What happens to my application?

Credit cards are really flexible and a great way to help you manage your finances. However, you need to be careful that you’re not over-extending yourself.

That's why Barclaycard checks that you can afford a credit card and that the credit limit you're given is the right one for you.

So when you apply, we use something called credit scoring. It's the same process most major banks, credit card companies and finance companies use. We check the information you give us on your application form, what information about you credit reference agencies hold and (if you’re already a Barclays customer) your bank account so that we can build up an accurate picture of your finances.

What credit reference agencies do?

Credit reference agencies provide factual information to financial institutions like us. They don’t give an opinion on your financial status – in fact, what they can tell us is very strictly controlled by their licence with the Office of Fair Trading, under the Consumer Credit Act 1974.

This information helps us to check things like your address, and to decide whether the credit limit that’s being suggested is appropriate based on your other financial commitments. These checks help to prevent fraud too.

Just as other financial institutions share information with the credit reference agencies, so do we. These are Experian, Equifax and Callcredit. There's an APACS guide that tells you more about your credit record.

What will my APR (annual percentage rate) be?

We use a system called Risk Based Pricing. It uses the credit scoring process to give you a risk profile, which we use to set an APR that is appropriate based on your other financial commitments.

How much will my credit limit be?

We want to be sure that you can stay in charge of your finances. So if there isn’t much information in your application form and credit reference file, your credit limit won’t be high at first (there’s a minimum of £250). Once you’ve proved you can make your payments on time every month for about six months or so, we’ll look at increasing your limit.

You’ve turned me down, now what?

We’ll always tell you why your application was unsuccessful. Usually, it’s one of these reasons:

• We might have had some information from a credit reference agency that influenced the decision
• Your credit score wasn’t high enough
• We sometimes have specific conditions that you haven’t met. For instance, if we think your income suggests that you might have difficulty in making your payments.

Having said all that, we do appreciate that things change. So if you feel you’d like to try again in a few months, we’ll be happy to have another look, though we’ll probably ask you for some more information.

What can I do to improve my chances?

Have a read of our useful guide called how to improve your credit file information.

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