Hitachi capital credit checks 26 November 2019 at 9:54PM in Credit file & ratings 9 replies 2.8K views

Kws1986

Hi
I am about to apply for finance on a sofa, i checked my credit score and it has decreased a little since I last applied for credit. I had finance with Hitachi for my kitchen which ended last month all paid up fine. I'm worried though that my score is good with Experian and Equifax but creditkarma says work to be done. How do Hitachi credit check, who do they use and what are their priorities?
Thanks

Ben8282

Kws1986 wrote: »

Hi
I am about to apply for finance on a sofa, i checked my credit score and it has decreased a little since I last applied for credit. I had finance with Hitachi for my kitchen which ended last month all paid up fine. I'm worried though that my score is good with Experian and Equifax but creditkarma says work to be done. How do Hitachi credit check, who do they use and what are their priorities?
Thanks

What are your priorities? Getting a new sofa or increasing a meaningless made up credit score number?
Do creditkarma extend credit? No. Just out of curiosity what work do they suggest needs to be done? Does this work involve taking out a credit product recommended by them?

Kws1986

Well my priority is making sure I dont apply for something I could avoid if I am unlikely to get because of a credit rating

Kws1986

Sorry sent this a little prematurely. It doesn't really specify, I'm not sure if I'm overthinking? I do have other credit a scorecard, but no credit cards. Do use an overdraft. My query really is the apparent discrepancy with different credit checks

Ben8282

You will never know if you will get it until you apply.

Willing2Learn

Kws1986 wrote: »

...It doesn't really specify, I'm not sure if I'm overthinking? I do have other credit a scorecard, but no credit cards. Do use an overdraft. My query really is the apparent discrepancy with different credit checks

I believe your thinking is flawed. If I interpret your post correctly, then you are always using your overdraft and this could be viewed negatively by lenders (Hitachi). This is because always using your overdraft could imply that you are living beyond your means.

Your three CRA 'credit scores' are irrelevant as lenders neither use nor see them.

Kws1986

I appreciate that, but people know their current situation before they apply, so what's the focus on a credit check for? They aren't really checking for what they say then so credit scores are not relevant?

Willing2Learn

Kws1986 wrote: »

I appreciate that, but people know their current situation before they apply, so what's the focus on a credit check for? They aren't really checking for what they say then so credit scores are not relevant?

Okay then. I will use Hitachi as an example. Hitachi, when they receive a credit application will score you against their own criteria and policies using the data held on your credit file (credit check history and credit account conduct history), added to data submitted via your application form, added to the data they may already hold on the applicant if you had used Hitachi before. The 'credit scores' provided by the three Credit Reference Agencies are therefore redundant.

Kws1986

I guess theres no hard and fast rule then, anyone else had experience of applying after using overdraft, specifically with Hitachi?

Ben8282

Kws1986 wrote: »

I guess theres no hard and fast rule then, anyone else had experience of applying after using overdraft, specifically with Hitachi?

This is really too broad a question. I am sure there are people who use their overdrafts who get accepted and people who use their overdrafts who get declined.
If everything on your credit files is ok, no late payments, defaults, ccj's etc then you will probably be ok especially as you are a previous customer who has satisfactorily completed a previous credit agreement with them. But as I said before, there is no way to know if you will be accepted until you apply and nobody can give you an answer to that question except Hitachi.