Getting the best credit-card deal is not easy. Britain’s lenders are still feeling the effects of the credit crunch, and are continuing to turn down a much larger proportion of potential customers than before the crisis started in 2007.
And to make matters worse, borrowers who make a lot of applications can end up damaging their credit scores – and reducing their chances of getting a card further still.
That’s why here at Confused.com we’ve come up with a great new Card Matcher Tool to help our users work out their chances of being accepted for any particular card. Armed with this information, you can target your applications at those lenders most likely to offer you a deal, and avoid harming their credit profiles.
It’s the first service of its kind that can tell whether you stand a chance of getting the specific card you’re interested in.
What’s the problem?
The present system for credit applications in the UK works against consumers. To find out what loan or credit card rate you would be eligible for from a particular lender, potential borrowers normally have to make a full application.
This is recorded on your credit record – creating a “footprint” – even if you are turned down or don’t want to accept the lender’s offer.
When subsequent providers are approached, they will be able to see that one or more applications have already been made by this customer. This could suggest you are a poor credit risk and may lead to higher rates being charged, or you being turned down altogether.
Campaigners and MPs have long criticised the way the application process works, but there are as yet no rules to stop banks putting details of failed applications on credit files.
What’s Confused.com’s solution?
The Card Matcher Tool we now have at Confused.com allows you to find out whether you’re likely to be accepted for the card you want before you apply.
All we need is some personal details so we can check your credit record (without leaving a footprint, of course!). We can then give you the likelihood, in the form of a score out of 10, of being accepted for any of the cards that most suit you. Simply select the card you are interested in, click on the ‘Am I likely to be accepted’ tab and we’ll guide you through the rest.
Chris Griffiths, head of credit cards at Confused.com, says: “With such a wide range of credit cards available on the market, it can be understandably difficult to pick the right card without any help. Our new Card Checker tool allows customers to see how likely they are to be accepted before they commit to making a full application, which if declined could have a detrimental effect on applications in the future.
“By using our tool customers can get an idea on the right products for them, without risking damaging their credit profile. Where customers find they are unlikely to be accepted for their first choice the tool will display more suitable alternatives.”
And don’t forget: as well as the Card Checker we’ve also got a different tool to help with your credit card needs. If you’re not sure what type of credit card you need, our Card Matcher tool can help you find exactly the right card to suit you. Whether you’re looking for a cheap balance-transfer deal, or a low-interest card to help cope with this year’s Christmas spending, our Card Matcher tool can take the work out of choosing a credit card.