Is it legal for a bank to deny me a credit card because of past bankruptcy if I have good credit now? 11 Answers as of July 04, 2013In 1994/95 I filed for bankruptcy. Today I have an excellent FICA rating! Recently I applied for a credit card with CitiBank and was denied because they were part of that action. My present mortgage is also with CitiGroup and payment is current/never late. Is this legal?
Law Office of J. Thomas Black, P.C. | J. Thomas Black
Yes, just like you can refuse to do business with the bank, the bank can refuse to do business with you, for whatever reason, including filing bankruptcy, so long as they are not violating the Equal Credit Opportunity Act (ECOA), and discriminating against you based on a prohibited reason, such as race, color, religion, national origin, sex, martial status, age, or because you receive public assistance.
Answer Applies to: Texas
Ashman Law Office | Glen Edward Ashman
You have no RIGHT to get credit from anyone. Many creditors have a policy (and it makes excellent sense) not to loan money to people that have caused them a loss in the past. Bear in mind big banks mortgage "divisions" are separate corporations and may not have the same rules as credit card companies. Be thankful Citibank turned you down. There are far better credit card companies out there with better deals. No, they didn't break the law, but by turning towards better banks they did you a great favor.
Answer Applies to: Georgia
Colorado Legal Solutions | Stephen Harkess
A bank can refuse to lend you money for any reason. Fortunately, there are many other places that will lend you money and charge you interest. If you want to get back into debt you just need to contact a different bank.
Answer Applies to: Colorado