Re-Applying for a Credit Card after Declined Application

deeds89 on 15/06/2024 - 13:43

Hey all…Today applied for a Westpac Platinum Velocity Credit Card (to get the bonus velocity points) for the minimum credit limit ($6,000) - I was declined.

I have an excellent credit score - though have a mortgage and two other active credit cards with a combined credit limit of $49,000. I assume this was the reason I was declined but don’t know for sure.

I should have at least lowered one of the cards’ limits before making the Westpac application today but stupidly didn't. I’ve now lowered one of the cards’ credit limits from $37k to $5k (now combined credit limit of $17k over the two active cards)

I’ve never been declined for credit before so I have two noob queries from this:

1) how long until I could apply again (i.e., could I apply again today?) and have a different outcome from Westpac?
2) what impact does this declined application have on my credit file?

Thanks for any insight!

Financial Credit Card

Comments

  • boomramada on 15/06/2024 - 14:00
    +6

    credit limit of two other active credit cards is your enemy not the credit score.

  • ilostnemo on 15/06/2024 - 14:20

    A free credit score app will be able to tell you your score, I recently was approved a credit card and the score didn't take much of a hit (1 Point). I would wait for the credit score app to reflect your lowered credit limit.

    https://www.getcreditscore.com.au/

    https://www.experian.com.au/consumer/order-credit-report

    The Commbank App has a free one.

  • Master Bates on 15/06/2024 - 14:36

    1) how long until I could apply again (i.e., could I apply again today?) and have a different outcome from Westpac?

    The updated limit may take a while to filter through the systems, so don't be too impatient. Check your credit reports to see when it reflects as lower, then apply.

  • Downvoter on 15/06/2024 - 14:46

    It will be on your financial history for banks to see

  • payless69 on 15/06/2024 - 15:13

    Tell Centrelink your political views?
    Shorten has a good holiday in Europe with your savings.

  • USER DC on 15/06/2024 - 15:15
    +1

    0)

    just a really really bad idea to be applying for new credit cards when already having such a massive credit limit on active cards like $50K almost, did you not even think about closing or reducing them before applying for a new CC ??? how much you even earning ?? like $200K-$300K a year ??

    1) how long until I could apply again (i.e., could I apply again today?) and have a different outcome from Westpac?

    4- 6 months, for any bank in general

    2) what impact does this declined application have on my credit file?

    just shows as an enquiry that is all, does not show as declined or approved application on credit file generally. Although they can technically figure out it did not get through because after enquiry no such account opened (but that dont mean 100% declined, may be you made an application but didnt put files fully etc etc.)

  • deeds89 on 15/06/2024 - 16:36

    Thanks for the comments, all.

    Looking like I'll just wait it out and re-apply at some other point in the future, now that the cards' credit limit is lowered and maybe I'll cancel a card before hand as well.

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