Help Needed!

JonT82

Hi,

Hope someone can help me in case i'm missing the obvious....

I took the girlfriend to see about getting a price on a brace today and was quoted £1700.
The offer finance through Hitachi, so I applied and was refused.

Came home and checked my credit score and report:

- I'm sat on 912 as a score, so sit mid-way in the good score level
- I've got £5500 available credit
- I'm a home owner and on the electoral
- No searches on my report
- All accounts upto date and paid on time for over 2 years

Can anyone see how I got declined?

From what I can see, there are no real issues!

Hopefully i've provided enough info, but if not please ask away!

Cheers!!!

Tixy

How much do you owe in total on your credit accounts?
How much total credit do you have? (the above amount plus the £5500)
How much do you earn? (you need to think about your total credit to income ratio)

When you say all paid on time for the last 2years, have you got anything adverse from older than 2years showing on your report?

JonT82

£32000 - large portion is unsecured loan through northern rock when obtained mortgage (damn 125% mortgage!!)

This is the part that has confused me to be honest - creditexpert.co.uk states i'm using 37%, but then says £5500 available credit

I earn £30000 per year

Missed one payment by a month over 2 years - that was the last time I missed anything

Any adice would be really appreciated!

Cheers!!

Tixy

Think its probably down to your debt to income ratio (and credit to income as well).

People are finding it hard to get new mainstream credit if their total credit is above 50% of their income. Yours is obviously much higher so you will probably struggle.

Missed payment unlikely to be having an effect.

Not sure how creditexpert works out its percentages, unless it excluding the unsecured bit of the together mortgage? only comparing your other unsecured debt to the 5500 available?

JonT82

Thanks for the help - i'll call them tomorrow and see if they can shed some light

Do you think it would likely be the same story if I went through my bank??

Tixy

Your own bank might be more likely to lend to you, they may be able to give you an idea if you would be accepted before doing a credit search at least.

What sort of accounts is the available credit of 5.5k on? could you use this somehow?

Bob_the_Saver

"I took the girlfriend to see about getting a price on a brace today and was quoted £1700."

Surely it's not the grouse season!

AMILLIONDOLLARS

Bob_the_Saver wrote: »

"I took the girlfriend to see about getting a price on a brace today and was quoted £1700."

Hope the girlfriend is soon to be the wife! As after interest those braces could equate to a very expensive set of teeth walking out the door in a couple of months/years time:D

AMD

JonT82

AMILLIONDOLLARS wrote: »

Hope the girlfriend is soon to be the wife! As after interest those braces could equate to a very expensive set of teeth walking out the door in a couple of months/years time:D

AMD

Ha! Tell me about it!!

Tixy - looks like you were right. Including my mortgage, i'm currently sat on 40% debt to income ratio and think 36% is the max you should really be at?

Think i'll clear as much as I can on credit cards over the next few months and then go beg to my bank!

hoggums

You earn 30K and your debt other than mortgage is 32K. There is your answer why you can't get the credit.

That is an absolutely scary amount of debt for someone on your wage and you should be concerning yourself on how to pay this off rather than getting more debt and putting yourself in a situation where you will end up going bankrupt.

JonT82

hoggums wrote: »

You earn 30K and your debt other than mortgage is 32K. There is your answer why you can't get the credit.

That is an absolutely scary amount of debt for someone on your wage and you should be concerning yourself on how to pay this off rather than getting more debt and putting yourself in a situation where you will end up going bankrupt.

25 of the 32k is an unsecured loan, which is part of the northern rock together mortgage and is combined with the mortgage as a payment across 35 years - I beg to differ that i'll be putting myself in a situation where I will end up going bankrupt.

Cheers for your input anyway