CREDIT CARD REFUSED

[swardy73]

Hi there,

Just a quick question i'm hoping the experts can answer. A work colleague of mine has a joint mortgage with her partner who is in an IVA (about a year into it). She has never been in debt or owed any money but has just applied for a new credit card in her own name (she only has her own bank account, not joint). She has had a letter back today refusing her the credit card and the reason was :-
'When we processed your application, we asked the Credit Reference agencies about you and about people you have a financial link with - for example, people who you share a joint bank account with, or who you have jointly applied for a type of credit with, e.g. a mortgage or loan. The information that they gave us was considered in our decision'.
She is furious about this and had no idea her partner's past financial problems would affect her own ability to borrow. Can anyone please just confirm the reason for her being declined the credit card is likely to be the joint mortgage fact and is there anything she can do?
Thnaks a lot.

[Storm]

The financial association can be created by either a joint bank account / mortgage / HP agreement or if an application has been made in joint names (even if credit hasn't been granted)

Once the assocation is created you need to be able to demonstrate that all financial affairs are completely seperate to get it removed.

As with everything else stays on your file for 6 years.

[fudge34]

Hi
I really sympathise with the woman in question - she shouldn't have had to have her own credit record tainted - I think and you need to check this that you can write to experian etc to ask for a dissociation basically meaning that although you live at the same address as the debtor you are not liable for being tainted with their debts - as far I knew even if you had a joint account with someone that was filing for bankruptcy the bad credit as it were would only affect the person who was filing for an IVA or BR and the other person would be left alone!

[swardy73]

Hi Storm & Fudge,

Many thanks to you both for your quick and helpful replies. Much appreciated.

[Storm]

If your colleague gets a copy of there credit report the association type and details are on there.

Without giving too much away...... lenders don't like associations where they have had bad debt.

Eg: if the partner had bad debt with Barclays - don't apply for a CC with any brand associated with Barclays.