Home » Forums

[MSE Lawrence]

Poll between 03-10 November 2009:

Ever been given a different rate to the credit applied for?

When you apply for a loan or credit card have you ever experienced being accepted, but being given a higher rate that the one you applied for (or a different card entirely)?

There’s currently a parliamentary investigation into this issue, see the flawed credit system MSE News story.

In the last three years have you ever been given a higher rate than you applied for?

A. Yes - on many occasions. - 25% (942 votes)
B. Yes - once or twice. - 32% (1208 votes)
C. No - usually been rejected. - 4% (137 votes)
D. No - usually been given the correct rate. - 23% (853 votes)
E. I haven't applied for a loan/card. - 16% (586 votes)

Total Votes: 3726

Voting has now closed, but you can still click 'post reply' to discuss below. Thanks

Enter e-mail to get it:   View Past Emails, FAQ Privacy Policy

[Paul_Herring]

I'm assuming "Yes - on many occasions" applies to 0% offers?

What about "Dunno - I pay the card off every month so the interest rate doesn't matter?"

[jeanmd]

This brings back memories.
We bought our sofa from one the the large companies giving interest free credit for a year, then paid it off in full at the end of the year. Black Horse (the loan company) would send us through a new loan offer every couple of months.
So when our son needed a new car we went back to black horse for a new loan. We went to the local office and sat there, filled all the forms in. The lovely lady was thrilled to tell us we had been accepted. She told us how much it was going to be a month and as this was a lot higher then expected we checked the interest rate, it had jumped from the 8% we had applied for to 20%
The most amusing thing was when we told her we didn't want it, she was flabbergasted. When we stood up to leave and she told us that if we changed our minds just to give them a call, and we're we sure we didn't want to go ahead because she could process it there and then.
She seemed genuinely shocked that we had turned it down.

[Tom Bradbury]

I once got a loan from the Halifax - the offer rate was 6.1%, I was approved at 6.1% and I rang up to finalise the details. When I spoke to them they told me the payments would be £20 more than the quote on the screen and the APR was 6.4%. I asked why it was different and they said because they were going to offer me as a benefit no payments for three months - I said I didn't want their "benefit" and wanted to pay immediately. They then said the APR would be reduced to 6.2% and the payments would now be only £2 more than the quote I got online. Again, I asked why, and they said because they would add the courier charge for sending me the cheque next day on to the amount of the loan. Again, I said don't bother with the courier, just stick it in normal mail, which was free. I still got the cheque the next day. Halifax were increasing my rate and my payments by these "benefits". I thought what was underhand is that they automatically added these "benefits" without asking if I wanted them, so unless you're savvy enough to notice, you would miss it completely and end up paying more money for the loan, including paying interest on a courier charge. In the end, I did get the rate I got when I applied online, but only because I realised what dirty tricks they were trying to pull.

[Rabbithutch]

My son and daughter in law are both employed by a bank with a special eye for ethical banking, they applied for a loan that was under £6,000 and were approved at a rate of 9.5% when they reminded the approving department that they were employees of the bank and as such entitled to a discount rate they were then told that it was felt the loan would overstretch their finances and the loan was refused, how does that work,sounds like a cue for a Bob Dylan song

[finlay666]

Not applied for a loan, got the standard rate when I have applied for my cards and not been rejected