Alliance and leicester rip off

centurion_36

I applied online for an alliance and leicester(santander) personnel loan last week and recieved an email within minutes saying id been successful and they would send me the application to sign and return. The loan was the best interest rate i could find online 6.9%. I recieved the documents to sign but they had changed the rate to 14.9%. I phoned them up and they said that they had given me that rate because of credit rating and they could not give me a better rate than that. I know i have a very good credit rating as i had checked with equifax which rate me at 490 and experian i have a rate of 928. I told them to stick the loan and phoned up my bank the cooperative whose rate is 9.9 for new customers but they reduce the rate for current account holders by 1%. After filing out the questionare they reduced the loan to 8.7. My advice is dont except the bad rates that banks try to rip you off with. The santander loan was nearly £2000 dearer over the term

Dabooka

Firstly your scores from Experian and Equifax mean squat, so stop paying for them.

I suspect you may have applied for their "typical" rate of 6.9 but been accepted at the higher rate. This is a common mistake. Be happy with the 8.7% as that's a good rate anyway

centurion_36

The experian rating was free and got me £5 quidco last month the Equifax rating cost me £5.95 but am waiting for £10 cashback thru quidco. Cancel them 30days after sign up so no charges

ViolaLass

<silly post, please ignore>

YorkshireBoy

Presumably both [STRIKE]scores[/STRIKE] dreamed up numbers are out of a 1000? If so, why is the Equifax [STRIKE]score[/STRIKE] dreamed up number only half that of the Experian [STRIKE]score[/STRIKE] dreamed up number? Do both reports contain identical information?

centurion_36

The scores are real scores that i got in the last two months and yes they are out of 1000. The information on both sites were identical. I dont know why the difference

YorkshireBoy

centurion_36 wrote: »

The scores are real scores that i got in the last two months and yes they are out of 1000. The information on both sites were identical. I dont know why the difference

So, we have two CRAs, each possessing identical information, and they can't even agree on a number. One thinks you're supadoopa, the best thing since sliced bread, and the other totally disagrees and says you're distinctly average!

There we have it. Confirmation that these scores really are dreamed up numbers. Thank you for confirming my point.

SnowTiger

centurion_36 wrote: »

The scores are real scores that i got in the last two months and yes they are out of 1000. The information on both sites were identical. I dont know why the difference

They probably use different formulas to calculate their score.

And lenders will use their own (different) formula too.

ViolaLass

YorkshireBoy wrote: »

So, we have two CRAs, each possessing identical information, and they can't even agree on a number. One thinks you're supadoopa, the best thing since sliced bread, and the other totally disagrees and says you're distinctly average!

There we have it. Confirmation that these scores really are dreamed up numbers. Thank you for confirming my point.

I think Equifax is out of 500, which would make more sense, while not invalidating your overall point.

YorkshireBoy

ViolaLass wrote: »

I think Equifax is out of 500, which would make more sense, while not invalidating your overall point.

It seems it's not, as the OP stated, out of 1000 then. In fact, Equifax say...

Scores can range from 0 to over 600, but the majority of scores usually fall between 300 and 500.

https://www.econsumer.equifax.co.uk/consumer/uk/sitepage.ehtml?forward=gb_cs_cps

Note the last two categories. The descriptions are identical other than the words "good" and "excellent". So 200+ points covers the same outcome in that, simply, "...lenders will be more inclined to grant credit".

centurion_36

The equifax was out of 1000 aswell as experian. On equifax i was in the green good area on experian i was at top of scale.There was a month between the two scores but no change in circumstanses

Think what you want yorkshireboy but maybe keep your off topic thoughts to yourself

My point was about exaggerated interest rates to get more money out of people that can get the better rates if they shop around.