Car finance credit check process ...

arambol

Hi guys,

I'm looking to finance a car through a PCP finance loan.

I was just wondering what they check?

I know they search my credit file which includes Equifax/ Experian or Call Credit files and I have access to these but do they also search you bank account and employment history?.

Equifax, Experian etc don't seem to even have my current bank account details or any of my savings accounts listed. It only shows my debts/ borrowings. Doesn't really tell the whole story.

So how do the car finance companies check your bank account and savings accounts... if they do at all? .... and how do they check your employer?

Many thanks.

~Beanie~

They don't check your bank account, they may ask you to provide them with copy statements but thats about it. As for your employer, they will probably just ring them and check that you actually work there!

arambol

So how do they make a decision in seconds or just a few hours?

They can't see what you earn or the state of your bank account just from the credit file. I don't really understand why your borrowing information can be sufficient information to get finance. Surely your incomings are more important but that's not displayed.

Robert_Sterling_3

CRAs are there for the benefit of lenders. They do what they can. Maybe it is rough justice. It is the lenders who are paying them not the borrowers.

CLAPTON

when you apply for finance you usually have to supply iformation about income and employment... the CRA checks only contain your debts (sometimes this include information about your OD and will not include any information about your savings.)

BenL

Savings accounts are pretty basic accounts and don't have credit facilities so they are not output to the CRA's.

Not possible in this circumstance for car finance but this is one of the reasons when going for a standard unsecured personal loan you would go to your bank initially as they have more information available on your general banking/saving conduct and can assess you more effectively.