Bank Account..

[robsut]

Co-Op only allow 2 current account and i presume smile will be the same, if you have 3 or more credit checks done in a short space of time they all get refused

Originally Posted by hdavey10

Hi all,

I applied for a couple of bank accounts 1 with smile , 1 with co op where I currently hold 2 banks and CC with and they have come back declined?!

How can they decline if I already bank with co op they said based on my credit score.

I'm 21 years old I have had a contract phone for 9 years and never missed a payment also have a £15000 car which was on finance !!

How can I be being declined for bank accounts?!

Something strange going on surely?

Thanks

[Callidus]

Is that 3 or more credit checks right across the board?

Also personally how long would you wait before going for a BASIC account that is just an ID check?

[Callidus]

OK update:

Went into Natwest today and already had forms for a BANK ACCOUNT that I forgot to sign and send back so that was opened fine only a basic account.

Went into HSBC who I hold my main account with all DD's setup on.

I wanted to speak to someone 'senior' who knew what they were doing, anyway I did, mentioned about rejections from banks and the first thing she said was have you done any car insurance quotes recently as it usually causes a problem when going to setup bank accounts very soon after, I have as I only just renewed the ins. paid in full for the year but the amount of quotes you do DOES affect your credit score the more you do.

Some info for members if it wasnt already a KNOWN FACT.

[NoneOther]

Sorry but it DOES NOT effect your CREDIT SCORE.

ONLY COMPLETED APPLICATIONS FOR CREDIT EFFECT YOUR CREDIT SCORE

Your credit score is a very specific measure of your track record of repaying debt.

Therefore if you did not take out a credit agreement e.g paying your car insurance by instalments then it won't have any effect what so ever on your credit score.

Repeated generic searches in conjunction with CREDIT searches on your file will have an adverse effect on how banks or lenders view subsequent application. If you are making them on a regular basis then they are very sceptical and will refuse your application based on that alone without even referring to your actual credit score.

If you have a strong CREDIT SCORE which proves your ability to properly service your debts and have a level of income sufficient to satisfy a lender then the amount of searches on your file, generic or otherwise, are irrelevant and you will be approved

THAT IS FACT

[NoneOther]

Fron Credit Expert's website:

Don't leave credit application footprints

When you are researching new credit deals, make sure that lenders understand you only want information. Every credit application results in a search of your credit report, which leaves a record. If a lender needs to search your credit report before giving you a quote, make sure they do a quotation search which will not be seen by other lenders. If other lenders see lots of these, they may think you are desperate for money or that a fraud is being planned.

Link to Experian's website

Will insurance quotations hurt my credit rating? - Experian UK


Will insurance quotations hurt my credit rating?


Dear James,

On my credit report there are a number of entries from companies such as AA, Churchill, Royal & Sun Alliance, Direct Line etc. Some show as "Insurance Quotation", or "ID: Generic Check" or "Unrecorded Enquiry". Please can you confirm whether these searches are visible to companies from whom I may borrow money? As I can only assume they are from an insurance quote I ran through someone like Confused.Com but I have NOT taken up insurance with them. I'm really worried this will affect my credit rating. Kind regards.


Kathryn, Liverpool

Dear Kathryn,
I understand your concerns, but you’ve no need to worry. All routine checks of your credit report are logged so you can see and check them. Each search footprint will show the name of the organisation that carried out the search, the reason for the check and when it took place. There are a wide variety of reasons for checks to take place and your question includes a fair few. Importantly, though, only checks made to support your actual credit applications leave the type of search footprint that can affect credit scoring. As a result, checks registered as ‘insurance quotation’, ‘ID check’ or unrecorded enquiry’ will have no impact on your credit rating at all. You can read more about previous search footprints in our fact sheet.

Straight from the horses mouth