Any advice on shifting A.P.R. by Alliance and Leicester?

Jon_Blacker

Hi all,

I guess this is fairly light weight compared to most of your concerns, but I recently applied for a personal loan at A and L, which had a "typical" APR of 6.3%. This low APR was my sole reason for applying to this bank so imagine my surprise when the loan papers landed on my mat with an APR of 12.2%! I'd love to know what your credit scoring is like to be "typical". I've a four star rating with an above average income with just one late payment (just on the six year ago mark) oh maybe me not being a home owner and the loan being for a wedding might be against me, but are you telling me that to be "typical" you have to own your home? (a joke as a fair proportion rent). Does anybody know if it's possible to contest this rate as I feel as a "typical" consumer I've been misled by their highly competitive APR?

BoGoF

Can I ask who gave you your "4 star" credit rating?

Only 51% of people need to get the advertised rate before it can be called "typical"

Jon_Blacker

Hi Bogof

Yes it was CheckMyFile.

BoGoF

The problem is they don't lend money and that score is at best a rough indication, at worst a pile of poo.....

What is your 'above average' salary and what other debts do you have? Are you on the voters roll?

Jon_Blacker

About £30000 per year with about £6000 debt, I am on the voters roll and have a very clean credit record. The trouble is I can't see a way of pursuading them to give me a realistic rate as it's all assessed so clinically.

BoGoF

You didn't say how much you were borrowing but total debt 50% or over of income then the perceived risk increases so asking for a loan of £10,000 would push you over that 50% risk point.

In addition if any of your existing debt is credit cards with available credit then that again means your potential debt is even higher.

Jon_Blacker

This at least makes sense. I've always thought if they detailed their typical acceptance criteria it would make life a lot easier for everyone, but I guess that's commercially risky for them

many thanks for your help it's much appreciated.

J

~Brock~

What APR were 'Checkmyfile' offering you?

Exactly.

They are not a lender therefore the credit rating they 'give' you is completely meaningless.