Son can't get a bank loan for love nor money

silkyuk9

My lad is in the army. 2 years ago he managed to get a bank loan for £3000 for a car from his bank, RBS. Anyway, he has paid it off no trouble but unfortunalty wrote his car off over Christmas in the bad weather.

He went to his bank to get another loan to buy another car, this time however 'The computer said no'

the bank would not give hm a loan, i spoke to the loan 'seller' in his bank and he said its nothing to do with him its the 'computer' if it says no when he imputs all the details then its tough luck.

He said squaddies are bad payers and banks do not like to give them credit, which seems unfair as every soldier in the army is being discriminated.

My son has also been refused credit by stores such as Comet, and Curry's for a tv or a ps3 (buy now pay later)

Anyway, my son managed to get a loan from a garage for a car however I had to travel over 200 miles to sign a paper to gaurentee the loan.

The bank however told my son to change his address back to his home address rather than his barracks, so he has done this.

So any parent who has loved ones in the army or just set out a career in the army, do not get their address on bank statements to his barracks keep you home address. otherwise you will find difficulties when you want credit.

herewegoagain2010

Did your son register on the electrol roll? I think this is normally the main problem, rather than giving the barracks as your address. Not sure how great it is to keep using your home address, because it should be where you reside the majority of the time. It could really complicate things when you need a proof of address, if it's all still registered at home. Most credit applications need a proof of id driving licence etc and bank statement, so you could end up shooting yourself in the foot. Paying for items on the internet with a different delivery address to the card's registered address can be a nightmare. It all becomes far too complicated.

Credit providers look at the risk on an individual basis and payment history, arrears and the electoral register are all key factors. Get him to apply for a copy of his credit rating, to double check there's nothing out of order.

silkyuk9

herewegoagain2010 wrote: »

Did your son register on the electrol roll? I think this is normally the main problem, rather than giving the barracks as your address. Not sure how great it is to keep using your home address, because it should be where you reside the majority of the time. It could really complicate things when you need a proof of address, if it's all still registered at home. Most credit applications need a proof of id driving licence etc and bank statement, so you could end up shooting yourself in the foot. Paying for items on the internet with a different delivery address to the card's registered address can be a nightmare. It all becomes far too complicated.

Credit providers look at the risk on an individual basis and payment history, arrears and the electoral register are all key factors. Get him to apply for a copy of his credit rating, to double check there's nothing out of order.

do you mean electrol address as his barracks or his home, he is on the electrol for his home address but i doubt at his barracks

herewegoagain2010

I think that's why he's having problems then silky. If he is registered to vote at your address, but his bank accounts are registered at the barracks and he then applies for a loan from his barrack address it would explain it. The bank can't confrim his 'identity' at that address and they understandably won't take the risk. I'd still get a copy of his credit report to check what's going on. He might have applied to 5/6 buy now pay later deals in the space of two months and been rejected on each, but the searchs will show and can scare lenders off too. I think he needs to sit down and make sure his admin is in order. I'd get all bank, credit card statements registered to his barrack address along with registering to vote too. Make sure everythig has the right address and ties up properly. Leave it a couple of months before even thinking about any more credit. The positive side is that when he deploys his unit will forward all his mail for him. It's great to see a supportive father helping. I know far too many people who are up to their necks and in trouble, but their parents don't have a clue. x

Alias_Omega

He is probably not on the electoral role, and therefore cannot be found within the uk.

He can complete some forms to elect to be registered on the electoral role, but this brings some downfalls that he will now be eligible to be seen as a resident at that base, and also receive junk post from random companies.

If he is on the electoral role, it wont be till after Apr 2011 at a guess when they update the details.

herewegoagain2010

I think they update the register every few of weeks. We recently moved and I called to ask how long it would be before we were listed at the new address. Our local council said it would only take about 3weeks, but it will no doubt vary on each council. I think the risk of junk mail is far outweighed by being able to apply for credit are start building a credit rating.