someone working potentially can earn more, a pensioner is retired and as most card applications go off income not savings & such if the card did default/get unpaid the chances of payment are much less at the moment?

Just playing devils advocate, they are being tight across the board Barclaycard I’d just go elsewhere. 

In my complaint, all the way to the Ombudsmen,  I would advance the following four points:

1. Barclaycard offers pre-application check which allows those who are less likely to be accepted to learn of this before applying and not to actually formally apply for the card (and not damage their credit file in the process).  The checklist does ask quite a lot of information but does not search the credit file.  In particular, the applicant specified that he is retired in the checklist and the checklist nevertheless indicated that he would be accepted.  While the checklist is not a full application and in particular they do no have data in the CR files when processing the checklist they do have a duty of care to diligently estimate the chance of the applicant being accepted based on information available to them at this stage.  Hence if their policy is to decline retired people they should stated that  the application will be declined at the check-list stage.

2. I they have so blanket ban on such a big and vulnerable and well defined subsection of the population they should state it clearly even before pre-application checklist so that vulnerable people do not waste their time and efforts on the checklist which is almost as long as the application.

3. When they receive application which includes information supplied by the applicant that clearly indicates it would not be successful (such as someone selects "Retired" when they have a blanket policy of declining pensioners)  they do not have legitimate interest in collecting further information about the applicants and should not search credit reference file.

4. Age discrimination. (In my view very unjustified and unreasonable as employed person can easily be without job within a month and most pensioners have guaranteed income that tends to grow above inflation every year.)

(Added later)

5. Disability discrimination (indirect).  With pensioners having much more stable and much more reliable income the only way such restrictions could make business sense if pensioners are more likely to be victims of fraud or be a problem when they go to hospital etc.  But discriminating against pensioners on this basis is in fact disability discrimination - discrimination against a group that are more likely to be disabled because of the problems to the bank their health problems could cause.

badmemory

I'm sure there is something else going on here.  A person who is on a retirement income is a much better bet than someone who can be incomeless within weeks if not less.

Oxy1

badmemory said:

I'm sure there is something else going on here.  A person who is on a retirement income is a much better bet than someone who can be incomeless within weeks if not less.

Yes, I would agree.  However this is what the applicant has been told so his best bet is to pursue them for it rather than try to get another reason out of them. Also there is anecdotal evidence (heard several stories myself)  of well off pensioners with good credit records being rejected by Barclaycard including those that relatively recently had Barclaycard with large credit limit and now want to return to Barclaycard Reward due to it being a very attractive card for paying / drawing cash when abroad.

While pensioners do have much more reliable and stable income perhaps as a subgroup they are more likely to be victims of fraud or there might be some problems when people go to hospital etc. And as they can't discriminate on the basis of disability directly perhaps this is their way to discriminate indirectly against disabled. So to my 4 reasons above I would add fifth disability discrimination: Which I will now add to that post.