Car Loan

tasha51179

Hi I wonder if someone can help me?

I am due for my current loan for my car to be finished in April 2012 when it is my intention to pay it off. I have been contacted during December 2011 by the sales man who asked if i would be interested in getting a new car from them. I said i wasnt and told him my intention to pay off the outstanding blalance at the end of my loan period.
I have today however received a letter from their finance company to say that my recent application on 24th January 2012 for a brand new car has been declined - I have not asked them to credit check me or asked them to apply for a loan. Is there something that can be done on this? I have telephoned them and all they have said is oh sorry but it wont affect your credit rating that much!!!! Will it?

Also am i right in thinking this is fraud? And against the Data protection Act?

Thanks anyone and everyone!!

Tasha51179

Tixy

Have you checked your credit files to see if a credit application has been made?

I'm not sure its fraud but it certainly shouldn't have been done. If a lender has made a search of your file then I would write to them to say that it was not authorised by you and that you want it removed from your credit file(s) - and copy in the dealer.
I'd also write a letter to the dealer (if you know who it was that called you) to make a formal complaint.

tasha51179

Thanks for replying to me!
I have checked my file and they have done an application check for £14000.00.
Thank you for the advice.
When i spoke with the salesman in December i explained to him that i do have a poor credit rating and that even if i wanted a new car i would be declined due to my bad credit rating. But it looks like they went ahead anyway!
I will certainly take your advice and get some letters out to them.

Do you know if it will have affected my credit score in a big way?!

Tasha51179

Tixy

It won't have - to any other lenders it will simply show as a credit application. It doesn't actually show that you were rejected.

Its advised not to have lots of applications close together as in the short term this can impact on your chance of getting credit, but after a few months it should have negligible impact on your file.

That said I'd still want it removed on principle.

iolanthe07

What a bloody nerve. I would write to the pincipal of the dealership in very strong terms.