Loan application rejected due to employment probationary

mrobbo

Hello, I applied for a loan (car purchase) but application was rejected as I have recently started a new job and am two months into a 6 month probationary period.

What loan providers out there do not factor in length of service in current employment?

Thanks.

DCFC79

mrobbo wrote: »

Hello, I applied for a loan (car purchase) but application was rejected as I have recently started a new job and am two months into a 6 month probationary period.

What loan providers out there do not factor in length of service in current employment?

Thanks.

How much did you apply for ?

Got any savings you can use to buy a used car ?

mcpitman

mrobbo wrote: »

Hello, I applied for a loan (car purchase) but application was rejected as I have recently started a new job and am two months into a 6 month probationary period.

What loan providers out there do not factor in length of service in current employment?

Thanks.

Not many that don't wear !!!! Turpin masks. If they did they would generally load the APR on a a "rate for risk" basis.

As a lender you need to be sure someone can make those repayments for the term of the loan, being permanently employed is part of that.

If you are on probation your employer can probably "get rid" at very short notice, hence the risk to a lender.

MEM62

mrobbo wrote: »

What loan providers out there do not factor in length of service in current employment?

Probably very few. However, I think the bigger issue will be the fact that, until you have successfully completed your probationary period, your employment is viewed as insecure.

mrobbo

Thanks all. I'll sit it out until I'm truly permanent. No savings to fall back on. The car can wait

mcpitman

mrobbo wrote: »

Thanks all. I'll sit it out until I'm truly permanent. No savings to fall back on. The car can wait

Good shout. I would suggest attempting to save £x per month (whatever you deem your repayment will be on a loan). This will goive you an idea of if the loan is affordable for you prior to comiiting.

Also it may reduce the amount you will want to borrow.

MEM62

mrobbo wrote: »

Thanks all. I'll sit it out until I'm truly permanent. No savings to fall back on. The car can wait

You have no savings? Prudent thinking is that if you cannot afford to save you cannot afford loan repayments.

Start saving. That way you will be used to being without the money you will be paying on the loan.

Also, if you have no savings, how are you going to deal with the costs of running a car such as insurance, servicing and unplanned repairs etc..?