Should I wait before next application?
local_hero
Posts: 11 Forumite
Hello all, I've got approx 8k on a Barclaycard which I want to do a 0% balance transfer on. My limit has recently been upped to 13.9k. I applied to Santander (my main current account bank) after speaking to a man in a branch who was very positive about it, but I was turned down. I spoke to them again in branch and we thought it might have been an issue with some incorrectly inputted data (my address is a ground floor flat in a converted house with a shared entrance, but often websites will autocomplete just the house number). We noted this down and appealed the application. I have an experian credit score of 923, earn 49k and have low rent for London. I never miss payments on my card, although for a long time I was mainly paying off the minimum (I know, I've changed my ways now). Basically, there was no reason we could think of that I wouldn't be accepted, other than some error in application. But I was rejected again. Credit Club has me down as 90% likely to be accepted for Santander credit card. I'm now looking at the Virgin money credit card which offers 0% transfer with a small fee, which Credit Club has me down as 100% likelihood of being accepted. I'm concerned that if I apply now, the fact that I've had two rejected applications in the last week will cause me to be rejected again and I'll be entering into a downward spiral of rejection...
So, should I check anything else before applying (I'm double checking electoral register), or wait x amount of weeks? Any advice would be greatly appreciated. Thank you.
EDIT: I realised I haven't explicitly stated that I want to transfer the debt in order to pay it off sooner, not just to move it around. I'm trying to take control of, and clear, my debt in the fastest, most responsible way I can.
So, should I check anything else before applying (I'm double checking electoral register), or wait x amount of weeks? Any advice would be greatly appreciated. Thank you.
EDIT: I realised I haven't explicitly stated that I want to transfer the debt in order to pay it off sooner, not just to move it around. I'm trying to take control of, and clear, my debt in the fastest, most responsible way I can.
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Check for data accuracy in your credit reports (from all three CRAs).local_hero wrote: »...should I check anything else before applying (I'm double checking electoral register), or wait x amount of weeks?...
Ignore your credit scores as lenders do not use it and do not see it.I work within the voluntary sector, supporting vulnerable people to rebuild their lives.
I love my job
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Santander may have only carried out one search. The second decline could simply have been a 'policy rule', especially so close after the first.
As to having two "rejections" (or even one "rejection") on your credit files, you haven't. You've simply had two credit "searches" recorded recently.
Do you have any other debts elsewhere? Cards, loans, etc? Any dodgy financial associates?
If you're in the 'Credit Club' then surely you already know from your credit report whether Experian has you down on the ER at your current address? So all you really need to do is check the other two agencies (for free).0 -
local_hero wrote: »So, should I check anything else before applying (I'm double checking electoral register), or wait x amount of weeks? Any advice would be greatly appreciated. Thank you.
I suggest you apply for Sainsbury's bank balance transfer credit card. Interest-free for up to 22 months, no fee. No need to wait. Don't worry about rejection from Santander, I believe you are in a good company here.
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YorkshireBoy wrote: »Santander may have only carried out one search. The second decline could simply have been a 'policy rule', especially so close after the first.
As to having two "rejections" (or even one "rejection") on your credit files, you haven't. You've simply had two credit "searches" recorded recently.
Do you have any other debts elsewhere? Cards, loans, etc? Any dodgy financial associates?
If you're in the 'Credit Club' then surely you already know from your credit report whether Experian has you down on the ER at your current address? So all you really need to do is check the other two agencies (for free).
I have approx 2k overdraft in a Natwest account which I plan to tackle after I've transferred my CC debt. Again, I never miss payments on this and it has been going down considerably in recent months. I don't have any loans or dodgy associates.
Experian does have me down as my current address on the ER. Looking through the credit report it looks like my Natwest account isn't on there, is that something I should aim to fix?
And it does say under search history that Santander has only searched once, so it looks like you're right about them not searching again (or maybe it hasn't updated yet, I guess).0 -
local_hero wrote: »
Experian does have me down as my current address on the ER. Looking through the credit report it looks like my Natwest account isn't on there, is that something I should aim to fix?
Only if it needs fixing. Do you believe Natwest should be reporting to Experian?
Or just one or more of the others?0 -
Deleted_User wrote: »Only if it needs fixing. Do you believe Natwest should be reporting to Experian?
Or just one or more of the others?
Oh I don't know. I just presumed all three agencies would/should have all my accounts in their records.0 -
No they do not. To see all data available, you need to see data from all three CRAs. Each CRA will normally hold slightly different data.I work within the voluntary sector, supporting vulnerable people to rebuild their lives.
I love my job0 -
Instead of moving the debt about and possibly go in into more debt if you secure a higher credit limit, why not just see this as a good opportunity to pay off the debt? Work out how much free money you have and pay it off.0
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Presumably there is a reason why you have been rejected by two separate agencies so I think I would check on the credit agencies to see if anything is showing. Having said that £8k of unsecured credit card debt is not insignificant so I would be looking to pay that off rather than keep moving it. So in your circumstances I would spend the next 3 to 6 months paying it off or at least reducing it then apply for a 0% deal to see if you can get one then.I’m a Forum Ambassador and I support the Forum Team on the Debt free Wannabe, Budgeting and Banking and Savings and Investment boards. If you need any help on these boards, do let me know. Please note that Ambassadors are not moderators. Any posts you spot in breach of the Forum Rules should be reported via the report button, or by emailing forumteam@moneysavingexpert.com. All views are my own and not the official line of MoneySavingExpert.0
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Fireflyaway wrote: »Instead of moving the debt about and possibly go in into more debt if you secure a higher credit limit, why not just see this as a good opportunity to pay off the debt? Work out how much free money you have and pay it off.
Not sure how your idea works. I already have a higher credit limit. The reason to move the debt is to pay it off sooner. Currently I'm paying £300 a month into my Barclaycard but around £180 of that is just paying interest. By transferring the balance to a 0% interest card I'd actually be paying off £300 a month and could clear the debt in around 27 months (which incidentally is the 0% period offered by Santander)0
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