Refused Credit Cards

Rejection rates for credit card applications are running at 18,000 a day, says
one report - but the truth about credit is more complicated than headlines suggest.

Credit of any sort - from bank loans to mortgages and credit cards - has never
been freely given by lenders. You have to prove you are in control of your
finances. If you do, your chances of getting a loan when you need one will be
greatly increased.

It's always been the case that lenders are choosy. Back in 2006 one survey
showed some 3.5 million credit applications had been refused, with a similar
number rebuffed last year, according to another. And an analyst's study last
year found that up to 60% of applicants for any form of credit have been refused.

If you are among those who have been refused credit recently or if you are
thinking of applying for credit soon don't panic - take action instead.

A good place to start is your credit report, which lists what you've borrowed and
how well you're managing your repayments. It gives you a snapshot of your
current status, what credit you've had in the last few years and how you have
managed it. Your credit report can also help you to see where you could cut
back and whether you could close some accounts altogether.
Lenders check it when they decide whether to make you an offer and what terms
to set - such as interest rates. It is crucial that it's up to date and accurately
reflects your circumstances. It pays to manage your money well because a
better credit history makes you more likely to get a better deal and avoid being
rejected.

To stop the credit crunch becoming a personal credit crisis, follow these two
vital steps;

1. Actively manage your money
Don't miss any payments. Pay your bills on time and make repayments on cards
loans and your mortgage on time - you'll only rack up worse debts, incur penalties
and damage your credit rating otherwise.

2. Check your credit report regularly
It will change as your circumstances change, so you can see how well you're doing
and it can act as a wake-up call if you've let things drift. Make sure that every entry
is correct - a single clerical error could result in a rejection in the current financial
climate.

There is no credit check with a prepaid mastercard, all applications are accepted
and will be processed successfully if you provide us with a copy of your ID, the
£9.95 feeand a utility bill (not mobile phone)

Apply here