Credit Card Application Process

There's nothing to beat the financial flexibilty you get with a credit card. But as a responsible lender, we need to check that you can afford the credit you are taking on and that the credit limit we give you is a sensible one. This sounds intimidating, but it is designed to protect you as well as us – you don't want to get into a situation you can't cope with.

So before we accept your application, we run through a process used by most major banks, credit cards and finance companies: Credit Scoring. This means that we use information from your application form, credit reference agencies and (if you're already a Barclays customer) your bank account to establish a full picture of your borrowing commitments.

What are credit reference agencies?

They are licensed through the Office of Fair Trading under the Consumer Credit Act 1974 to provide factual information to financial institutions like us. They will not give an opinion on your financial status.

We use this information to help us decide whether you can manage the suggested credit limit and to check basic details such as your address. These checks also help prevent credit card fraud.

Because we believe so strongly in responsible lending, we share information through credit reference agencies- Experian, Equifax and Callcredit. You can find out more about your credit record in the APACS guide†.

What will my APR (Annual Percentage Rate) be?

We operate a system known as Risk Based Pricing. Through the Credit Scoring process, we set you a risk profile. This profile will determine what APR you pay.

How much will you lend me?

As a responsible lender, we need to be sure our customers can manage their credit before we offer large amounts. So the less we know about you from your application form and credit reference file, the less you'll be able to borrow in the first instance. Once you've built up a solid credit history with us – a minimum of six months – we will consider increasing your limit.

You've turned me down! What can I do next?

If we cannot accept your application, we will always tell you why. The main reasons usually include one or more of the following:

• You may not have passed our credit score
• One or more of the credit reference agencies may have had information about you that has influenced our decision
• We may have specific conditions that you haven't met. For example, we will not lend to you if, in our view, your level of income suggests you may have difficulty in paying us back.

We appreciate that circumstances can change. If you feel better able to manage credit a few months or even years down the line, you may ask us to reconsider. In this case, we will generally ask you to provide us with extra information.

Is there anything I can do to improve my chances next time?

Yes, almost definitely. Click here for some useful tips on how to improve your credit file information†.

†Software Requirements
To view PDF files you will need Adobe Acrobat Reader TM, which is available from www.adobe.com.
Adobe, Acrobat and Acrobat reader are trademarks of Adobe Systems Incorporated.