I had my credit card denied. And now? Having a credit card at your disposal facilitates – and much – life. Mainly, the way of shopping. This is because the card allows the possibility of splitting and set the due date of the invoice on the best day for your pocket.
But not all customers requesting this product can get their order approved. And there’s the question: why was not it approved? The following are some factors used by banks when not approving the issue of a credit card.
Lack of documents or incorrect data
Had the credit card been denied even with the clean name? (If you are negative you can apply for a loan!) The error may have been yours. When making the request of the card, it is fundamental that all the data informed are correct, especially those involving income.
When the data is sent, the bank will perform a thorough check, and if it finds any divergent information, it can automatically cancel the request. Therefore, it is important that when you make the request, the customer attaches proof of income or other documents, sending all requested copies, since the bank can choose not to approve the request simply because the documentation is incomplete.
Clean name but with debtor history
Now, if the person is no longer the dirty name in the SPC or Serasa because he was able to pay off all his debts and decided to ask for a credit card to do his shopping, will he? In these cases, the chance that the bank will release a credit card still remains small. This is because the person’s debt history – even if it is in the past – does not inspire confidence for the financial institution.
Being a bad payer has a direct influence on the bank’s decision to deny or approve a card. In addition, in cases of debts that have expired (their name is not in Serasa or SPC), there is still the financial history of a client who did not make the payments.
However, if the person is a banker of the bank that is requesting the credit card, this can help in the process. In this case, the bank already knows the profile of bank move and the responsibility with the payments of the person. Here it is recommended that the client request the credit card with the low limit and, after some time, request the increase in the limit, always according to their current income. The important thing is to have patience and not to commit crazy things.
The reported income is less than the minimum required
When you apply for a credit card over the internet, you must complete all the information required for product release. Especially in relation to the value of the minimum monthly income requested. The amount required for national and international credit cards are not the same. This is because the product is thought for different types of customer profiles.
Generally for national credit cards (those that you can only use within Brazil) the minimum income required is lower. In many cases, proof of income equal to or greater than a minimum wage is required.
In the cases of international credit cards (which can be used in all countries), the minimum income required is higher because the rates of this product are also higher.
When the customer profile risk is considered high
When applying for a credit card, the bank performs the Score. It is an analysis of the applicant’s financial history and profile. This process can take up to 30 days and after this procedure, the bank decides whether or not to issue the credit card to the customer. The criterion is exclusive to the issuing bank.
The evaluation analyzes:
- marital status
- Employment and monthly income
- Debt history: if you have any outstanding accounts or paid debts
- If you have or already had the dirty name
- Document review: it is searched if you have ever been a victim of fraud or if you have already had cloned or stolen documents
- Credit history and accounts: Do you regularly pay your monthly payments? Are there any other outstanding loans or funding? All this is verified by the bank when making its evaluation
When the customer has a low risk profile (honors all payments) the bank approves the credit card without thinking twice. But when the applicant has a history of debts (even if they are paid at the time), the bank assumes that the person has a very high risk, and tends to deny the card application or provide a low credit limit.
Another important point is the style of customers the bank has an interest in attracting. For example, even if the customer is a good payer, without ever having a dirty name but having a lower income, the issuing bank may not release the request as they are looking for customers with a different profile.
A good suggestion for those who had the denied credit even with the clean name is to perform a positive registration. It allows banks to access their basic accounts and thus monitor their spending habits. The positive register helps to improve the score of your Score. It can be done online at the website of specialist credit assessment companies.
Have an economic profile
Do not despair and remember: a good economic profile takes time to build. Avoid buying things on impulse. And never assume very high plots to not end the risk of entering the red.
Even if it takes a little longer, good payers are always rewarded. In any case, if your credit card was denied by a bank, you can try to make a new request with another bank. The approval criteria are not always the same and you may be luckier on the second try.