Declined

coyotesalary

Hi all,

Hopefully someone can shed some light and/or point me in the right direction. The short version is that my partner and I are starting to consider buying a property. I spoke to a mortgage broker who advised that I apply for a credit card (my credit score is good, everything is clean, etc., but I've no credit utilisation).

After looking around, I decided that a Barclaycard Rewards card seemed like a good fit and, according to the eligibility checker on the Barclaycard site, I'd likely be approved, so I applied…and got declined.

When I called them a few days later to ask why I had been declined, they couldn't tell me and suggested i speak to the CRAs. It turns out the application was only reported to Equifax who said I should speak to Barclaycard and request that the application is reviewed. I called Barclaycard again, explained all of this and they raised an appeal on my behalf, saying I'd hear back in a couple of days.

A week later, and no word, so I called again, only to be told that the appeal had upheld the decline but still, no one is able to tell me the reason for the decline.

Based on everything I can see on Checkmyfile, and Equifax, as well as knowing what my financial situation is like from an affordability point of view, I can't see any reason for the decline. I'm not particularly bothered about not being granted the card, but the fact that they've declined the application and upheld it after appeal but are unwilling or unable to provide any reason for it does bug me.

I'm waiting for the letter to confirm the appeal unsuccessful and am planning to then raise a complaint via the ombudsman but I was wondering if anyone had any other advice or had had a similar experience.

lr1277

It is not entirely clear from your post as to whether this is your first credit card or not.

If it is your first credit card, does the bank you have your current account with offer a credit card? If so apply there first as they will have a good idea of your income and spending patterns so might be more likely to approve an application.

If you choose to apply with your bank, most website for a card have an eligibility checker for that card. Try that first. It doesn't lead to a hard credit search and gives an indication as to whether you will be accepted or not. If you use an eligibility checker on a 3rd party site, for example the MSE credit card page, that may not be so accurate.

Even if applying for your own bank's credit card, try the bank's eligibility checker first.

Vitor

If you login to Equifax there's a menu option to try which CC providers will give you a card, without leaving a hard search on your file. I ended up going with Zable as my credit record has some hiccups.

Ayr_Rage

Barclaycard or any other CC provider will never give you the reason for being declined.

It is all set by their own algorithms, which will vary by company.

If there is nothing obvious noted on your file at any of the CRAs just move on.

My guess is that as you have little credit history they don't want you as a customer.

Isthisforreal99

The Ombudsman won't intervene here so don't waste their (and your) time.

Nobody has to lend to you nor give you a specific reason why.

sammyjammy

If you don't have any current credit or a history of on your credit record then you'll probably need to start with something a bit more basic like Aqua or Vanquis, Use it and pay it off in full every month.

Brie

Check in case there's something either negative on your credit history (CCJ, failed payments, lots of address changes, monthly paid motor insurance) or you're missing something positive (solid history of making payments on a few credit agreements, on the electoral register).

As others have said go for one of the cards that has a high APR in order to get the card. Set it up to pay in full every month and use it every month for at least 1 purchase - maybe some petrol or buy your groceries. Build that credit history!!

Look at what other credit agreements you have - mobile contract, broadband, catalogues etc. A few are good but too many for your stated income will be a red flag to a potential creditor.

Barclaycard got very strict a few years back trying to improve their own balance sheet and are only going for new customers that have an excellent credit history at the same time they reduced old customers credit limits drastically (mine went from about £18k to £1400). If you have little history of credit of any sort it was very unlikely they would want you on their books.

GeoffTF

I have seen other people report that Barclays are fussy about handing out Rewards cards. You may not have any trouble getting a standard card from another provider.