Credit card application

[AJAY MODI]

Sir, I am using Citibank and HSBC credit card since last 15 years with out any defaults. Recently TATA card with SBI has given me credit card without any documents with credit of Rs.1,92,000.

I am a self employed having income of 3.60 lacs per annum declared in my last ITR 2014.

Simultaneously HDFC Times card and SBI IRCTC has rejected my application  without any valid reason.I have submitted my last two years ITR with PAN Card and my self own residence proof. They have verify address and other details by telephone on two different agencies.

Recently I received letter stating that they are unable to process my request.

I have a car loan from HDFC bank and last 8 installments are pending.I have clear all their dues without any defaults so far. I always clear credit card payments before due dates.

My CIBIL score is also 890 as per july record. I request you to guide me in this matter at earliest for refuse to give me a credit card

 

[cardbhai]

Banks need not tell you the reason why they have rejected your credit card application.

They rejected probably due to the face that your Income vs Credit Line Disparity. You already have Credit Line which is much higher and so the bank doesn't want to risk giving you more credit without your Income Going Higher.

I cannot say 100% for sure but for home Loans they follow this rule. If your Income is Rs 4 Lakh, then 50% of it is taken away for your Daily Living Expense. Then this make you eligible for upto 5 times the remaining amount for home Loan i.e in this case it will be Rs 10 Lakh.

Now if you have a Car Loan of Say Rs 2 Lakh, then your Home Loan eligibility reduces to Rs 8 Lakh. So Apply the same Logic and you will know why your application is being rejected.