What can I do? (think I was irresponsibly approved a credit card)

missmisskittyPURR

So I applied for a credit card in 2021, I was employed for 2 months at the time (and job before that was employed 3 weeks left to go to that job, and before that I was unemployed for 6 months and all jobs before were temps) and I was approved and the next month after I was fired, so naturally I used the card to stay on top of finances and I have been stuck in this rut since.

Years later now, trying to sort out of my finances, I realised I probably shouldn't have been approved for a credit card since I didn't have a stable income at the time, having only worked there was 2 months. So I complained saying I would like a payment plan, or a reducation in interest etc and they sent their response back saying they are satisfied thorough, reasonable and proportinate checks were carried out and nothing to suggest irresponsible lending since I have a full time now at the time and my credit was fine.

Checked their website they said reasons to be declined 'you haven't held your current job for long enough' I don't believe 2 months is long enough at all.

They basically said at the end of their email to go to financial ombudsman if I want to fight it.

Do I have a chance? What can I do?

CliveOfIndia

It's a tricky one.

You obviously fulfilled their lending criteria at the time you applied.  And every time I've applied for a card, there's a bit on the form that asks if you expect your income to reduce in the next few months.  Presumably you said "No", and that was probably perfectly reasonable, you weren't expecting to get fired.

All lenders will have different acceptance criteria, you presumably fulfilled their criteria at the time.

missmisskittyPURR said:

I was fired, so naturally I used the card to stay on top of finances 

Without wishing to sound harsh, it's hardly the lender's fault if you went out and spent on the card whilst knowing full well you couldn't afford it.

By all means you could try a complaint - but you need to be prepared to give some concrete evidence as to why you believe the lending was unaffordable, given the circumstances at the time you applied.

Exodi

I think given that you can get a mortgage with only a couple months payslips, I think it's unreasonable to suggest they should have declined you because you'd 'only' been working somewhere for 2 months before you were fired. In fact, I got my most recent mortgage after having only worked for two months at my current employer!

To stretch the point, you can be dismissed without much effort within your first two years of employment, and I don't think anyone would suggest people shouldn't be entitled to credit before that.

Unfortunately I think you're blaming the lender for the issues caused by being fired. What would you have done if they had declined you? At the time, I'd imagine the money was very useful.

Isthisforreal99

You don't need a irresponsible lending complaint to get a payment arrangement but it will result in no more card use and a trashed credit file.

Hoenir

missmisskittyPURR said:

saying they are satisfied thorough, reasonable and proportinate checks were carried out and nothing to suggest irresponsible lending since I have a full time now at the time and my credit was fine.

So you are perfectly capable of now repaying the money you borrowed to tide you through a period with no income. 

swingaloo

You have to have some personal responsibility here. Why spend the money when you know you wont be able to pay it back?

Altior

I don't know how the lender could be expected to have foreseen your imminent firing, if you didn't.

The counter is that if lines of credit were denied to people who had a chequered past employment history, but were gainfully employed in a permanent role when applying for credit, plenty of people would be moaning about that, too. 

fatbelly

missmisskittyPURR said:

So I applied for a credit card in 2021, I was employed for 2 months at the time (and job before that was employed 3 weeks left to go to that job, and before that I was unemployed for 6 months and all jobs before were temps) and I was approved and the next month after I was fired, so naturally I used the card to stay on top of finances and I have been stuck in this rut since.

Years later now, trying to sort out of my finances, I realised I probably shouldn't have been approved for a credit card since I didn't have a stable income at the time, having only worked there was 2 months. So I complained saying I would like a payment plan, or a reducation in interest etc and they sent their response back saying they are satisfied thorough, reasonable and proportinate checks were carried out and nothing to suggest irresponsible lending since I have a full time now at the time and my credit was fine.

Checked their website they said reasons to be declined 'you haven't held your current job for long enough' I don't believe 2 months is long enough at all.

They basically said at the end of their email to go to financial ombudsman if I want to fight it.

Do I have a chance? What can I do?

It is quite normal for a lender to reject an affordable lending complaint.

You now need to escalate it to FOS. There is no cost, no downside to this.

The process is set out here

https://debtcamel.co.uk/refunds-catalogue-credit-card/

SuperAllyB

Surely you could have complained at the time before you spent the money?

missmisskittyPURR

Hoenir said:

missmisskittyPURR said:

saying they are satisfied thorough, reasonable and proportinate checks were carried out and nothing to suggest irresponsible lending since I have a full time now at the time and my credit was fine.

So you are perfectly capable of now repaying the money you borrowed to tide you through a period with no income. 

not sure what you mean? how am i capable of now repaying? ive been on universal credit since

missmisskittyPURR

Altior said:

I don't know how the lender could be expected to have foreseen your imminent firing, if you didn't.

The counter is that if lines of credit were denied to people who had a chequered past employment history, but were gainfully employed in a permanent role when applying for credit, plenty of people would be moaning about that, too. 

i dont think anywhere i complained about they should have known i would have been fired... i said i didnt have stable income at the time and on their website it literally says you can be denied for not being at a job long enough...