Loan Acceptance Criteria

chunder69

I applied for a loan of over £15k which had an APR of 6.8%. They agreed the loan but after completing all their checks offered it to me at 9.6%. They wouldn't say exactly why they couldn't offer me the 6.8% but said if I find it cheaper elsewhere they would better that offer.
However is it worth applying again elsewhere as the cynic in me says all the banks use the same criteria and I would just get the same offer as this bank? Thanks

[Deleted User]

All banks use different criteria.

pvt

No. Banks use different criteria so it is quite possible you'll get a better rate elsewhere. But beware of making too many credit applications that will be recorded by CRAs, and may actually exacerbate your problem.

My blood boils when any organisation says "if you get a better offer somewhere else, come back and we will improve our offer". It's like saying "We'll take you for what we can unless you find out what a reasonable company would charge". My response is usually to ask "If I get a better offer somewhere else, !!!!!! would I bother coming back here?"

bigadaj

pvt wrote: »

No. Banks use different criteria so it is quite possible you'll get a better rate elsewhere. But beware of making too many credit applications that will be recorded by CRAs, and may actually exacerbate your problem.

My blood boils when any organisation says "if you get a better offer somewhere else, come back and we will improve our offer". It's like saying "We'll take you for what we can unless you find out what a reasonable company would charge". My response is usually to ask "If I get a better offer somewhere else, !!!!!! would I bother coming back here?"

Well it's a reasonable response from a business perspective, no different to looking for a car and haggling an d then coming back after getting a. Better deal at another garage.

It woud. Concern me about their processes though, as this statement indicates that they don't really trust their own credit scoring.

Thrugelmir

chunder69 wrote: »

However is it worth applying again elsewhere as the cynic in me says all the banks use the same criteria and I would just get the same offer as this bank? Thanks

Banks will constantly change their criteria.

Much depends if they want to lend or not at the precise time of application. As they'll only be so much money available at given rates to borrowers who qualify.