The Sub Prime Credit Thread - Part V

izools

never-in-doubt wrote: »

The Insight/CAIS feed only shows restrcited account data from other lending - it does not pull in search history data nor CIFAS/N Hunter activity.

ALL lenders perform searches - its a fact of the 21st century matey

I see what you're saying, but they do perform searches when you apply for a product that you've not been preapproved for.

If you've been preapproved based on internal scoring then a soft search is generally conducted - I presume you're saying that these searches are not reflective? i.e. they do not happen?

N-I-D when I was in branch today the bloke said I could have the £1,600 overdraft but that he wouldn't put through a credit card application as he can see my pre-approved limit is £0. From his perspective it is a "pre-decline" for a Credit Card until it's a pre-approve.

He said he'll check my account in three months time and call me to update whether or not there's a pre-app credit card limit.

He was of the belief that there's no point applying until there's a limit pre-decided - and this chap seemed to be the most knowledgeable LTSB employee I've ever spoken to.

My OH/EX (whatever) was declined for a LTSB credit card without a credit search because of having a pre-decided limit of £0. No search.

I opened a second (full) current account with them for my weekly allowance. No search.

never-in-doubt

izools wrote: »

Lloyds lend based on turnover and minimum balance so if you regularly empty your account to £0 or thereabouts they'll pre-decline you for everything whereas if you keep a tidy running balance at all times they'll lend based on your average minimum balance each month over the last year. I was in branch today and the chappy kindly showed me all of these different graphs and explained how they tie into their scoring.

He showed me the three main graphs - monthly turnover over last 12 months, minimum monthly balance over last 12 months, and days of the month spent in credit over the last 12 months.

All three need to show no use of an overdraft and a healthy turnover / minimum for them to not CPD you

Mate that does not add up at all - for instance I can point you in the direction of several people (15 that I know of from my UE thread) who will all confirm they were heavily overdrawn or similar and still got credit - no CPD on them

I'm just trying to sort out fact from fiction here - that is all. Also the branch staff do not know how their credit scoring works, nobody does - it is a trade secret for all lenders, you know this right?

Final point, why give an overdraft if that means you'll get a CPD as a result - that to me is extremely bad assessment of credit worthyness, like my mate who has £50k upwards in a savings account but always runs his Lloyds account within the pre-agreed overdraft.... his credit card is a limit of £15k and he always gets offered loans etc.....

never-in-doubt

PROLIANT wrote: »

I have tried getting an account with HSBC for the last 10 years - computer say no each time.

How weird - why? Have you ever banked with them before? If not then why not go into branch one day and apply, they should overturn the decision if pooter says no - branches (HSBC only) override most automated processes.....

In fact I think I told Sutton the same and when he went in to complete, it was all hunky dorey

izools

never-in-doubt wrote: »

Mate that does not add up at all - for instance I can point you in the direction of several people (15 that I know of from my UE thread) who will all confirm they were heavily overdrawn or similar and still got credit - no CPD on them

I'm just trying to sort out fact from fiction here - that is all. Also the branch staff do not know how their credit scoring works, nobody does - it is a trade secret for all lenders, you know this right?

Final point, why give an overdraft if that means you'll get a CPD as a result - that to me is extremely bad assessment of credit worthyness, like my mate who has £50k upwards in a savings account but always runs his Lloyds account within the pre-agreed overdraft.... his credit card is a limit of £15k and he always gets offered loans etc.....

All I can tell you is what I've been told by a branch manager, what I've seen on their system, and what I've experienced / witnessed myself.

Chances are things have changed as of late. Who knows? This is what I've witness in any case.

In regards to "why give an OD if CPD will result" -

If you use £145 of a £150 overdraft every month without fail you'll get a CPD.

If you use, say £200 of a £900 overdraft for one or two months of the year but keep a healthy running balance other months you probably won't. It's obviously a sliding scale scenario but you get my gist.

They also look at for how many days of the month you're overdrawn, so if you're in credit for 29 of 30 days of each month you'll score higher than if you're in credit for 5 of 30 days of each month.

sutton111

izools wrote: »

Yes indeed although AFAIK that doesn't play such a major part.

The chap was more concerned about the graphs I mentioned than my credit file when suggesting to this credit whatever team that the CPD marker be removed

Sorry to bad on!! lol

So these three graphs are their way of determining everything then?

So basically. Keep up repayments outside of Lloyds, but also don't go overdrawn, return cheques and always use your debit card. Like most banks then!

So if I did have a CPD. I'd have to run the account properly for 3 months and then ask them to remove it by going into the branch. I know it's all hypothetical, but it's good to know.

PROLIANT

never-in-doubt wrote: »

How weird - why? Have you ever banked with them before? If not then why not go into branch one day and apply, they should overturn the decision if pooter says no - branches (HSBC only) override most automated processes.....

In fact I think I told Sutton the same and when he went in to complete, it was all hunky dorey

No Passport or licence.
That is why I apply online for financial products as I get ID'd electronically.

I will hang on for a bit, at the end of the day my loyalty is with the bank who gives me the financial tools I need, if they huff me I vote with my feet - hence so many accounts.

sutton111

never-in-doubt wrote: »

How weird - why? Have you ever banked with them before? If not then why not go into branch one day and apply, they should overturn the decision if pooter says no - branches (HSBC only) override most automated processes.....

In fact I think I told Sutton the same and when he went in to complete, it was all hunky dorey

Yes, you did tell me that!!

Try it P. But see how Lloyds go first!

never-in-doubt

izools wrote: »

N-I-D when I was in branch today the bloke said I could have the £1,600 overdraft but that he wouldn't put through a credit card application as he can see my pre-approved limit is £0. From his perspective it is a "pre-decline" for a Credit Card until it's a pre-approve.

This would be unfair to say the least and the Banking Code would prohibit such action - really mate, the guy you spoke to is a blagger and a half - you need to think about this and realise how things simply do not add up.

A graph plays NO part in scoring, it can't! Maybe it is what they assess a possible guaranteed decision on - but is in no way exhaustive mate :rotfl:

izools wrote: »

He said he'll check my account in three months time and call me to update whether or not there's a pre-app credit card limit.

Course he will - commission mate :money:

izools wrote: »

I opened a second (full) current account with them for my weekly allowance. No search.

No credit on the second account I presume? Just a current account? In which case they wonder now why i'm now getting half their accounts deemed unenforceable then :rotfl: :rotfl: :rotfl:

I'd love for one of the employees to come and confirm all this - there are a few on here, i'll send some PM's and ask them to post here

sutton111

PROLIANT wrote: »

No Passport or licence.
That is why I apply online for financial products as I get ID'd electronically.

I will hang on for a bit, at the end of the day my loyalty is with the bank who gives me the financial tools I need, if they huff me I vote with my feet - hence so many accounts.

lol

I have too many bank accounts too.

I need to close my Yorkshire one, Abbey and Barclays. The 2 latter are easy, but I think i'd write to Yorkshire to close mine there. I don't fancy a 120 mile round trip! :rotfl:

never-in-doubt

izools wrote: »

In regards to "why give an OD if CPD will result" -

If you use £145 of a £150 overdraft every month without fail you'll get a CPD.

Ok mate that alone and in itself is a direct breach of banking Code - can you confirm the branch you went into and the idiots name you spoke to (via PM) and i'll report them.

If you are within any agreed limit then no derogatory internal or external data may be recorded against you. Thing here is they cannot play devils advocate by giving you a product and penalising you for using it!

Kinda like having a £10k card limit, owing £9k then being CPD as a result IYSWIM?

Hey by the way, i'm not arguing with you mate - just trying to establish the facts (as I said) :beer: