Commbank CC refusal

[BillW]

Further to my earlier post, my son applied for a Commbank Platinum card with the current offer of 40,000 QF FF points.

His situation is that he has been working and has substantial savings, more than enough to satisfy Canadian working holiday visa requirements, but by choice he has stopped working prior to travelling.

He was rejected for the card and was told he will not qualify because he has no income.

What should he do or what are the alternatives?

He is a Commbank customer, has money in a Saver account and has one of their debit cards, which he uses. His only other bank account is a high interest UBank account.

Thanks. Bill

 

[andye]

Not credit cards as such but Qantas Cash/Virgin Wallet will get some points

 

[BillW]

How about Qantas Credit Union? Anyone? Do you need to join, or does it help, in applying for their Platinum CC?

 

[RooFlyer]

Are you able to get him a supplementary card to one of your own? Not ideal, but will get him 'credit'. Some (many?) hotels - I think more in the USA rather than Canada - require a credit card when checking in, for security purposes; some won't take cash in lieu, as it limits their claim amount.

In the other Canada thread, I think a Citi Plus debit card was mentioned - not the same as a cc obviously, but a very good bit of plastic to wave around.

This also belongs in that other thread, not germane to the topic here. Get him to take a print-out of his 3 year driving record with him. Not sure who would issue it in your state, but here in Tasmania its just the State Government services office and its just a page noting name, divers licence number and whether or not various traffic offences / convictions have been recorded (I assume it'll be all clear!). May never need it, but may come in handy for something auto-related.

 

[Bwtt]

If he has no income, he won't be able to get a credit card. Credit providers have to be 'responsible' with credit so unfortunately won't give it out to people with no income.

 

[Isochronous]

It's difficult without regular income, unless you can show substantial assets (e.g. Shares) and a large bank deposit with the issuing bank. Even then there's no guarantee

 

[kpc]

How about Qantas Credit Union? Anyone? Do you need to join, or does it help, in applying for their Platinum CC?

I needed to send 75 pages of financial docs in my application !!

 

[trippin_the_rift]

While credit restrictions make it harder for banks to give out easy credit these days; some financial institutions do have a greater appetite for risk. Combank is not one of these.

 

[coriander]

I needed to send 75 pages of financial docs in my application !!

Just had same experience with applying for ANZ Black on 30 June for free sign up and points: asked for tax returns, financial statements (it's a book for us), super fund, copy of title, etc. Rang ANZ and said "you have my accountant's number, give her a ring. I'm not going to scan 60+ pages and email or fax them to you. Or just forget it." ANZ person said words to the effect that your lack of debt is a concern which is why we need all this info. Six hours later I get an SMS saying congratulations my cards are in the mail. I rang my accountant over another matter this morning and discovered she's actually on a week's leave before the annual madness starts. Go figure.

 

[trippin_the_rift]

Rule #1. Always be an employee and never own the business.

 

[mavrick9]

Further to my earlier post, my son applied for a Commbank Platinum card with the current offer of 40,000 QF FF points. ......

He is a Commbank customer, has money in a Saver account and has one of their debit cards, which he uses.

As above, to gain unsecured credit, on a very basic level you need: Ability to repay, ie a regular income, that can be substantiated, and a credit history.

As he's already a Commbank customer. When he gets a regular/stable job. - He's better off applying for the Vanilla Commbank credit card, and requesting a $1000 limit or the minumum. This serves to establish a credit relationship / history with the bank.

 

[burmans]

As above, to gain unsecured credit, on a very basic level you need: Ability to repay, ie a regular income, that can be substantiated, and a credit history.

As he's already a Commbank customer. When he gets a regular/stable job. - He's better off applying for the Vanilla Commbank credit card, and requesting a $1000 limit or the minumum. This serves to establish a credit relationship / history with the bank.

Given what happened to us not long ago with the GFC I don't think it's unreasonable that banks don't lend to people who have no proven ability to pay them back. Aside from the fact it's the law it just makes sense.

Indeed of all the evils of the banking system, the opposite I.e. Deliberately lending to people who they know can't actually afford it rates to me as the worst of the banking system (and I'm referring generically here rather than just Oz),

If the OP has assets, he doesn't need a CC, he can use these. We have no divine right to get credit cards!

 

[kyanar]

Rule #1. Always be an employee and never own the business.

If you pay yourself regularly a largely static amount, the bank considers this "income" and then uses better judgement to decide whether to approve. Westpac just handed me $15k (they wanted to issue $20k) just using transaction analysis (what they already know about me from a couple years' history).