Few Questions About Loan (Credit Score, Reason)

mantis1

Hey all!

So, I want to get a loan to emigrate. Yes, I DO intend on paying it back.
However, I have some questions and concerns...

1) My Experian credit score is 908 with 1 small defaulted debt on file, what kind of loan can I expect to get? I guess an unsecured loan is my best option.

2) Should I tell them I want to emigrate? I feel like they won't like this. Maybe I should say something else?

Advice needed, thanks!

[Deleted User]

So

1). Your score is fictional. Any credit will depend on your credit files, not a magic number.

2) Not telling them the truth reason for the loan would be fraud.

So.

DCFC79

Why the need to get a loan, can you not save up ?

lynz68

Your credi score means nothing nobody sees it but you. Credit history and the ability to pay it back is what matters.

The fact your going abroad is a big no no. Telling them anything else would be fraud.

The fact you have a default, would be an issue anyway even if you weren't emigrating.

[Deleted User]

Agreed with the above

PeacefulWaters

No chance of getting an unsecured loan for this.

Like you'll give an honest forwarding address!

AndyPix

I have to pipe up here ..


I see it banded about again and again on this forum that credit score from experian is meaningless.


I know where you are coming from


But i think this is false information as it is far from meaningless.


The score that experian give you is not meaningless atall, it is a score that they compile from the analysis of your credit file.
I know that experian do not lend money, but they will give similar weight to each aspect of your credit report that loan companies do.
No , it wont be exactly the same as i am fully aware that each company has their own criteria etc etc


But rather than being totally meaningless, it is rather a benchmark as to the overall healthiness of the contents of your file.


I think we can all agree, that if your experian "score" is sub 100, then you have zero chance of obtaining credit , whreas an experian "score" of 999 indicates a healthy credit file and chances are you will get credit easily
Yes, there will be exceptions - and no it is not difinitive.


But it is FAR from meaningless


/rant

Pixie5740

Really? Even though people with bankruptcy on the Experian file have managed to achieve a score of 999?

Besides your credit history, note that's history not score, is only one part of the application for a loan or a mortgage.

AndyPix

Im talking in general terms and i think you know what i mean ..


Too many times i see an abrupt answer that just barks "ignore your score, it is meaningless" without the appropriate explanation.
Followed by multiple (same) people thanking the posts ..


Like I say, i know what you mean, but it is misleading to say it is meaningless as it is an indication as to the health of the file in general.

Pixie5740 wrote: »

Besides your credit history, note that's history not score, is only one part of the application for a loan or a mortgage.

Agreed - However the score is an indication as to the state of the history.

Pixie5740 wrote: »

Really? Even though people with bankruptcy on the Experian file have managed to achieve a score of 999? .

Citation needed

Candyapple

Pixie5740 wrote: »

Really? Even though people with bankruptcy on the Experian file have managed to achieve a score of 999?

AndyPix wrote: »

Citation needed

Prime example: https://forums.moneysavingexpert.com/discussion/4099257

Post #10 is really good on this thread:
https://forums.moneysavingexpert.com/discussion/3158508

And from the FOS's mouth: Experian admit their "credit score" is pointless since lenders don't see it
https://forums.moneysavingexpert.com/discussion/4858881


Don't forget that not all lenders report to all 3 CRAs, so someone who has a default/CCJ it may only have been reported to Equifax - hence they are given a 999 (or similarly high) score with Experian and then come on here crying about '999 credit score but keep getting rejected!'.

AndyPix

Thanks CandyApple - I had to chuckle at that thread


Well obviously there are exceptions then and I would guess that there is some kind of technical issue at play there - We didnt actually see the credit report in question did we ?? Perhaps the 6 defaults had dropped off that month .. who knows ..


I stand by my assection that the experian credit score, whilst not being a universal score used by lenders, does serve as a benchmark of how you are likely to be viewed by these potential lenders


And is FAR from meaningless - as it is posted as time and again