Why do I keep getting refused a credit card?

greenview1

I currently have four credit cards and am most interested especially in cashback offers. My total credit limit on the cards is £12600. I have had these cards since I owned a property down south and become a tenant in the north. I have made twenty applications to different companies for a card such as Egg, Post Office, Mint, Sainsbury's, Halifax, Tesco and many others.
My credit rating is good, I have no debts whatsoever and the balance on my current cards has always been paid in full monthly. The only company to give me a card is Asda (which gives me cashback). Because of this I have redirected all my business to this organisation.
When I have made the applications to the different companies there is an instant refusal in a matter of seconds advising me that on this occasion I have not been succesful and that I should obtain a copy of my credit reference report. I already have this and it is perfect. Would I be correct in saying that I have been refused without them checking my credit record.
When I complete the aplications online there are two considerations that I think may have the adverse effect and that is that I am sixty years of age and retired and live in rented accomodation where the postcode may not be the best.I have an income from interest on savings that is quite substantial.
I would be interested to hear the views of why I am continually refused at this time. Thank you in advance!

lisyloo

Three possibilities spring to mind

1) Are you on the electoral role in your new property? Does this show on your report? (could take a month or so to get updated). Note that there are 3 agencies and you should get a report from each for the full picture.

2) It's possible you have too much available credit compared with income.
Could you consider closing down some of the cards you aren't using?

3) It's possibly that lots of recent searches are causing a problem. There is no record of acceptance/refusal but if someone has loads in a short space of time then refusal may be inferred (or desperation).

I would advise, making sure you are on the electoral role and it's showing on the report. Closing cards you definitely won't be using and waiting for recent searches to disappear (or at least be a bit older).
Oh and check all three reports.
You can get call credit for free at
www.annualcreditreport.co.uk

I also have to say though that age, income, postcode and the fact that you are a renter could be factors that mean you don't fit the target profile of some companies. Sorry if that's not the best news for you, but just try to work on the things under your control.

Treadmill

I'd stop trying for a while, lots of searches on your file is going to damage your credit rating.

NickX

I have a feeling that you are not registered on the electoral roll for the address that you are using on the application - this is crucial for obtaining credit, and would lead to immediate rejection in most cases.

GeorgeUK

I agree with all the above.

Having too much credit available can affect whether you will be given more credit. I take it the amount of credit you have is more than your annual income.

You can usually have about 3 seraches within a 6 month period before your credit score is affected. Anything older than 6 months has very little impact, but definately agree - no more applications for a while.

Just make sure that your name and address details match to what is on the credit report. This sometimes causes problems.

greenview1

I thank you for your replies. I can confirm that I am on the electoral register both at my old and new address. Would you agree that the companies that are refusing me are missing out on potential business because of the criteria that they have set? Thank you again for your views and well done Asda whom have gained all aspects of my business for a flexible criteria.

lisyloo

Would you agree that the companies that are refusing me are missing out on potential business because of the criteria that they have set?

It's certainly possible but there's a lot of significant information we don't know.
Private companies are at liberty to set their own criteria and they may be unfair but there is not a lot the rest of us can do about it.
The analogy I would draw is that if I held a private party then I can invite who I like. No-one has a right to attend and if I want to exclude some people for whatever reason then that's my business. I may lose a few friends but they have no right to attend as it's private.

I'm not trying to be harsh but the reality is that we live in a capitalist society where (in this respect) companies can do as they please.
Credit from private companies is not an automatic right although I sympathise and understand that you must feel frustrated.
In your position I would try to keep one or two existing lines of credit open, just in case you can't get credit in future.
Applies to all of us really as any of us can suffer a sudden change in circumstances (like sickness or job loss).

speedbird1973

Too many searches is a problem,

being on the Electoral Role twice is a bigger one. You can't vote twice in two different constituancies... technically it's illegal. I guess CC companies will see this as a potential ID theft.. needless to say, you should be on the role where you live.

greenview1

I worded the electoral status poorly. I am only on the register for where I live.