People thinking more carefully about credit applications
Published On 17 January 2008
A growing number of people are being more considerate when making loan and credit card applications, new figures suggest.Price comparison site moneysupermarket.com has revealed that the number of consumers using its Smart Search tool when looking for a credit product has increased considerably in the last 12 months.
In December 2007, the site received 371,000 loan and card applications via the tool, compared to 103,000 in December the year before.
By using Smart Search, consumers are matched to the most suitable loans or credit cards depending on their individual circumstances.
According to moneysupermarket, the credit crunch is causing people to think more carefully about the products which are available to them.
Tim Moss, head of loans and debt at the site, explained: "The message is at last getting through that there's no point applying for cards and loans you won't get. Each time you have an application rejected, it has a negative effect on your credit rating and reduces your chances of being approved for the next product you apply for, or being offered a higher rate.
"Brits are at last realising that applying for the most appropriate card or loan in the first place is the best way to go."
