It is important that you understand the reasons why credit grantors may deny extending credit.

You may not have held your present job or lived at your present address long enough. Some creditors require that you’ve been at your job or address for a least three years.

When applying for a loan, lenders are often interested in the reason you are requesting the loan. Sometimes, lenders do not believe your purpose for requesting the loan is reasonable. Other times, lenders may have restrictions that do not allow them to make the kind of loan you are requesting.

If you're relying on a cosigner, the lender may not feel your cosigner can afford to take on any new liabilities.

A credit grantor may believe that you already owe too much on your present accounts. If this is the case, they will view you as a high risk and may refuse to extend you additional credit.

Your credit report may contain incorrect information about your credit report. Whenever you are refused credit, you have the right to receive a free copy of your credit report within 30 days of the rejection from the credit reporting agency that the creditor used. Take advantage of this opportunity to review your credit report and determine if there are any mistakes.

Finally, you may be turned down for credit if your credit report indicates that you have recently applied for numerous lines of credit. Lenders may question your motives or be concerned that you are at risk or overextending yourself.

If you’ve recently been refused credit, wait awhile before applying again. Take some time to review your credit report and correct the problem that is keeping you from being credit worthy.

If you would like more information about credit rejection, or would like to learn more about how Consumer Credit Counseling Service of the Gulf Coast Area, Inc., can help you, please call 1-800-873-2227. We can help.