Refused credit – let us help you

If you have been turned down for credit and have also had your personal information compromised in the past (sometimes referred to as a data breach), it is natural to be concerned that your data may have been accessed by fraudsters. Ask the lender to tell you the main reason why your application was declined. Following that, take a look at your latest credit report to see if there is any activity which you don’t recognise. You can do this by logging on to your Equifax Protect service.

Why were you refused credit?

You may be wondering why you were refused and what you can do about it – we’ve included some tips and information below.

1. A lender’s specific requirements. Lenders make the decisions, not credit reference agencies like Equifax. Every lender or credit provider has a different set of requirements and criteria – there’s no universal ‘pass mark’ for credit scoring, so you should ask the lender why you were refused.
   
   
2. Bad credit history. If you’ve missed payments or frequently exceeded your credit limit, your credit score might have been affected. Read more about how to help improve a poor credit history.
   
   
3. No credit history. If you haven’t taken out credit before, or you haven't used a credit account for some time, lenders may not have enough information about whether you're likely to meet all your repayments. View our section about establishing a credit history.
   
   
4. Your employment history. Your recent employment and salary information can be a good indicator of stability, which is an important consideration for lenders – but this isn’t recorded on your credit report (see point 6).
   
   
5. Credit scoring. Every decision is based on a number of factors. Read more about how credit scoring works.
   
   
6. What isn’t on your credit report? It’s equally worth knowing what information is not included as you may be thinking these are affecting your credit applications. Your credit score isn’t influenced by missed child support payments, parking fines or the levels of interest you are paying on existing borrowing – your credit report doesn’t record these.
   
   

Using Equifax Protect to review your Equifax Credit Report and Score can help you understand how lenders may view your creditworthiness. It shows the aspects that affect your credit score by highlighting key positive and negative areas within your credit report – so you can work to improve your report and get it in the best possible shape for you