Credit card applications rejected

17/10/2008

Over the last six months it has been reported that a total of around 3.37 million credit card applications were rejected.

Around half of all British people applied for some form of financial help throughout this time period according to research from MoneyExpert.com. As a result of financial organisations of getting stricter on their lending criteria, around thirteen per-cent of credit card applications were rejected. In addition to this, those consumers who were successful in getting credit card had to face much higher rates of interest and other charges.

Sean Gardener from MoneyExpert said, “The banking crisis means lenders are terrified to lend to almost anyone.”

He added, “They are battening down the hatches and focusing on getting as much money back as possible. In the current climate lenders are tightening up on already tightened rules for new applications. Banks want to recover their bad debts and they don’t want to create more of the same.”