Credit File

Charic

My 20 Yr old Son has discovered that he cant afford the Car he would like as a New Driver without some form of cash injection to his Bank account. He needs a loan! He's lowered his ambition and has decided to start with a cheap and cheerfull for his first motor, therefore a personnal loan was applied for online for £3k. This would cover the very expensive insurance and the cost of the 1st car.
The loan was refused? We quickly viewed `Experian` which only confirmed our thoughts, so re-applied on-line to our own Bank. Refused?
It would appear from the Bank that he may not have a substansive `Credit File`
My Son pays out £200 a Month on Rent and a Mobile contract, and thats it! He's on £12k pa.
Were not applying further online, just yet, and will need to go into the Bank and speak with the agents there, but what advice is there for my Son to help increase his ability to further apply for the so much needed funds, and to better his credit file to improve the chances of getting a loan in a few Months. (Dont say borrow from Dad!)

iolanthe07

Make sure that he is on the Register of Electors (sometimes erroneously called the Electoral Roll). This will make a big difference. Multiple applications will go against him, though, and his best bet may be to save up - it really is so much more satisfying to do it this way and a good life lesson.

stephane_2

If out of is 12k a year and only paying £200 rent & mobile phone, maybe you should ask him how he spends the rest of it.
Maybe he should start saving a bit more

Charic

iolanthe07- Ok He`s registered.

stephane- ok £12k GROSS He's about £800 pcm, Sociable and buys his own clothes ect. But get your point!

Charic

Ok ...Thanks to those who replied. Ive just found Martins 'Credit rating - How it Works` information and have pointed my Son to this link which is mighty helpfull. So thanks again, and no more replies required.

(Mods= pls remove this link if required)