Why Was My Application for a Cell Phone Contract Declined?

Staff Writer / 10-02-2020 / News

If you’ve ever had an application for a cell phone contract or deal declined, you know it can be a frustrating but also confusing feeling. In most cases, you’re not even sure why your application was declined. The truth is that it all comes down to your credit score and if the network thinks you qualify for a particular deal based on that score.

If you have faced the dreaded decline from any of the network providers, it simply means that your credit profile has not met their requirements. This can mean many things. It’s possible for a consumer to be totally debt-free, which means they hold no credit accounts and have been dealing with cash all their financial lives. While this is great financial practice, creditors are reluctant to offer credit to a consumer who has no record of consistent monthly payments. Creditors need to be confident that the user will pay any credit owed, and if there is no prior history to assure them of this, a cell phone contract application could potentially be declined.

The other scenario is if a consumer has bad credit. This sim ply means that the person has taken on too much credit and can’t afford to pay all of it back. Missing a monthly instalment affects your credit score negatively and lowers your chances of landing the cell phone contract you want. It makes sense for creditors to decline a user that has defaulted on their payments as it indicates that there is a possibility their money will not be paid back.

The same principle is applied to cell phone networks. They offer contracts to consumers they are confident can afford the monthly payment for the duration of the contract period, therefore, your credit score has to be desirable. The networks will decide, based on that score, the range of contracts you are offered.

You could also be declined for a cell phone contract if you have a judgement against your name at the credit bureau or if you are under debt review. Debt review is the process in which a debt counsellor has to negotiate better interest rates and lower premiums on behalf of an individual because their income is far less than their expenses and they are unable to meet all their credit obligations. If a person is undergoing debt review, they will not be able to qualify for any form of credit, including acell phone contract.

Need more credit advice? Check out these helpful articles:

Can You Get a Phone Contract with Bad Credit?

How to Improve Your Credit Scores

TECH NEWS

previous
It’s Time to Bury the BlackBerry

From being a must-have for most South Africans, to almost disappearing from the market, where exactly has it all gone wrong for BlackBerry , which was once one of the world’s leading smartphone manufacturers? A Rise to Undisputed Dominance Founded 21 years ago, a BlackBerry was once the ultimate smartphone in the global market. Their phones had features that left competitors in the dust at the time. They broke new ground with the release of the BlackBerry 850, the first phone that could access email on the go. BlackBerry then introduced a reduced-key keyboard using ‘SureType’ technology, which worked really well with BlackBerry Messenger, commonly known as BBM, their instant messaging service. This also helped them gain popularity amongst a younger generation of customers. The Crumbling of a Goliath At the pinnacle of their popularity, a new smartphone burst onto the scene, which soon proved to be BlackBerry’s downfall. In 2007, the first iPhone was revealed by Steve Jobs, revolutionizing the smartphone industry. With a virtual keyboard, glass screen and a built-in iPod, it left competitors scratching their heads. Apple continued to grow in the smartphone industry, focusing on the billions of customers they could now reach, whereas BlackBerry continued to focus on their much smaller customer base instead of seeing the bigger picture. This was never a sustainable strategy because in such a saturated market, you either adapt or die. Subsequently, BlackBerry lost ground to their competitors, leaving them with only 23 million global users by 2018, which is a drop in the smartphone industry ocean. BlackBerry’s Bleak Future BlackBerry has indeed been dying a very slow death, so much so that TCL Communication , the owner of BlackBerry, has decided to halt production of all Blackberry branded smartphones as of 31 August 2020. First Nokia, now BlackBerry. Will we have another giant fall from grace in the near future?

Read More...

Google Maps Features You Didn’t Know Existed!

Before the release of Google Maps in 2005, it was quite challenging to find your way to an unknown location, even when using a printed map. In fact, many marriages were probably saved by the invention of Google Maps. Nowadays, it’s difficult to imagine a world without it. A lot of people don’t know that, aside from directing you to your destination, the Google maps app is packed with many great features and capabilities that will make your trip even easier. Here’s the best Google Maps features you should start using today: Date Many people only use Google Maps to search for directions to their destination, but the app can take it a step further by providing you with more accurate, real-time details. If you enter the date you’ll be travelling on a particular route, the system will be able to factor in traffic and other variables and provide you with the best information possible. Favourites Accessing Google Maps when you’re in a hurry can be cumbersome. You can save time by adding your favourite destinations to the app. Simply select “Your Places”, tap on the “Saved” tab and then choose “Favourites”. Press the “Add” button to save some of your favourite spots for easy access. Download for Offline Use Google Maps uses an internet connection to keep you updated with the latest traffic routes. However, if you’re going to travel to a remote area with limited or no network coverage, you can actually download the map that you need from Google Maps. All you need to do is search for your destination, scroll to the bottom of a page and click on “Directions”. You’ll now be able to swipe over and get the option to download. If you don’t see this, search for your destination, click on the menu and select “Offline Maps” and then “Custom Map”. It’s important to note that while using this feature, you won’t get any live traffic information due to the lack of an internet connection. Parking Google Maps doesn’t just help you get to your destination, it can also help you find parking once you’re there. Look for the “P” icon with a circle around it next to the estimated time it will take to get there, and it will inform you if parking is limited at that location. Sharing your Location If you’re visiting someone and want them to know what time they can expect you, simply share your live location with them and they’ll be able to see exactly where you are throughout your whole journey. To do this, click the estimated time of arrival at the bottom of your screen, select “Share Trip Progress” and you will be directed to your Contacts where you can choose the person you want to share your location with. This can be shared via text message, email or instant message.

Read More...

Can You Get a Phone Contract with Bad Credit?

Have you ever applied for a cell phone contract and were turned down because you have a low credit score? The mobile networks in South Africa have become more stringent when deciding who to approve or decline for mobile contracts, so if you have a poor credit score or have been “blacklisted”, chances are you may not qualify for most mobile contracts. In 2015, a whopping 80% of cell phone applications were declined by the major SA networks due to low credit scores. Put simply, only two out of ten people were successful in applying for a mobile contract, even though they may have had a job or even paid their bills on time. Each network has their own credit score cards with requirements that need to be met before being approved for a cell phone contract. The good news, however, is that people with bad credit have options available to them, depending on their individual credit scores. For example, you may apply for a Samsung S10 deal but, due to your score, you may only qualify for a deal bundled with a Samsung A10 smartphone or even a SIM-only deal , that gives you the benefits of a contract without the subsidised handset or router. Mondo carries a wide range of mobile deals from Telkom, Vodacom and MTN to give customers more choice and a better chance at qualifying for a cellular deal. If your application is declined, the other option you have is to obtain your credit score from local credit bureaus such as Trans Union ITC and Experian. Thereafter, you need to work on improving your credit score and profile. Make sure you pay all credit instalments that are due at the end of the month, in full and on time. If you can’t make your minimum monthly repayment, ensure you contact the company you owe money to and arrange a more affordable payment plan to keep you from being blacklisted. If there are no judgements against your name and you have a decent credit record with banks or businesses such as clothing stores, you have a good chance of being approved for your next mobile contract. Need more credit advice? Check out this helpful article: Why Was My Application for a Cell Phone Contract Declined?

Read More...

next