irresponsible lending??? Need some advice

iceman28

Hi,
I have a loan which is currently being disputed due to myself never being credit checked when loan was agreed. I received the funds, but loan wasn't put into my name, I wasn't credit checked due to mistake with lender - which they have admitted to, however they seem to be struggling on what they can do to resolve the issue....

I haven't been making any payments due to the investigation, they asked me not to pay until resolved. I know I will struggle when I have to start repaying, but where do I stand? As I was never credit checked, and I believe I am already up to my limit of available credit, have they lent me the money irresponsibly?

Anyhelp/advice is appreciated.

Thx in advance

byebyedebt

If they haven't credit checked you thats their problem. Its their procedure to help stop fraud and to assess in their own eyes if they want to lend to you. Its not your route out of paying your loan. If you are an existing customer banks dont always run a check on you.

Why are you not making payments. You borrowed the money. Are you in genuine financial difficulty or are you trying to avoid paying back your loan.

Who says you are up to your limit? Thats the choice of the lender.

Why have they asked you not to make payments. thats barmy. I have never heard of a lender saying dont pay me. Is this some sort of TROLL post.

iceman28

Hi byebyedebt,
Many thanks for your comments..... I am not an existing customer of the bank in mention, have never banked with them. My brother however is, and it is him who has had this loan put into his name. It is showing on his credit file, but not on mine.... On my credit file, viewed under experien it shows your amount of available credit, which is currently at something like £500 available, that is without this loan in mention. The reason the loan hasn't been paying paid is due to the bank saying I MUST not make any payments until the issue has been resolved by them. That came from their customer relations manager for the area.... this has been ongoing for 7 months now! We have both raised complaints, we get told we will hear something by said date - we never get a response..... almost like they do not want to deal with the issue.....

Cheers

byebyedebt

I wish my bank would say dont pay!

Im a little confused. I could be misreading this, but are you saying your brother took out the loan, but there was a mess up and its on your account? If so, is it a joint loan? Are you financially connected with your brother?

The experian "amount of credit available" normally refers to the credit that you have available from existing accounts. Ie You have an overdraft of £1000 but are only using £500 then Experian would report £500 credit available. It also reports how much you are using as an overall example expressed as a percentage. It doesnt mean that you can only get £500 of credit, thats down to different lenders.

CLAPTON

what happened to the money that was borrowed?

iceman28

Hi byebyedebt,
No, it's the other way round. I applied for loan, received the money, but it eventually came to light that the loan was credit checked against my brother and the loan applied to his banking account held with them, as he banks with them.... (They have admitted it is on his credit file)! It isn't a joint loan, which if they could find the signed agreement would show this - however they can find no credit agreement for the loan. Myself and my brother are not financially linked in any way!

Sol00

CLAPTON wrote: »

what happened to the money that was borrowed?

Why is that relevant?

byebyedebt

Interesting. However, I would still say that if you borrowed it, the fact that you weren't credit checked doesn't make a difference. Sorry!

Morally you owe them the money. Im no expert on loopholes!

However, I think your brother is owed an apology and a goodwill gesture. They also need to correct the credit report. Ie Remove his entry. Not sure if they can add the details to your report as technically speaking if you dont have an agreement, they probably dont have a record of your consent to a credit searcdh and disclosure etc.

byebyedebt

Sol00 wrote: »

Why is that relevant?

Its not, but Im sure he is probably interested like I am!

iceman28

It's completely irrelevant as to where or what the money was spent on...... My brother incidentally has received an apology from said bank and a token payment of goodwill, however the letter they wrote advising credit file has been cleared is wrong as he is still receiving letters from them, I have tried calling since he received his letter to make payment, but again was informed they have no record of me, so couldn't make a payment - even though I was told to make no contact until I heard from them. My second complaint is wth them at the moment and have a letter avising of a reponse by the 6th May, which gives them 2 days after the weekend to give me a resolution so I am not hopeful.....

anniecave

do you live at the same address as your brother? Do you share the same surname? do you have some initials in common?

eg you are ab smith and he is ac smith for example?

so they credit checked the wrong person but lent you the money anyway?