The current economic climate means that Brits are more likely to hurt their
credit rating by applying for plastic.
According to the Mirror, three-quarters of people applying for a
credit card are rejected, which can harm their chances of successfully being accepted by banks in the future.
Money expert Tricia Phillips from the newspaper warned against making lots of applications for loans as every one goes towards a personal credit report which details the history of dealings with lenders.
Firms will be put off giving money to those with a
bad credit rating, Ms Phillips explained.
"Don't be tempted to keep applying for credit if you get turned down, as it could work against you. You need to do your homework before you apply formally, so you can keep your credit history clean," she said.
Andrew Hagger of
moneynet.co.uk also recently noted that it has become more difficult for people to get credit in the UK because banks have tightened their lending criteria.
Posted by Tom Burroughs.
