Turned down flat for payday loan (self employed)

Kernel_Sanders

When I found myself unable to access my RBS account t'other day due to their computer problems, I became concerned as I had an important manual payment to make the following day. I decided to investigate a payday loan to my other current a/c in case things didn't get resolved in time, but was stunned to find I was turned down in seconds. I'm self employed, stating monthly income of £1100. The loan would have been £300 for 30 days. I've never missed a month of a 14 year mortgage and always pay the CC in full each month, and have no loans or debts. I did have an issue several years ago when I had cc limit reduced after 2 missed payments, but this was due to a delay in RBS implementing a direct debit that I requested for paying.
Could anyone suggest a reason for this, please ?

Tixy

Perhaps the particular loan company you applied to doesn't offer loans to self-employed people?

Failing that how recently were you last accepted for new credit? and if not recent how recently have you reviewed your credit files?

pjread

You're not their target market and they can't see you rolling the loan over for 5 years at extortionate interest?

Personally I would advise keeping a little cash in your other account - I only adhere to that to the tune of about £500-600, but have access to funds elsewhere if that were insufficient and times were desperate.... (the rest gets thrown at the mortgage!)

worried48

It's because you're self employed. I found the same thing when I needed a PDL over a year ago. What I did was to put down the name of my business as my employer, that worked with Wonga.

Kernel_Sanders

worried48 wrote: »

It's because you're self employed. I found the same thing when I needed a PDL over a year ago. What I did was to put down the name of my business as my employer, that worked with Wonga.

That's fine if you pay tax through the PAYE system monthly as an employee of your business, but I don't. Wouldn't that be obtaining a loan by deception, i.e a criminal offence?

worried48

Well, I only ever took two, paid one back within 5 days and the other in 4, so it wasn't ever going to be a matter of having to prove it, but technically, perhaps. I hadn't actually thought of that. There seem to be plenty of people who take them out despite not having jobs at all!

xgingerx

Hi, Wish Id been turned down, would have saved me thousands and years of heartache

heartbreak_star

xgingerx wrote: »

Hi, Wish Id been turned down, would have saved me thousands and years of heartache

Me too.

HBS x