Assessment of affordability

PoTsyGirl74

Does anyone know if banks are obliged to keep records of the assessment of affordability carried out at the time an unsecured personal loan is offered?

Tixy

They are not.

In terms of an application - they would only be required to keep an application form (or its equivalent data) and a copy of the original agreement.

I would expect usually there never is any paperwork of a 'record of the assessment of afforability'. Just numbers fed into a computer that makes an overall automatic decision based on all the data given (not just on affordability but on all risk factors etc).

PoTsyGirl74

Tixy wrote: »

They are not.

In terms of an application - they would only be required to keep an application form (or its equivalent data) and a copy of the original agreement.

I would expect usually there never is any paperwork of a 'record of the assessment of afforability'. Just numbers fed into a computer that makes an overall automatic decision based on all the data given (not just on affordability but on all risk factors etc).

Ok thank you Tixy. Would they be able to provide the information that was fed into the computer though as proof that a person's circumstances were taken into consideration at the time of the application then? Would that be available to the customer to see in hard copy?

If they've only got the loan agreement and absolutely nothing else, no application form as it was a telephone sale, is that considered enough to prove that they based their decision to lend fairly?

chanz4

Take it they are trying to get out of it?

Apples2

PoTsyGirl74 wrote: »

If they've only got the loan agreement and absolutely nothing else,

Did you "ONLY" spend it?

maginot

What do you mean treated you 'fairly'?
Banks can lend to who they want, the affordability/credit checks are for them to reduce risk not for the borrower to see if they can afford it! Did they give you the correct APR rate, is the monthly payments and the number of payments tally with what you signed. If yes, then they have treated you fairly.

If you don't think you can afford to make the long term payments, perhaps you could give the money back and end the agreement.

PoTsyGirl74

what a shame a question can't be asked without people jumping to their own conclusions :rotfl:

thanks for the comments:)

DCFC79

PoTsyGirl74 wrote: »

what a shame a question can't be asked without people jumping to their own conclusions :rotfl:

thanks for the comments:)

Well since the info was slightly lacking in info what do you expect.

Apples2

PoTsyGirl74 wrote: »

what a shame a question can't be asked without people jumping to their own conclusions :rotfl:
thanks for the comments:)

Pretty much every post you have made on MSE has suggested you should be reimbursed for anything you (or your partner) have ever signed up to.

You're a well seasoned member of the claims brigade. Are you seriously suggesting this post is anything different?

chanz4

yeah shes paying it