Challenging a Credit Card Rejection

When most people receive a credit card rejection letter in the mail, it often gets tossed in the trash. What these customers don’t know, is that the credit card company has the obligation, when asked to reveal the exact reasons that a customer was denied for credit. Up to eighty percent of credit reports have at least one mistake, according to the United States Public Interest Research Group.

There are a variety of reasons that the credit card application may have been denied, these include; a false late payment charge on the credit history report, false information in the credit file, showing accounts as open after they have been charged-off or discharged through bankruptcy, or showing other accounts that have been paid in full as not-paid. There are many mistakes that can be made by a credit bureau, therefore it is important to determine the reason that an application for credit was denied by the creditor.

Unfortunately, a denial letter from a credit card company is often vague. With the lack of information present in the letter, it is important to determine the reason that a request for credit has been denied.

How do you request this information? This information is best requested through a letter from the cardholder, to the credit card company. The letter should contain your full profile of information including;

  • Your Address
  • Phone Number
  • Social Security Number
  • Date of Birth
  • Your Full Name
  • Previous Address

All of this information is used to verify the identity of the card holder, as well as to determine additional information to be found on the credit file. All of the personal information must be included with the letter, as well as a signature to avoid a follow-up letter that will request additional information.

In most cases, the issue can be resolved after one letter to the credit card company. Using registered mail, which must be received with a signature, can lead to decreased lead time of trying to track down who received the letter at the credit card company.

The credit card company has thirty days to send a response to the customer. Most often, this response will yield a detailed outline of the reason that the card holder has been denied for credit. If the information in the credit report has been proven incorrect, this can help to rectify the situation and correct the information that has been mistaken on the credit report.


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