‘Over 5m credit applications rejected’ in six months

Lenders have rejected around five million applications for credit over the past six months, new research has shown.

Commissioned by MoneyExpert.com, the study revealed 56 per cent of the population has applied for financial assistance over this period.

Of these, 13 per cent were rejected for a credit card and six per cent were unable to obtain an unsecured personal loan.

This is equivalent to approximately 3.27 million failed credit card applications and 1.56 million unsuccessful attempts to secure a loan.

Director Sean Gardner remarked: “Anyone whose credit record is even remotely suspect risks rejection. Banks want to recover their bad debts and they don’t want to create more of the same.”

These financially untouchable people – or ‘funts’ – are a group that ClearDebt has identified as needing advice on becoming debt free.

Recently, Citizens Advice reported that it was receiving more requests for help with mortgages and loans in the wake of the economic downturn.