bank credit rating. a little rant

almost_there

I was looking to get a buy to let mortgage this year. I was going to go to my own branch,maybe not now. Read this little gem!!

Went to bank last week(bank of Scotland) don't know why,but still had a dormant account with 2p in it!! I asked for it to be closed!

I was informed that there was an indication on the account so it might take a wee while! The teller told me that the indication was from when I had a few problems 10 years ago and had to deal with collections!

He told me that this wouldn't affect my credit file at all, I have had credit it last few years so this appears to be true!

Then the bombshell! The account is now closed and the indicator has been removed,but it has to go back on and as since you've had dealings with collections, it looks like for the foreseeable that we will not offer you any credit facilities

I do have an overdraft from years ago though,which he says is ok!

So much for it not affecting me! A clean credit file,but obviously not in my banks eyes,a change of bank may be happening. But I will set it up and not transfer,as the indicator might be told to my new bank if I use a transfer service.

Banks don't you love them!

Thrugelmir

almost_there wrote: »

Banks don't you love them!

Nothing to do with banks per se. This is business. Any business can choose who they deal do or don't deal with. Once bitten twice shy as the saying goes.

Ant.Evs

I Kind of agree with Thrugelmir. I have had problems with money with my bank in the past. They do now offer me full credit facilities but if they didn't i couldn't blame them.

If you lent money to someone and they didn't pay it back or took longer to pay it back than agreed i am sure you would be reluctant to lend to them again also?

Move banks especially if all your credit history is now ok

Hope this helps

sirwiggum

But then if you move banks, you're less likely to get a mortgage as your current account isn't that old!

I pointed this out once, on the board, as a scandal, only to be shot down in flames. Bah!

Ant.Evs

sirwiggum wrote: »

But then if you move banks, you're less likely to get a mortgage as your current account isn't that old!

I pointed this out once, on the board, as a scandal, only to be shot down in flames. Bah!

Keep the existing account open also. no need to lie when it comes to the banking question then :-)

sirwiggum

Ant.Evs wrote: »

Keep the existing account open also. no need to lie when it comes to the banking question then :-)

Good call, though within the last couple of years I had banks contact me wishing to close dormant accounts. I think they're clamping down on this.

Ant.Evs

Just setup one cheeky direct debit from said account or use it as a small savings account to forget about. I.E tenner a month that you wont notice. Comes in handy at Christmas :-)