V12 Finance problems!!!!

malex181

Hi all, i was after some assistance on V12 finance! I recently applied for a 2 year 0% loan on a £1500 bike but was rejected by v12 finance. I checked my credit rating and saw an old default that is on my account from almost 6 years ago (october 2008 to be exact). Therefore understand the reason for them not accepting me. So, went back to the shop yesterday and my other half was also rejected by V12 finance, she has a good credit score and I can't understand why she was rejected. We currently rent a property and therefore are not homeowners, does this reflect with V12 finance on their credit scoring? We earn betweeen £30-35k. What if I ask someone else to try and get the loan and I set up a standing order to pay them? Can I ask V12 finance to transfer the agreement over to me, seeing as I'm paying for it!!!! Any hep would be much appreciated!

The_Boss

Neither you nor your other half has a credit score, so not sure how you know whether it is good or not?

Has she checked her £2 statutory Experian, Equifax and free Noddle report to see what data is recorded on your credit file that may have caused this?

Getting someone else to get a loan for you is a minefield for so many reasons so would definitely suggest against that.

Tixy

Most credit providers do take in to account residential status as one of the many things they will assess when making a lending decisions.

If they asked her residential status on the application form then chances are yes they will have considered that (its very unlikely to be the sole reason for a decline).

she has a good credit score and I can't understand why she was rejected.

They will have considered far more than the credit reference agencies look at when calculating a score for her. What existing credit accounts does she have? does she have any debt currently?

Generally it not advisable to take out credit on someone else's behalf as they would become legally responsible for the debt. If someone was prepared to make the purchase for you and was able to obtain the credit then the risk would be theirs.

Another option might be for your girlfriend to see if she can get accepted for a credit card with 0% on purchases which could be used to purchase the bicycle.

malex181

thanks tixy. My girlfriend doesn't have any debt apart from using a next catalogue. I think the credit card option is good but not sure that she would get £1500 credit on that straight away? These usually have to be built up over time don't they?

what i find annoying is that you aren't given a reason for the decline, it's totally unfair. I also find it's ridiculous for such a small amount of money that they have to be so strict - especially when I can easily afford it. Finance companies are all a-holes.

The_Boss

malex181 wrote: »

thanks tixy. My girlfriend doesn't have any debt apart from using a next catalogue. I think the credit card option is good but not sure that she would get £1500 credit on that straight away? These usually have to be built up over time don't they?

what i find annoying is that you aren't given a reason for the decline, it's totally unfair. I also find it's ridiculous for such a small amount of money that they have to be so strict - especially when I can easily afford it. Finance companies are all a-holes.

They can't tell you why; otherwise there would be people who would provide false responses to the questions in the application because they know it means they will receive the credit if they knew what the acceptance criteria was.

Tixy

0% finance agreements are usually relatively harder to get accepted for. They tend to only accept people they consider low risk.

Cards that offer 0% on purchases would also be likely to have offer a credit limit in excess of £1500. It tends to be subprime cards that have lower limits, and they don't have 0% promo deals. Do you need to borrow the whole amount? or if she was offered a smaller limit do you have savings you could use for the remainder?

She could try the eligibility checker on MSE to see if she may be likely to be accepted for a credit card. http://www.moneysavingexpert.com/credit-cards/best-0-credit-cards#preapply

I also find it's ridiculous for such a small amount of money that they have to be so strict - especially when I can easily afford it.

It sounds like you have not been declined due to affordability, but rather due to your past credit history.

matttye

Do you have any joint accounts? If so a financial link will have been created and your bad credit history will impact her as well.

BillJones

malex181 wrote: »

thanks tixy. My girlfriend doesn't have any debt apart from using a next catalogue. I think the credit card option is good but not sure that she would get £1500 credit on that straight away? These usually have to be built up over time don't they?

what i find annoying is that you aren't given a reason for the decline, it's totally unfair. I also find it's ridiculous for such a small amount of money that they have to be so strict - especially when I can easily afford it. Finance companies are all a-holes.

If a company doesn't want to do business with you they have no obligation to tell you why, and they know that doing so would lead to arguments that they have no interest in having.

As to your belief that it's a small amount of money, if it really is immaterial to you, then why do you need to borrow it?

If it truly is a small amount of money for you, then save up for a couple of months, and buy it outright.

Edi81

When I worked as an hp underwriter on cars we would almost always refuse applications if we had already declined a financially linked person for the same vehicle etc.