Why do I have 0% eligibility for a loan/ balance transfer?

k4tz3nj4mm3r

The eligibility calculator gives me 0% likely eligibility for all loans and balance tranfers (except the ultra high interest ones). I have a 20k full-time salary, £440 rent in a house I've lived in for 8 years and I'm single with 0 dependants, so a 5k-7.5k loan would be very affordable to me. Although This would be to pay off 5k on my overdraft+credit card, selecting other 'reasons' turns up the same result. Even if I do find an alternative, Im curious to know what it is exactly that excludes me from these deals. Thanks

[Deleted User]

It's your existing debt and that's before even considering your credit history. Your overdraft is a particularly high risk form of debt.

You'd be asking for 50-60% of your gross income in total borrowing. Pay down some of your existing debt before applying for more.

k4tz3nj4mm3r

Deleted_User said:

It's your existing debt and that's before even considering your credit history. Your overdraft is a particularly high risk form of debt.

You'd be asking for 50-60% of your gross income in total borrowing. Pay down some of your existing debt before applying for more.

The calculator ask for debt so I don't think that's the reason why. As I said, I've tried both the 'consolidate debt' as well as other choices (i'e 'home improvement') in the 'purpose' field and theres no change, so in other words i still get a 0 even in the calculator thinks i have no debt. I can see why a credit check might deny me as it would ask for this, but not the calculator. im using the Loans eligibility calculater on this site (cant post the link unfortunately)

[Deleted User]

Putting 0 in the debt box is making things worse, as it conflicts with the data they're seeing on the soft search. Stop it before you get flagged up with CIFAS.

DCFC79

Id look at making some reductions in your spending so you can overpay the overdraft.

Maybe its related to what happend in September, a bit harsh if it is. Whats exactly reported on your credit files x 3 ?

MEM62

Clear your overdraft.  Stop putting false information on applications or comparison sites and try again in a few months.  

sourcrates

Consolodation of existing debts is never a good idea. you should be thankful the computer said no.

If you would like constructive advice on paying down your debts without resorting to further borrowing, why not pop over to the DFW board, and post your statement of affairs, we`ll see you soon.

cymruchris

At the moment - most credit facilities are harder to obtain, and the evidence seen across these boards suggests that lenders are being much more strict in their criteria for new customers. You could try the eligibility checkers directly on lenders websites - and you might be lucky to get a short balance transfer window from one of the sub-prime cards such as Aqua - but don't expect the available limit to be £5k as a new customer. Any time you run checkers - you must put in accurate information every time - and not swap things around to see what different results you get by bending the truth. This will flag up as an issue, as all data is recorded and correlated. The key message with any application is keep your personal details/loans/debts/income etc absolutely standardised.

For now you'll likely have to look at cutting the debt the traditional way by trying to make payments over and above the minimums. Have a look at your finances - what can be cut/saved/changed? Are you on a medium to high sky package? Can you go freeview instead for a year? Do you have subscriptions that are 'nice to have' but not essential? Can you live without Netflix for a year? Is your broadband package the best deal? Is there a way of downgrading your monthly mobile plan? Look at everything with a view that a bit of short term pain will help you significantly in the long run. It's easy to say 'well that just costs me £20 a month' - but that's £240 in a year off your debt. 

Vikipollard

k4tz3nj4mm3r said:

The eligibility calculator gives me 0% likely eligibility for all loans and balance tranfers (except the ultra high interest ones). I have a 20k full-time salary, £440 rent in a house I've lived in for 8 years and I'm single with 0 dependants, so a 5k-7.5k loan would be very affordable to me. Although This would be to pay off 5k on my overdraft+credit card, selecting other 'reasons' turns up the same result. Even if I do find an alternative, Im curious to know what it is exactly that excludes me from these deals. Thanks

The emboldened bit is a clear contradiction, as if you are looking for a loan and have such a substantial OD/CC debt, it really isn't affordable.  Been there, done that twiice.  How much do you actually save per month because THAT is the amount of money you actually have to play with.  Please take the advice of others and post an SOA on the DFW thread so that people can help you cut costs.

Atlas234

I don't think the MSE eligibility calculator is the best and it doesn't check all providers either, I checked it a few months back and was 0% chance for all except the high cost ones. I then went and applied for a santander zero credit card, and was preapproved for 4x the limit I was after, got it no problem

DayDreamerandGeneralWaster

How much is the overdraft? Is your monthly income putting you in decent credit?