Credit Card Companies get firm

28/03/2007

According to recent industry information credit card companies are becoming for stringent when it comes to accepting credit card applications. Figures show that around 2.8 million credit card applicants have their application refused. credit card rejections happen daily and figures from MoneyExpert.com estimate that this is near to 15,555 per day.

The major factor for the credit card application policing is as a result of the increase in the numbers of bad debt in the UK. This has impacted the profits majority of banks and various other financial institutions.

The statistics show a 6 per cent rejection rate within the UK for credit card applications.

Sean Gardner, Chief Executive of MoneyExpert,com commented “Credit card companies have been badly burnt with bad debts and are putting the shutters up in response by turning down more and more applications. Anyone with debt problems who is hoping for an easy way out by taking out another credit card is liable to find that they’ll be turned down”. “The concern however must be that some people who genuinely need access to credit are being excluded in the general clampdown.” He further added.