Experian updates and a loan application

Tarquinkrikery_2

Hi peeps - total newb, so I'm hoping you may be able to help me out! Sorry for the long post too!

I have access to experian and regularly check my accounts etc. Last time I ordered my score (back in November) it was 972 so pretty good I think.

However yesterday I went to PC world to get a new computer. I thought I would take advantage of the 9 months BNPL - but was declined! I'm really not sure why as recently I have satsified one loan account I had (back in March) and I'm only using 22% of my available credit - I only have a CC and a Next account (with nothing owed).

I wondered if in part it was because I wanted to use my new bank account (3 months) with First Direct (as I am in middle of a divorce so have had to set up a new account)?

Anyway, I was thinking of applying for a loan today with my old bank Halifax as I need a new car anyway. I haven't used Halifax as main account for 2 months (since transfering wages to new account) - but thought they would have a good account of what I earn etc.

Thing is, the website says not to apply if I have been turned down for credit in the past month. My question is two fold....

1)Should I wait a month? It was only yesterday that I was turned down (BH Monday) and would my experian records etc even be updated already? Would the Bank know?
2)Am I sensible to try and use my old bank even though the rate is slightly higher than elsewhere - but given that PC world turned me down?!

Any help really appreciated!

Wutang_2

Tarquinkrikery wrote: »

My question is two fold....

1)Should I wait a month? It was only yesterday that I was turned down (BH Monday) and would my experian records etc even be updated already? Would the Bank know?
2)Am I sensible to try and use my old bank even though the rate is slightly higher than elsewhere - but given that PC world turned me down?!

Any help really appreciated!

Don't do either - firstly get your credit reports for Experian, Equifax and Callcredit and make sure that they are all a.) right and b.) the same.

ignore the score, don't mean any-ting.

Tarquinkrikery_2

Ok Thanks.

I've just signed up to Equifax for free 30-day trial.

It matches Experian apart from an account with HFO services (debt management company from back in 2004 is says it was defaulted in July but settled in August (which it was). But this is nearly 6 years ago - would this be affecting my rating?

Other than that it lists me the same as Experian - i.e another 6 accounts (2 bank accounts, 1 settled loan, 1 Next account, 1 T-mobile and 1 x Halifax Credit Cards). All with no defaults or missed payments.

Interestingly enough - the search from PC world (from yesterday) is showing up already on Equifax - but not on experian.

What should I do then? Should I wait a month now before applying for a loan?

Thanks!

brians_daughter

which credit ref agency shows the default? equifax?

only chance of getting mainstream credit is low.

Possible options are

1. to go with a company who only use the credit agency who show you have a 'clean' file. There is a list somewhere, search 'credit who uses who' it will bring the posts up

TBH if i were you i would hang on until July when the default will disappear from your file completely- this will be one of the reasons you were refused.

whats the rest of your file like? any missed payments? what are your other credit accounts like? How much do you owe in relation to what you earn? How long in job etc

Dont go applying for more than 2-3 products in a month as you will be seen to be desperate for credit

the search may only show on one cred ref agency as they may only search 1, some search all 3 but usually 1 or 2 max

brians_daughter

ps your credit score is meaningless, as you have found out already by being turned down for credit. The only time it would be of any use is if the CRA actually offered credit themselves, they dont, and they never will so it remains useless...you can spend £6 on much better things!

paulmcerlean

Tarquinkrikery wrote: »

Ok Thanks.

I've just signed up to Equifax for free 30-day trial.

It matches Experian apart from an account with HFO services (debt management company from back in 2004 is says it was defaulted in July but settled in August (which it was). But this is nearly 6 years ago - would this be affecting my rating?

Other than that it lists me the same as Experian - i.e another 6 accounts (2 bank accounts, 1 settled loan, 1 Next account, 1 T-mobile and 1 x Halifax Credit Cards). All with no defaults or missed payments.

Interestingly enough - the search from PC world (from yesterday) is showing up already on Equifax - but not on experian.

What should I do then? Should I wait a month now before applying for a loan?

Thanks!

PC World have started using Barclays for their consumer finance, and Barclays only search Equifax, not Experian, thus showing your default as listed on Equifax which is why you have been declined. It should drop off after 6 years which will enable to to apply for mainstream credit.

However, as it does not show on the Experian file, applying for a loan or credit facility from a lender who only searches Experian will yield you a better chance of success. The 'Who uses Who' thread on here explains which lender searches which file.

As already said, no not purchase your credit score - it is not accurate in the slightest and merely a money making tool for the CRAs.

Tarquinkrikery_2

Thanks everyone for the input.

I owe very little in comparison to what I earn a year - less than 10% of my pay. I think since the credit search used Equifax, that it must be to do with the defaulted account showing on it then. I will probably just wait until July/August then until this clears from my credit file and then apply for a loan! Or I'll leave it a month anyway and apply via an bank that doesn't use equifax since that's where the defaulted account is showing.

Out of interest, am I better off applying for a loan via my old Bank anyway since I have history with them (only had new bank account 3 months)? They have a slightly worse rate 9.9% as opposed 7.9% or 8.9% elsewhere, but I'd rather suffer that and get accepted than try via tesco or my new Bank etc and get refused again since that messes up my rating right?

Murphy's law though - I want a new car and what happens yesterday - the fuel pump starts leaking petrol last night and is now in the garage - It's an omen! lol

Thanks again