Refused a loan! HELP?!?!?

little_miss_messiah

Hi, first time poster here.

I've just saved £6k on a new car with drivethedeal.com - due to be delivered in Mid Jan.

Now I have 3x the purchase price offset against my mortgage but my boyf is selfemployed carpenter and injury insurance is soooooo expensive he doesn't have any - so for peace of mind he wants to keep the money in the bank offsetting and also should he injure himself and we need it to pay bills etc.

I found Tesco appear to be the cheapest at 6.6% so gave them a call and they rejected my app!

Now, I have a home phone, have lived here 2 1/2 yrs and prev add 10 years, have a visa card with them paid in full every month (gotta love those points) , am employed by the Police for 5 years, am on the electoral role and have NEVER been refused credit in my life.

They have said they can't say WHY they declined it but stated it was NOT on affordability.

Any clues? Should I get experian reports etc? If they have refused will other lenders follow suit?

Problem is the car will be coming soon and I REALLY don;t want to be dipping into the savings to pay for it, if there is a problem could this be fixed in time?

jonesMUFCforever

If it was not on affordability I would get copies of my credit report.

Statistically Police officers (and civilians) are thought to be in of the worst categorises for over spending - this also includes forces personnel and teachers!
This might be a reason you were refused?

MABLE

ejones999 wrote: »

If it was not on affordability I would get copies of my credit report.

Statistically Police officers (and civilians) are thought to be in of the worst categorises for over spending - this also includes forces personnel and teachers!
This might be a reason you were refused?

When I was reading through OP and the lady mentioned she was employed by the police I suddenly remembered when I worked in debt recovery for a Utility company in the 1970;s the worst offenders for not paying were the police employees. Your post has just brought it back to me.

mcdonnella

Hi, my name is Andrew, I work for the police as support staff. Surely what I am hearing cannot be correct?

Are you telling me that a national finance company can make decisions about me, based on assumptions about "my type"? This smacks of illegal discrimination.

I have excellent credit, have checked my reports with Equifax and Experian, and have never had any problems. Yet like little miss messiah I have just been declined a loan. And likewise they refuse to tell me why.

The whole thing seems suspicious to me. How can they ask for full disclosure of my details, then credit search me (which directly affects my credit score), then decline but not give a reason?

Now I am obliged to declare to other lenders that I have been refused credit, so they have basically screwed me!

If they are not prepared to lend, they should have the bottle to tell me why.

Do we have any recourse through the Financial Services Authority?

Zebedee69

Mcdonnella.

You just answered your own question with that last outburst. Most people who work for the Police are far more likely to know "their rights" due to the job and stats prove you guys find more ways not to pay things (-:

Im not having a go thats what the stats say. No one has a "right" to credit you have to fit the particular companies customer profile. You have applied for a loan. The company has asked you to provide details so the can score you and make an assesment of if you fit their criteria. If you dont like the situation then dont apply.

Companies dont give info because each company uses its own criteria. This criteria weeds out fraudsters etc but because applications are agregated into thousands even millions and the system automated some genuine customers can be rejected.

The best way for you to proceed is to learn the system, how it works. Whats on your credit rating? Can you improve on it? Is the info correct? if you do this you will be able to get stuck into some credit MSE style switching 0% offers and paying as little a possible for your borrowings.

You have nothing to moan about to the FSA with. Rejection happens! working for the Police doesnt guarantee anything as does working for any profession. Iv been rejected before and what do I do...? Take my business somewhere else, simple:beer:

little_miss_messiah

Hey Mcdonella - fellow Yorkshire 'civvy' here :beer:

I think the thing is we're not expecting any 'special treatment' here - although I've had credit while I've been in my current job I haven't had any new lending since I sold my old house 2 1/2 yrs ago, I'm just wondering why all of a sudden I'm evil despite having more savings and being in a better position than ever.

One thing I am a bit suss about tho is my address - the previous owner bought it as a reposession to renovate - and I understand he was a bit dodgy as well...

jonesMUFCforever

It may well be that some dodgy dealings have gone on at your address.
It could be on a CIFAS list.
If you really want the loan why not ask the loan company to appeal their decision - pointing out what you have told us on here.
At least then a human looks at your application.

birduk

LMM, I am in a similar position to you. I was refused two loans yesterday. I checked with the credit reporting people, guess what? Everything was up to date, there are no defaults, no outstanding loans etc. I can't understand it at all. My score came back as 'fair' though. Maybe it was never a good idea to pay things off every month?

little_miss_messiah

Well apparently Tesco are sending me the report - wait and see what that says, It's v tempting to try elsewhere but I don;t want loads of searchy type things showing up...

I'll let you know the outcome

mcdonnella

Hi again!

Having looked at my credit report from Equifax, it looks like I have been paying off loans early, so the companies are not making as much profit as they should from me.

Given the current situation regarding credit in the UK, and lenders cutting back credit, I suppose they don't want to lend to me, because I am not a big cash cow for them! It's a bit of an eye opener, innit!

jonesMUFCforever

I don't think they would refuse you on those grounds.
It might just be that you do not fulfil their particular criteria for lending at the moment.