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Credit card lenders have 'limited funds'

Credit card lenders have 'limited funds'

• Pay off those credit cards with a remortgage or loan

 

Credit card lenders are restricting the number of people they lend to because they are short of funds, one expert has said.

Head of personal finance at Fool.co.uk David Kuo has explained that the reason some people are declined for their applications for plastic loans is because credit card lenders do not have endless amounts of cash.

“I think the problem that we have at the moment is that credit card companies do want to issue credit cards but they only have so much money to lend," he said.

This has meant that companies are selecting people that are the most sensible individuals with which to agree credit deal.

According to MoneyExpert, 18,000 people a day were refused credit card deals during April.

And one in 14 people have failed to secure a credit card deal in the last six months, the company found.

Your home may be repossessed if you do not keep up repayments on your mortgage.

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