Banks should give clear reason for application denial

[mgforce]

I like your approach Aayush. Inspired by this, have sent an email today to SBI PNO Desk - for recent rejection of Card application.

Fingers crossed.

 

[aayusharyan]

I like your approach Aayush. Inspired by this, have sent an email today to SBI PNO Desk - for recent rejection of Card application.

Fingers crossed.

Yes, I did that too with SBI, received a call from their team. They understood the issue, put the application on hold while they try to get approval from higher ups.
(Or at least that's what she, the customer care lady told me)

 

[mgforce]

Yes, I did that too with SBI, received a call from their team. They understood the issue, put the application on hold while they try to get approval from higher ups.
(Or at least that's what she, the customer care lady told me)

For me, NO and PNO gave exact same reply (verbatim).

Now wrote mail quoting RBI circular. Hope now some sensical reply comes.

 

[aayusharyan]

For me, NO and PNO gave exact same reply (verbatim).

Now wrote mail quoting RBI circular. Hope now some sensical reply comes.

Yes, fingers Crossed brother. 🤞🏻

 

[vijayanand]

Ref RBI Circulars:
- https://www.rbi.org.in/commonperson/English/Scripts/Notification.aspx?Id=1574
- https://rbi.org.in/Scripts/NotificationUser.aspx?Id=3315&Mode=0

RBI says this.


Now, how we can use this for the benefits of consumers.
Basically, banks have the habit of giving a blanket reason of that the card application has been rejected because of Internal Policies of the bank. (I applied for Change of Address for an existing Credit Card and I received this response) But that reason can be considered as unclear and we can request for a more clear reason for rejection. Reasons like Age mismatch, Low Credit Score, too many cards issued recently, etc etc.

BUT NOT REJECTED BECAUSE INTERNAL POLICIES.

I am making this a habit now that for every rejection, I will not stay quiet. I will raise my voice. 1 hard credit enquiry has been made, I will fight for it. If Level 1 doesn't help, will raise to Level 2. (Contact emails can be found here - this thread)

I am sure we all would have faced situations where immediately after applying they give rejection. (Sometimes even before doing vKYC or even asking income documents). What reason they give? Internal Policies. 🤦🏻‍♂️ With citing this circular in the support emails, we have better chances of moving the balance needle towards us again.

But, there is a Catch
In theory, it can be said that Banks have advised to do this, not mandated. So, the banker can argue that they are not required by law to state the reason. (That's why they still keep doing that, because they are not penalised for that). In that case, I would say keep pushing, maybe this particular agent didn't wanted to help, maybe next agent will help. If nothing, then go for OB, when all the other approaches are exhausted. Also, to be noted, RBI has used the term main reason/reasons. Bank person can theoretically argue that Internal Policies is the main reason, but again. Take a day off, then reply again in hopes of some other agent who can be more helpful.

There is no harm in trying
With each of my email for rejection reason, I am also attaching some of the content for re-evaluation of my credit card application. Because end of the day, that's all that matters (I get the Card I applied for and spent my Enquiry on). (Reference details can be found here - this thread)

---
My experience:
- Rejected for SBI (applied through Sprint Portal) -> Sent Email -> this comment.
- Rejected for StanC (This also online application) -> Sent Email -> Waiting for response.
Please share your experiences also, I will keep indexing them here. Eventually, if we can prepare some sort of template for this for the benefits of consumers, it will be awesome. 😍

I recently applied for Axis Flipkart only because it showed as pre approved in Flipkart app and I didn't wish have a wasted hard enquiry in my cibil. 40 days back they came to my home for in person verification and the agent told me that the card will be received in 7 days. Till now I have not received any intimation regarding the card. The agent who contacted me via whatsapp is also not responding.

 

[aayusharyan]

I recently applied for Axis Flipkart only because it showed as pre approved in Flipkart app and I didn't wish have a wasted hard enquiry in my cibil. 40 days back they came to my home for in person verification and the agent told me that the card will be received in 7 days. Till now I have not received any intimation regarding the card. The agent who contacted me via whatsapp is also not responding.

Send a strong worded email.
BTW, did you receive an Application number on mail /sms?

 

[mgforce]

For me, NO and PNO gave exact same reply (verbatim).

Now wrote mail quoting RBI circular. Hope now some sensical reply comes.

So I got a call back and they are willing to review my card application upon submission of additional documents.

Now this is a good sign, I am wondering if worth to get SBI CB card when have other cards already. This is not free one anyways.

 

[aayusharyan]

So I got a call back and they are willing to review my card application upon submission of additional documents.

Now this is a good sign, I am wondering if worth to get SBI CB card when have other cards already. This is not free one anyways.

Nice. Congratulations, your efforts seems to work.
I would suggest get the CC, then use retention trick to convert to LTF.

 

[Deleted member 21942]

I got a call today from SBI Cards Team. I can say it was official because that lady was able to pull up records from as back as 2019 applications. Also she said all the documents will be over SBI official email ID.

However, coming to the reason. She mentioned that the application is not rejected, it shows like that on portal. But it has been put on hold because I hold too many Credit Cards. (Which of course I do). She said that the documents are fine and reconfirmed stuff like Salary and all. I confirmed all that, she said that she is raising this up with her head of department and I should expect some response in 1 month. (I don't know why that long time, but anyways). She said once that is in process, she will only call back (Anyway if I don't hear from her until 15th December, I will start bothering the Customer Care again). I am not letting my efforts go in vain.

How many credit cards do you hold?

 

[aayusharyan]

How many credit cards do you hold?

Currently around 14-15 credit Cards. Then a few Credit Lines and a Home Loan.

 

[Deleted member 21942]

Currently around 14-15 credit Cards. Then a few Credit Lines and a Home Loan.

After reading your comment I do consider myself lucky as I have 20 active credit cards currently out of which 2 are SBI cards.

 

[aayusharyan]

After reading your comment I do consider myself lucky as I have 20 active credit cards currently out of which 2 are SBI cards.

But then at what point did you apply for SBI Cards? If you applied initially then ofcourse it's easy. But if you applied for SBI Cards as NTB after getting first 13-15 cards. Then my friend, you are the chosen one.

 

[Deleted member 21942]

But then at what point did you apply for SBI Cards? If you applied initially then ofcourse it's easy. But if you applied for SBI Cards as NTB after getting first 13-15 cards. Then my friend, you are the chosen one.

I had applied it when I was having 8-9 credit cards.

 

[aayusharyan]

I had applied it when I was having 8-9 credit cards.

Woah, nice man. You got good. 😅

 

[RishiKiDev]

I had applied it when I was having 8-9 credit cards.

Arey bhai bhai bhai! My 3rd card was SBI SimplySave 😅

 

[Deleted member 21942]

Arey bhai bhai bhai! My 3rd card was SBI SimplySave 😅

I was in a hunt for LTF cards so SBI got delayed.

 

[RishiKiDev]

I was in a hunt for LTF cards so SBI got delayed.

I was naive. I got trapped by SBI sales agent who came to our college campus once and told me I'll get 5 Lakh limit.

I got only ₹35k 😂

 

[aayusharyan]

I was in a hunt for LTF cards so SBI got delayed.

I wish I had known about SBI retention trick early. Would have gotten atleast 1 CC from them in my portfolio.

 

[aayusharyan]

I was naive. I got trapped by SBI sales agent who came to our college campus once and told me I'll get 5 Lakh limit.

I got only ₹35k 😂

Bhai, 5L ke promise pe 3-4L mile toh chalta hai. You got 35K. 🤣 Should have raised to Customer care.

 

[Deleted member 21942]

I was naive. I got trapped by SBI sales agent who came to our college campus once and told me I'll get 5 Lakh limit.

I got only ₹35k 😂

Agent ko pehle poochna tha ki 5 lacs mein kitne 0 hote hain 😅