Been turned down, is it worth trying again?

snookered_2

Has anyone had success in re-applying for a loan when turned down?
I've just been rejected by the CO-OP on the grounds of affordability and that my finances would be overstretched.
This would be true, if this was for anything other than a reconsolidation of existing debts, but its not.
The CO-OP have the standard statement about checking your Credit Report to see if there is anything amiss and to re-apply if you feel you have grounds for them to reconsider.
I chose the CO-OP partly because of their business ethics but also because Experian said I had A) an excellent rating and B)I had a very good chance of getting a deal with them, What a load of B.....s, I will be cancelling my membership with them, waste of time and money.
I'd be more than willing to let the CO-OP handle the payments to the other companies so that they know that the money is being used correctly, and this would then make my outgoings considerably less, so easily affordable.
Does anyone have any success stories, or would I waste my time in reapplying?

Tixy

This is a common problem for people who want to consolidate. The new loan company cannot guarantee you will use the money to pay off your other debts, or even if you do, stop you running up cards/overdrafts etc again so will always assess the affordability based on all your existing credit and the new credit you are applying for.

Unless anything has changed I can't see why their decision would change if you reapply. Do you have any existing unused credit on your credit report that you could close the accounts or reduce your limits so that your credit to income ratio is lower?

Rafter

You are applying for unsecured debt.

Co-op have no guarantee that you will repay your existing debt and not just borrow more overstretching yourself.

A lot of previous 'consolidators' have done just this, racking up huge losses for the banks on their unsecured lending books.

Unfortunately you are being 'tarred with the same brush' . You may have to 'snowball' for a while or try borrowing smaller amounts before you can get everything left into one simple monthly loan payment.

Good luck

R.