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Zilch Credit Check Declined, What to Do?

There are steps you can take to understand the reasons behind the decline and potentially improve your chances in the future. Here’s a guide to help you navigate this situation.

1. Understand the Reason for Decline

Before taking any corrective measures, it’s crucial to understand why your credit check was declined. Zilch, like many other credit providers, bases its decisions on information from credit reference agencies.

  • Request a Detailed Explanation: Contact Zilch customer service to request an explanation. While companies might not always provide a detailed reason for a credit decline, it doesn’t hurt to ask. Understanding the specific factors that affected their decision can guide your next steps.

2. Review Your Credit Report

Once you know the reason for the decline, the next step is to review your credit report.

  • Request a Free Copy: You’re entitled to a free credit report annually from major credit reference agencies like Experian, Equifax, and TransUnion.
  • Check for Errors: Ensure all the information on your report is accurate. Discrepancies, even if minor, can impact your creditworthiness.
  • Report Inaccuracies: If you find any errors, report them to the credit reference agency. They are obligated to investigate and correct any inaccuracies.

3. Improve Your Credit Health

If your credit report is accurate but reflects a less-than-ideal credit history, consider the following steps:

  • Pay Bills On Time: Timely payments, be it for credit cards, loans, or utility bills, can significantly boost your credit score.
  • Reduce Outstanding Debt: High credit card balances or large loan amounts can negatively impact your credit score. Work on paying down these balances.
  • Avoid Multiple Credit Applications: Each time you apply for credit, a hard inquiry is made, which can lower your score. Space out your credit applications.

4. Consider Alternative Financing Options

If you urgently need financing but can’t wait to improve your credit score:

  • Explore Other BNPL Services: Zilch isn’t the only Buy Now, Pay Later service. Others might have different criteria such as Klarna or Clearpay.
  • Consider a Co-signer: Some credit providers allow a co-signer, someone with a better credit score who can vouch for your ability to repay.

5. Reapply When Ready

After taking measures to improve your credit health, consider reapplying with Zilch. Ensure you’ve given enough time for the changes to reflect on your credit report.

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