Credit refused?

  • Given the reason?

No reason given

  • Ask the lender.
    Under the Lending Code, which most banks, building societies and other financial services organisations subscribe to, lenders should give you the main reason/s why they have declined your application.

Main reason is...

Adverse data on credit report

  • Get report from a credit reference agency
  • Check for discrepancies (e.g. Past debt/s not shown as paid):
    • Yes: Raise
    • No: OK
  • Explain circumstances using Notice of Correction.
    A Notice of Correction is a short (200 words max) explanatory note you can add to an entry on your credit report to explain the background to that information. Anyone searching your report in the future or who has seen it in the previous six months will see the Notice of Correction, and they must take account of it when you apply for credit.
  • Wait for score to improve through time or use a matching service e.g. Experian CreditMatcher to source appropriate deal

Affordability problem

  • Review budget: income vs. spending

Struggling

Not seriously struggling

Fraud issue

  • Discuss with Lender/credit reference agency

Credit score too low

  • Check report from a credit reference agency
  • Discrepancies?

Credit reference agency discrepancies

  • Dispute & Resolve

No credit reference agency discrepancies

  • Check credit reference agency guide score

Great guide score

  • Go back to lender and appeal.
    Under the Data protection Act you have the right to challenge a decision reached purely on a score, by asking for the lender to review your application manually.
    This also gives you the opportunity to argue your case, if applicable, by providing additional supporting information such as proof of regular bill payment (not included in your credit report).

Not great guide score