Impaired Credit

See: Impaired Asset.

Your credit isn't...creditworthy. You borrowed money and said you'd pay it back. Promised, even, Pinky swore. But you didn't. For whatever reason, you didn't pay it back.

So now the banking system is saying, "Fool me once..." and it's not letting you borrow more. That is, not until you repair your credit. And when you do, well, then you'll get to borrow dough again, but likely at higher prices...because of that whole "fool me once" thing.