Almost one in ten adults have overestimated their income when applying for credit

YouGov research commissioned by Callcredit shows that almost one in ten adults (9%) have overestimated their income when applying for credit. The figure rises to 13% for those people in the age group 35 – 44 years.


The findings suggests a number of people have deliberately over inflated their income when applying for credit in order to help them secure a higher credit limit. Furthermore, 10% of those aged 35 – 44 have also taken out credit in past, knowing that they might not be able to meet the repayments.

The study also showed a stark reduction in the proportion of people paying off their credit card bills in full each month with one in twenty (5%) people who previously paid their bills in full now paying just the minimum or a fixed amount. This rises to one in fourteen (7%) people aged 35 – 44 years.

Graham Lund, Managing Director, Callcredit Information commented:

“What is of real concern is that some people are deliberately over-inflating their income when applying for credit in order to increase their credit limit. Credit limits, which are determined by individual lenders, are assessed on how much an applicant can realistically afford. If the borrower is inflating their income significantly and then maxes out their high credit limit, they are running a serious risk of getting into financial difficulties and being unable to repay the debt.”