Tesco Bank - What is the Point of Having an Excellent Credit Rating

[Deleted User]

I like to think I'm a bit better looking than an old boiler... 

SuperAllyB

Woofiedog said:

It makes no financial sense at all for me or the Government to pay off my outstanding debt by using cash, if I can put it on a card for 24 month at 0%. That money I would otherwise pay to clear the debt could be earning me interest, or could be invested and the proceeds go toward paying off the loan at a later date. That is what responsible card tarting is about and what ML has often advocated himself.  Some successful investors would call that turning a liability into an asset.
Further more, if I pay off the entire debt, my savings goes down, which means that I can qualify for sponging off the taxpayer a lot sooner by claiming UC.  I haven' got that much saved up outside of a pension.
It seems to me that some of my detractors one here are just envious that I do look after my money and try to make it work for me instead of squandering it on things I don't need and being broke.
I realise that no one owes me credit. I never said they did. What I am saying is that I should qualify for a card because I have an excellent credit rating and that refusing me a card means that having a excellent CR is proving to be redundant. That is a factual observation, based on applications I have made so far, no a whinge as you all so unkindly put it. 
And yes, I will be taking this to the Ombudsman because it seems to me that the lenders are discriminating against me for being freelance. One who turned me down openly said that my income and expenditures are all they take into account when deciding; not what saving they have to clear off a loan. Surely, it should be based on my ability to pay it off. What they are doing is hoping I will default on the minimum payments, through losing work some months, so I end up paying interest. Instead, of admitting that they are trying to make out I am a poor risk by being freelance.

Why don't you ask whoever gave you the excellent credit rating for a loan?

jimbo26

OP - what has the ombudsman said?

phillw

Deleted_User said:

I like to think I'm a bit better looking than an old boiler... 

Everyone else does the same, they aren't all correct.

[Deleted User]

phillw said:

Deleted_User said:

I like to think I'm a bit better looking than an old boiler... 

Everyone else does the same, they aren't all correct.

My parents, Mr and Mrs Worcester-Bosch will be very upset.

D3xt3r5L4b

Woofiedog said:

jjames1985 said:

mr_stripey said:

Woofiedog said:

I am reporting them all to the financial ombudsman. 

For what exactly? 
They can lend money (or not) to whoever they choose. 
They chose not to lend to you on this occasion.
But it is not a crime, or even against any code of conduct.

People just don't understand the reality that they do nothing "wrong" but people don't want to do business with them.

OP is effectively someone who goes into a pub, drinks free tap water all the time and gets upset when they get asked to leave.  It's not your god-given right to drink in a pub and if you're unprofitable you might get asked to leave.
C'est la vie.

jjames1985 said:

mr_stripey said:

Woofiedog said:

I am reporting them all to the financial ombudsman. 

For what exactly? 
They can lend money (or not) to whoever they choose. 
They chose not to lend to you on this occasion.
But it is not a crime, or even against any code of conduct.

People just don't understand the reality that they do nothing "wrong" but people don't want to do business with them.

OP is effectively someone who goes into a pub, drinks free tap water all the time and gets upset when they get asked to leave.  It's not your god-given right to drink in a pub and if you're unprofitable you might get asked to leave.
C'est la vie.

I don't particularly want to shop in their Supermarket from now on either, as my application was for a Sainsbury card.

I’m sure you (won’t be) missed shopping there 

D3xt3r5L4b

Woofiedog said:

It makes no financial sense at all for me or the Government to pay off my outstanding debt by using cash, if I can put it on a card for 24 month at 0%. That money I would otherwise pay to clear the debt could be earning me interest, or could be invested and the proceeds go toward paying off the loan at a later date. That is what responsible card tarting is about and what ML has often advocated himself.  Some successful investors would call that turning a liability into an asset.
Further more, if I pay off the entire debt, my savings goes down, which means that I can qualify for sponging off the taxpayer a lot sooner by claiming UC.  I haven' got that much saved up outside of a pension.
It seems to me that some of my detractors one here are just envious that I do look after my money and try to make it work for me instead of squandering it on things I don't need and being broke.
I realise that no one owes me credit. I never said they did. What I am saying is that I should qualify for a card because I have an excellent credit rating and that refusing me a card means that having a excellent CR is proving to be redundant. That is a factual observation, based on applications I have made so far, no a whinge as you all so unkindly put it. 
And yes, I will be taking this to the Ombudsman because it seems to me that the lenders are discriminating against me for being freelance. One who turned me down openly said that my income and expenditures are all they take into account when deciding; not what saving they have to clear off a loan. Surely, it should be based on my ability to pay it off. What they are doing is hoping I will default on the minimum payments, through losing work some months, so I end up paying interest. Instead, of admitting that they are trying to make out I am a poor risk by being freelance.

Have they actually disclosed the reason for the decline?
Or are you just making assumptions?

As you’ve discovered your “excellent” rating means nothing in the real world. 

born_again

Woofiedog said:

It makes no financial sense at all for me or the Government to pay off my outstanding debt by using cash, if I can put it on a card for 24 month at 0%. That money I would otherwise pay to clear the debt could be earning me interest, or could be invested and the proceeds go toward paying off the loan at a later date. That is what responsible card tarting is about and what ML has often advocated himself.  Some successful investors would call that turning a liability into an asset.
Further more, if I pay off the entire debt, my savings goes down, which means that I can qualify for sponging off the taxpayer a lot sooner by claiming UC.  I haven' got that much saved up outside of a pension.
It seems to me that some of my detractors one here are just envious that I do look after my money and try to make it work for me instead of squandering it on things I don't need and being broke.
I realise that no one owes me credit. I never said they did. What I am saying is that I should qualify for a card because I have an excellent credit rating and that refusing me a card means that having a excellent CR is proving to be redundant. That is a factual observation, based on applications I have made so far, no a whinge as you all so unkindly put it. 
And yes, I will be taking this to the Ombudsman because it seems to me that the lenders are discriminating against me for being freelance. One who turned me down openly said that my income and expenditures are all they take into account when deciding; not what saving they have to clear off a loan. Surely, it should be based on my ability to pay it off. What they are doing is hoping I will default on the minimum payments, through losing work some months, so I end up paying interest. Instead, of admitting that they are trying to make out I am a poor risk by being freelance.

So while you might have a great credit score (worthless 3 digits made up by credit reference co's to make you feel good, and try to sell you products they get a kick back for) Lenders never see this, they use their own internal credit scoring. Clearly you owe quite a bit and that could well be the issue that the lenders are looking at. Income to debt ratio.
Add in credit is harder to get now due to Covid and lenders only wanting really good customers.
Why is the Government going to pay it off?
You said before you had plenty of saving to pay your debt off, now you do not?

Good luck with FOS on discriminating against me for being freelance. 
It is your income that is probably the issue. Lenders now have to ensure that they only lend where appropriate. Hardly going to lend to someone that has no chance of paying off the debt once the 0% ends. So you complaining to FOS is merely proving that they are doing a good job.

adamp87

Woofiedog said:

It makes no financial sense at all for me or the Government to pay off my outstanding debt by using cash, if I can put it on a card for 24 month at 0%. That money I would otherwise pay to clear the debt could be earning me interest, or could be invested and the proceeds go toward paying off the loan at a later date. That is what responsible card tarting is about and what ML has often advocated himself.  Some successful investors would call that turning a liability into an asset.
Further more, if I pay off the entire debt, my savings goes down, which means that I can qualify for sponging off the taxpayer a lot sooner by claiming UC.  I haven' got that much saved up outside of a pension.
It seems to me that some of my detractors one here are just envious that I do look after my money and try to make it work for me instead of squandering it on things I don't need and being broke. 

I realise that no one owes me credit. I never said they did. What I am saying is that I should qualify for a card because I have an excellent credit rating and that refusing me a card means that having a excellent CR is proving to be redundant. That is a factual observation, based on applications I have made so far, no a whinge as you all so unkindly put it. 

And yes, I will be taking this to the Ombudsman because it seems to me that the lenders are discriminating against me for being freelance. One who turned me down openly said that my income and expenditures are all they take into account when deciding; not what saving they have to clear off a loan. Surely, it should be based on my ability to pay it off. What they are doing is hoping I will default on the minimum payments, through losing work some months, so I end up paying interest. Instead, of admitting that they are trying to make out I am a poor risk by being freelance.

“I realise that no one owes me credit. I never said they did. What I am saying is that I should qualify for a card because I have an excellent credit rating and that refusing me a card means that having a excellent CR is proving to be redundant”
Are you not saying the exact thing you are disagreeing with? Owing you credit?

Basically

- They have no legal basis to be forced to offer you the deals.

- There are no discriminatory laws being broken here

- The score means nothing (as you’ve found) as lenders each use their own criteria and you are acting like a child.

daivid

adamp87 said:

Woofiedog said:

It makes no financial sense at all for me or the Government to pay off my outstanding debt by using cash, if I can put it on a card for 24 month at 0%. That money I would otherwise pay to clear the debt could be earning me interest, or could be invested and the proceeds go toward paying off the loan at a later date. That is what responsible card tarting is about and what ML has often advocated himself.  Some successful investors would call that turning a liability into an asset.
Further more, if I pay off the entire debt, my savings goes down, which means that I can qualify for sponging off the taxpayer a lot sooner by claiming UC.  I haven' got that much saved up outside of a pension.
It seems to me that some of my detractors one here are just envious that I do look after my money and try to make it work for me instead of squandering it on things I don't need and being broke. 

I realise that no one owes me credit. I never said they did. What I am saying is that I should qualify for a card because I have an excellent credit rating and that refusing me a card means that having a excellent CR is proving to be redundant. That is a factual observation, based on applications I have made so far, no a whinge as you all so unkindly put it. 

And yes, I will be taking this to the Ombudsman because it seems to me that the lenders are discriminating against me for being freelance. One who turned me down openly said that my income and expenditures are all they take into account when deciding; not what saving they have to clear off a loan. Surely, it should be based on my ability to pay it off. What they are doing is hoping I will default on the minimum payments, through losing work some months, so I end up paying interest. Instead, of admitting that they are trying to make out I am a poor risk by being freelance.

“I realise that no one owes me credit. I never said they did. What I am saying is that I should qualify for a card because I have an excellent credit rating and that refusing me a card means that having a excellent CR is proving to be redundant”
Are you not saying the exact thing you are disagreeing with? Owing you credit?

Basically

- They have no legal basis to be forced to offer you the deals.

- There are no discriminatory laws being broken here

- The score means nothing (as you’ve found) as lenders each use their own criteria and you are acting like a child.

Or is a child? It is the summer holidays... Either way (to the OP) covid-19 (and the accompanying downturn) has accelerated the decline in 0% cards: if you can reverse this then great! I also think increased focus on responsible lending may have contributed. Card providers giving no-fee 0% cards to people who handle them properly will lose money. The only way to make money is to give them to those who will continue to use/be trapped on the cards when they shoot up to about 20% APR (or more) which to me isn't really responsible lending. How many people who need to borrow (for example) £5000 can afford to be paying back the bulk of it at 20% APR? You (the OP) seem to be whining that card issuers aren't prepared to lose money in order to have the prestige of your custom, the fact that they have been previously should be shocking, not that they are ending the practice.