CBA non-disclosure clause

Several years ago now, around 2002 if memory serves me, I approached the CBA for a personal loan. At the time I think I had $35,000 in shares and a good job as a mining analyst, so I thought there should be no problem, even if I was investing in more speculative type stocks.

After visiting the manager at the CBA Martin Place branch I was surprised to learn that my loan application had been refused. Nevermind the fact that it took a week to get a reply when you hear about loan approvals in a day, I was more interested in the reason why. I suspected the reason might be that I had previously got a personal loan to buy stock and not used the facility. I suspect that they didnt want to waste the time with a loan application that was never actually used. The previous loan was for $10,000 and I think I repaid in within 3months because I decided the stock market was not so attractive.

But I personally dont think that is the way to handle the issue. A sensible bank would do the following:
1. They would price their loans to reflect the costs of loan applications, inquiries - that way they make money on all loan applications and inquiries.
2. They would disclose to their customers why their loan application had been rejected.

I felt really bad about this. I was uncertain whether I had done something wrong. Did I have a bad credit record? Was I being puinished because I was related to my mother, who was being placed into bankruptcy by another bank. I didn't know. I was dejected and I wasn't offered an explanation why. I felt like a criminal, when I thought my credit credentials should have been good.

In the years that followed I made alot of money from stocks, and I did it without leverage. But I can't help thinking that my experiences with CBA have on some level put me off trusting banks to execute with integrity.
They act with impunity.