Refused Credit Card Application

[888sally888]

I have (as far as I know) an unblemished credit history but was refused a credit card from Virgin - has anyone else experinced this?

Am baffled!!

[Wee Kaz]

I haven't been refused for a credit card before but was refused for a catalogue and I'd never had any debt before. The main problem is that you have an unblemished credit history believe it or not. Whether or not you are accepted for a credit card is all based on your credit score and the more debt you are in (within reason) the better!

Have a look at this as it should make things a bit clearer

http://www.moneynet.co.uk/credit-card-guide/cr edit-card-g-check.shtml

[888sally888]

Thanks for that - scary that I could be refused for being 'too good'!! Seems crazy.

Have written to one of the companies you suggested and asked for a report - will be interested to see what they have to say.

[vehelpfulguy]

Sometimes you can be turned down for credit if your ADDRESS has a bad credit rating.

If someone who lived in your house previously had a bad credit rating this could affect YOUR chances of getting credit.

[Mrs_Pegasus]

You really need to write to all the credit report companies because different lenders use different companies and you will not get a full picture.

There is no such thing as a credit rating as such, each lender will have its own system for 'scoring you'.

Are you registered for voting, this is normally the first port of call and can get an instant refusal if you are not showing on your local register. Also do you have utility bills in your name not including a mobile. Again this is sometimes something some companies like you to have.

A bad credit rating on an address is a myth. The problem comes when someone who was there previously has not shown to have moved from the house i.e. not changing address, and they are automatically left on your record. What you need to do is 'disassociate' yourself with this person, which is easier enough by contacting the credit history companies, that is why its important to get all reports for you in case they dont show up on one but are still showing on another.

[888sally888]

Thanks for all the help and advice - I own my house, an on the electoral register, have bills in my name, no debts, no loans - so really seems strange.

Am really interested to see what the reply to my letter to the credit company will reveal - will keep you all posted!!

[spicebiscuit]

When you say "no debts, no loans", do you mean you have no current debts or you have no history of debts?

It might sound counter intuitive at first, but if you have never had any debts, then this scores really badly against you. Think of it from the lenders point of view: They have no idea whether you are any good at paying back loans or not!

Also, Mrs_Pegasus is right "each lender will have its own system for 'scoring you' ". You'll get a higher set of points for stability of job, home and earnings. Being in your home / job for 3 years or more could earn you several points, but no points for 2y11mo! You might earn several points for making �20k pa but none for �19k. The figures are for illustration only and are in reality dependent on the lender. This just gives you an idea, I hope.

[c00ky83]

I too have an unblemished history, as I found out from Equifax after two loan rejections. Due to a complicated working contract, I had to give my employment as 1 month which probably looks bad. Also my former flatmate is terrible with money so I reckon that will show up on some systems.

[888sally888]

I did have a mortgage for 20 years! I have had credit cards for years too and never been in arears so the plot thickens!!