We'd like to remind Forumites to please avoid political debate on the Forum... Read More »
We're aware that some users are experiencing technical issues which the team are working to resolve. See the Community Noticeboard for more info. Thank you for your patience.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
Loan Application History
Options
Hi,
I just have a quick question which I am sure someone on here can answer
When applying for a loan - do they check previous debt history on your credit file or just your credit score?
I am about to apply for a loan which is for some consolidation and a new car. But I have noticed that the interest rate is a lot lower if you borrow money for a new car or home improvements.
I earn £50K - so the repayments are fine for me (even at a higher interest rate) - but I am just wondering if I say that the entire loan is for a new car for example - will the lender find out that I have previous debt?
Obviously I don't want to jeopardise my application - but keen to have a lower rate of interest if I can!
My credit score is very good.
Thanks.
I just have a quick question which I am sure someone on here can answer

When applying for a loan - do they check previous debt history on your credit file or just your credit score?
I am about to apply for a loan which is for some consolidation and a new car. But I have noticed that the interest rate is a lot lower if you borrow money for a new car or home improvements.
I earn £50K - so the repayments are fine for me (even at a higher interest rate) - but I am just wondering if I say that the entire loan is for a new car for example - will the lender find out that I have previous debt?
Obviously I don't want to jeopardise my application - but keen to have a lower rate of interest if I can!
My credit score is very good.
Thanks.
0
Comments
-
They check credit history - you dont have a score, the lender scores you by their own method internally.
Put down new car on the application, as this should be where most of the money goes.
Lets hope you get a better rate than your current 10% loan ay.0 -
No one checks your score, as it's a made up number that only you see.
Lenders will look at your credit history, plus other information on your application form.
Be wary of lying. When they see that you have existing debt and now want more for a car, you'll risk plunging yourself firmly in to the high risk category.
Alhough debt consolidation is also a sign of a high risk borrower....0 -
Thanks for your reply.
Does that mean they can see my existing debt balance when they check my credit history? If so, how will they know that I haven't already paid it off?
Thanks.
Sarah0 -
Thanks for your reply.
Does that mean they can see my existing debt balance when they check my credit history? If so, how will they know that I haven't already paid it off?
Thanks.
Sarah
Yes, they will be able to see your current debt at the time they get the credit report, which is normally a few weeks out of date.0 -
Thanks for your reply.
Does that mean they can see my existing debt balance when they check my credit history? If so, how will they know that I haven't already paid it off?
Thanks.
Sarah"We act as though comfort and luxury are the chief requirements of life, when all that we need to make us happy is something to be enthusiastic about” – Albert Einstein0 -
Hi,
I just have a quick question which I am sure someone on here can answer
When applying for a loan - do they check previous debt history on your credit file or just your credit score?
I am about to apply for a loan which is for some consolidation and a new car. But I have noticed that the interest rate is a lot lower if you borrow money for a new car or home improvements.
I earn £50K - so the repayments are fine for me (even at a higher interest rate) - but I am just wondering if I say that the entire loan is for a new car for example - will the lender find out that I have previous debt?
Obviously I don't want to jeopardise my application - but keen to have a lower rate of interest if I can!
My credit score is very good.
Thanks.
What do you think checking the credit score would show ?
Yes he has a score of 894, applocation accepted for a loan.0
This discussion has been closed.
Confirm your email address to Create Threads and Reply

Categories
- All Categories
- 350.7K Banking & Borrowing
- 253K Reduce Debt & Boost Income
- 453.4K Spending & Discounts
- 243.7K Work, Benefits & Business
- 598.5K Mortgages, Homes & Bills
- 176.8K Life & Family
- 256.9K Travel & Transport
- 1.5M Hobbies & Leisure
- 16.1K Discuss & Feedback
- 37.6K Read-Only Boards