PCP finished, not sure if I will get approved for new loan.

foxy-stoat

Danielle1985x wrote: »

Hi guys.

So my PCP is over and I am due to hand the car back in a month. I went to the garage yesterday and had a look at some new cars, found one I really like and put a deposit now.

I’ve paid my PCP on time every month for the past three years and never missed a payment. The finance company that I will be applying with, is the same one that I’ve been with for the last three years also.

I ruined my credit history last year by not paying back a Shop Direct account for 5 months in a row. It was about £100. So stupid I know. I’ve been so careful since this and not been late or missed any payments, set up DDs for everything etc.

I am super worried about not passing the credit check. Will the finance company take in to account the fact I’ve never misssed or been late with a payment for them? Or is it just going to be an outright no?

If you have already put a deposit down before applying for the finance then I assume the deposit is refundable if you get a decline.

No way of knowing but as the debt is secured on the car its likely that you will get an approval - if they jack up the interest due to bad history then you may need to re-think your purchase.

Silvertabby

!!!8220; I'm about to buy a new car. The finance rate is 0% APR. I have and continue to save for my pension. I have savings.

Just because YOU see no value in a new car doesn't mean everyone should. Do you buy second hand clothes? I hope so, why "waste" money on something new. Better put some more money in the pension so when you retire you can, er, do what exactly?
Originally posted by camelot1971 !!!8221;

Ditto. We like new cars, and we can afford to buy them. We don't, however, waste £2k or more a year on holidays. Horses for courses.

Gingina

!!!128518; oddly enough, most (all just about) manufacturer Finance houses use this useless random number generator for borrower profiling and errr making decisions on car finance.
Which, given the OPs query, makes it rather relevant to have checked it...

[Deleted User]

Oddly enough, absolutely no one uses it. Which is why the OP would be better checking her horoscopes.

Don't confuse any score that your employer may choose to buy based in their own risk criteria with the drivel that is presented to the consumer.

bigisi

You'd think a "business" manager might be a bit more savvy! Poor business.

Gingina

My employer doesn’t use Experian-dealers (almost always) work as intermediaries & arrange credit. This is my role- proposing Finance & compliance. The title used to be ‘f&i guy’ but mostly it’s Business Manager nowadays. if your opinion from 2 short posts is that I’m not savvy- I’d love to have your ability to judge a stranger from that! :rotfl:
The main lenders to car buyers via the Main Dealer networks use Experian to make lending decisions. This is a fact, and not ‘what I’m told’
Regardless of anyone’s opinion on Experian, it is widely used by those who make underwriting decisions and so the OP would be sensible to get a free copy- it takes under 5 minutes. Random number generator or not, it is a big factor with House Lenders (generally this is Santander white box with ‘Hyundai (or whoever) Motor Finance’ on the top of the agreement.
Hope that helps OP- has the dealership got back to you?

[Deleted User]

Gingina wrote: »

The main lenders to car buyers via the Main Dealer networks use Experian to make lending decisions. This is a fact, and not !!!8216;what I!!!8217;m told!!!8217;

Now, that is a correct statement.

But a million miles away from pretending to use a fake score seen only by the customer.

AstroTurtle

Deleted_User wrote: »

Now, that is a correct statement.

But a million miles away from pretending to use a fake score seen only by the customer.

When I was at one of the big four banks our lending underwriters would send us copies of applicants credit reports that they receive when conducting searches. The score was on them along with a Poor/Average/Good/Great type indicator.

We were mainly interested in the actual report though of products elsewhere and how they repaid them not the actual score but when a score was low and red it did raise flags to dig deeper. People often lied about external credit elsewhere.

beckysheffield

I was offered PCP and I don!!!8217;t work lol.

[Deleted User]

AstroTurtle wrote: »

When I was at one of the big four banks our lending underwriters would send us copies of applicants credit reports that they receive when conducting searches. The score was on them along with a Poor/Average/Good/Great type indicator.

Indeed. Although that is a score based on the underwriting criteria, rather than the comedy scores seen by the customer.