Can't get the advertised rate - Tesco bank/sainsburys

Musing101

Both of these have great 2.9% rates advertised for loans up to £25,000
I have tried applying and I am accepted but always at higher rates of 5% or more
How can I actually secure the lower advertised rate??

I have checked my credit score on Experian and it is 999

Why would I be refused the best rate?

full-time employed, purpose of loan - home repairs

Many thanks all

Willing2Learn

You credit score is irrelevant as Tesco & Sainsbury don't use it and don't see it either. Neither do any other lenders.

Only 51% of successful applicants will get the representative APR

Edit: Have you tried getting a credit card with a 0% APR promotional window for purchases?

YorkshireBoy

Musing101 wrote: »

I have checked my credit score on Experian and it is 999

A CRA generated score of 999 usually indicates a very thin file. Indeed, many people start out at 999 and then drop as accounts are added. Once you've proved you can manage debt then the score will rise...but never back to 999.

So, how many active accounts (Mortgage, loans, current accounts, credit cards, store cards, HP agreements, etc) are showing on your Experian credit report.

Same question for settled/closed accounts.

DCFC79

How many more threads will we get about this exact issue.


5% is a good rate, its not the advertised rate of 2.9% but still good, at least its not higher like 10%.

jonesMUFCforever

OP how much did you apply for?

boo_star

YorkshireBoy wrote: »

A CRA generated score of 999 usually indicates a very thin file. Indeed, many people start out at 999 and then drop as accounts are added. Once you've proved you can manage debt then the score will rise...but never back to 999.

So, how many active accounts (Mortgage, loans, current accounts, credit cards, store cards, HP agreements, etc) are showing on your Experian credit report.

Same question for settled/closed accounts.

That's not true at all.

I maintained a 999 score with Experian. I had several current accounts and 3 credit cards going back several years.

YorkshireBoy

boo_star wrote: »

That's not true at all.

I maintained a 999 score with Experian. I had several current accounts and 3 credit cards going back several years.

Substitute rarely for never then. Happy with that?

Rest you can't say is not true as I was careful to use words such as usually and many people, ie not always and everyone.

Nebulous2

I've got this theory that people with very good scores / records gravitate to the table-topping 2.9% loans. As a result they can be very picky. Move down the table a few places to 3.2% or so and you may find it much easier to get into that 51% who get the headline rate, for very little additional interest.

Best deals are generally £7.5-15k for 3-5 years. Go higher/lower or longer and you may not get as good rates.

Man_From_Bath

I've had credit cards, loans, mortgages etc non stop for 25 years and my rate is 999. I've also go sofa's on finance, mobile phones etc etc.

So you not correct to say it won't return to 999. Fact.

tonycottee

Yep, after 20 years of borrowing, I too have 999 so I don't think the above advice is correct.

enthusiasticsaver

I am not quite sure how many times it needs to be said that the credit score you see on credit referencing agencies should not be taken on its own when considering why or why not people are given loans/credit cards at favourable rates.

Credit scoring agencies do not lend money. Lenders have their own criteria when approving loans and credit cards and what rate they offer depends on so much more than the borrowers credit score.

OP. You may have been refused the best rate because the lenders have reached their target for this month or they may look at your affordability and you not fall within their current parameters for lending. How much debt do you have altogether and what is your salary? How many credit cards and other loans do you have? Have you moved recently or changed jobs? Lots of things to consider apart from purpose which actually means very little and full time employed is so variable depending on how long you have been employed and at what level.