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Original poster

been denied credit due to annual income. but I am stay at home mum!

19 replies

cheapandchic · 03/12/2012 15:52

All the credit application asks is how much is your income. I am not making money now, but I used to! Also I have never missed a single payment...so why dont they approve me. Why cant they take into account my husbands salary which I currently rely on.

Now it says I cannot re apply for three months! UGH. why is getting my finances in order so difficult. how do I ever get out of debt?

OP posts:

OldLadyKnowsNothing · 03/12/2012 15:56

Well, you don't get out of debt by taking on more, when you have no income.

PatriciaHolm · 03/12/2012 16:38

If the credit is for you, and you have no income in your name, then you won't get a loan! They can't look at money you used to earn!

Maybe you need some professional advice if you have a lot of debt already?

Mum2Fergus · 03/12/2012 16:51

You'll never get out of debt by taking on more OP. Your husbands salary cannot be taken into account as its not 'guaranteed income' as such. You cannot borrow based on someone elses income. Suggest you may need a chat with CAB to chat through issues you're having...they will be able to advise you.

Original poster

cheapandchic · 03/12/2012 19:04

I am not taking on more! I wanted to do a balance transfer to take advantage of the no interest period. I am just trying to pay down my existing debt. I have not put on new charges in the last nine months!

I did chat to CAB and I found them actually very unhelpful in regards to debt.

OP posts:

LynetteScavo · 03/12/2012 19:08

Your DH could apply for a card, then transfer your credit onto the new card in his name.

ChippingInLovesAutumn · 03/12/2012 19:13

There's no need to get arsey with people because you didn't make yourself clear.

Think about it rationally - would you lend money to someone who wasn't earning money?

Mum2Fergus · 03/12/2012 19:26

Can you negotiate a better rate with your existing provider? Theyll have first hand experience of your ability to pay. Find out if your bank is taking part in the Money for Life programme...a mentor would be trained to support people with money matters.

Rwep · 03/12/2012 19:29

CAB were unhelpful or didn't say what you wanted to hear?

Would you lend money to someone who didn't have the means to pay it back?

As your DH will be effectively paying your debts anyway, get a card in his name. It's not nice to realise that you're completely dependant on someone in that way, but them's the facts when you're a SAHM (like me)

TeamBacon · 03/12/2012 19:31

Do you have any other existing cards that don't have a balance on them at the moment? If so, give them a call and see if they can offer you a 0% rate if you do the transfer. Most will IME.

You can't expect to be given more credit when you have no income though.

bradyismyfavouritewiseman · 03/12/2012 19:35

you can't apply for debt in your name if you don't earn money.

If you were to split the debt would still be yours but your dh wouldn't be obliged to pay it. So they need to make sure you only borrow what YOU can pay back.

Back when me and dh had debt, our bank lent us money the probably wouldn't have usually. Because we were paying debt of with it. But the transferred the money to the credit card and car company directly.

This was 12 years ago though and banks were more free and easy with lending money.

ByTheWay1 · 03/12/2012 19:49

I am a SAHM - or was when I applied for a Tesco card - they wrote back saying that as I had no income I could not have a card (despite having a great credit rating and a hubby earning loads - and spending gazillions at Tesco over the years..)

I wrote back and told them I thought they were being very anti stay-home-mum in not considering me - I was only not working as I was supporting my family at home, that our family income was considered to be enough for a joint mortgage and an A1 credit rating so could they reconsider their position - they did.....

I find if you appeal eloquently you gain a lot - and you have nothing to lose....

paddedslippers · 04/12/2012 00:20

You should get your DH to apply for the credit card in his name, if you need to use it as a card you can always be added as a second cardholder (they don't run a credit check on the second cardholder so it will just be credit checked on his income).

Back when I was a sahm I could also used to transfer cc debts onto new 0% cards and had no problem getting credit even on no income of my own, but things have really tightened recently. Banks just aren't lending as freely as they were.

Don't apply for a new card again in your name, each credit search appears on your credit rating and if too many searches are made within a short period, it's a flag for fraudulant activity.

CogitOCrapNotMoreSprouts · 05/12/2012 11:52

Something seems wrong if you're in debt but your DH is earning good money and presumably has some savings? If you like to keep finances separate how about 'borrowing' the money off him and paying it back when you can? No interest, no transfer fee.

HappyMummyOfOne · 05/12/2012 18:35

If you chose not to work then of course people wont issue you with credit. Makes no financial sense at all to lend to somebody with no income.

If you have debts, then surely you had a conversation with your partner about what would happen to them when you quit work.

Viviennemary · 06/12/2012 11:00

As far as they are concerned you don't have an income therefore do not have the means to pay it back. This may be wrong but that's the way they work. Why doesn't your husband take out the loan since presumably he will be the one paying it back. But as somebody else suggests, you could appeal.

MissCellania · 06/12/2012 11:06

What is in that for them? You take a loan/credit, you have no income to pay it back. You say you just want to juggle money around to take advantage of no interest, there is no money in that for them. And how do they know you aren't going to run up lots of debt? They don't.

Of course you aren't going to be approved.

MoaningMingeWhimpersAgain · 06/12/2012 11:08

My bank has just given me a new credit card even though I am not working - they were happy to consider DH's wages as my income. I was very surprised TBH, but quite chuffed as it has a reward scheme so better than my other CC.

ShatnersBassoon · 06/12/2012 11:09

Applying when you have no income is a wishful thinking in the extreme. Why would they take someone who, on paper, has no means to pay them back?

financialwizard · 08/12/2012 22:48

Try speaking to Step Change (used to be CCCS). They will help if you are after advice on debt management.

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