As the country recovers from the financial crisis, more and more people are considering credit as an option.
Unfortunately though, a whopping 61% of those applying for cards in the last year were turned down, according to a study by TotallyMoney.
That represents an increase of 2% on the previous year, although there is considerable variation up and down the country.
Every region is different, with a number of different factors having an impact – from unemployment levels to the numbers of people in debt or owning homes.
All of these aspects will influence a lender’s decision when handling an application and too many negative issues may lead to a rejection.
So where is the credit rejection capital?
Of everywhere in Britain, the city of Dumfries has the highest rate of rejection, with 64% of those who applied for a credit card being turned down.
Falling house prices in the area and higher than average unemployment levels have been blamed, although the results would also depend on what type of card is requested.
Top of the range mainstream credit cards have a much higher rejection rate than credit repair cards, so opting for an alternative could increase the chances of success.
A clear North/South divide exists in the data, with the top ten areas with the lowest chances of securing a card all falling outside the South of England.
After Dumfries, Sunderland and Kilmarnock occupied the other top spots, although both have levels of unemployment that are around or above 11%, as well as a high percentage of people claiming jobseeker’s Allowance.
Compare those with St Albans, Bromley and Kingston upon Thames, where the chances of being successful when applying were between 43 per cent and 44 per cent.
Blackpool stands out from the crowd
The Index also shows that the most credit-hungry location is the UK is Blackpool, with the most applications per capita.
Despite a rejection rate of around 62%, when applications for high-end credit cards are taken into account, the figure for rejection rises to 66%.
Kilmarnock and Manchester were also popular destinations for making credit card applications, while West London and Shrewsbury made the fewest per resident.
Alternatives to credit
Unlike credit and debit cards, prepaid cards are not directly linked to a bank account, making fraudulent activity a lot more difficult.
For those with concerns over their funds, transferring some to a prepaid card can also help to control spending, as only the sums on the card can be spent.
The cards can, however, be topped up if necessary and can be replaced if they are lost or stolen without funds being affected.