Why was I declined for credit cards

Submitted by Anonymous (not verified) on Mon, 05/17/2010 - 05:11
Forums

Hi everybody, I just wanted to know as to why was I declined for credit cards that I had applied for.

I'm 23 years old and carrying 100K in student loan debt, but have never missed a payment or a due date. I got one of those free credit reports online that said I had 10 credit accounts, all in good standing, but I didn't get a number score. I did, however, use the my FICO estimator, and it placed my score somewhere in the 730-777 range.

I applied for two cards a few days ago and both were declined, for seemingly opposite reasons. The first was given as "no revolving account with a balance", but I can't see why not having an outstanding balance is a bad thing. The second was declined because my "ratio of balance to credit line is too high", which seems contradictory to the first reason which stated I had no balance.

Hi Robinson,

The first rejection may be due to inactivity. Your credit card account that has no balance over a long period of time can sometimes be perceived as negative. As for the second one, I think the balances on your cards are high as against available credit. Try to bring down those balances. Join a credit union. You may get a card from them.

Thanks,

Aaron

Mon, 05/17/2010 - 09:51 Permalink