Sainsbury Loan

benlypage

Why do Banks advertise a low rate only to make you jump through all the hoops, tell you that yes you can have the money but now the rate is double what they advertised? 

Beware of Sainsburys Bank offering 2.8% my friends and I have tested them with a few applications all came back approved with good credit ratings and they all offered at 6.6%. Does the MSE website ever check the rates they show?

[Deleted User]

benlypage said:

Why do Banks advertise a low rate only to make you jump through all the hoops, tell you that yes you can have the money but now the rate is double what they advertised? 

Beware of Sainsburys Bank offering 2.8% my friends and I have tested them with a few applications all came back approved with good credit ratings and they all offered at 6.6%. Does the MSE website ever check the rates they show?

Lenders must offer the headline (representative) rate to 51% of successful applicants under FCA rules. You and your friends do not meet their lending criteria so didn't get it. Saying beware of Sainsbury's is nonsensical, others will meet their criteria. Hope that when you say you and your friends have "good credit ratings" you don't mean the mythical "credit score" which no lender ever sees.

Edit to clarify it's successful applicants, because apparently it's not obvious that someone who isn't successful in the application won't get the rate 

Sandtree

Deleted_User said:
Lenders must offer the headline (representative) rate to 51% of applicants under FCA rules. 

51% of those offered must receive the headline rate, not 51% of applicants... in current climates I am not sure the ratio of applications to offers of any sort will be 51%

Fighter1986

6.6% is still a good rate, reflective of your friends' so called good credit histories.

The lender makes it clear that the APR offered could be different, all lenders make this clear, and the applicant has the choice to accept or refuse the offer made by the lender. 

[Deleted User]

Sandtree said:

Deleted_User said:
Lenders must offer the headline (representative) rate to 51% of applicants under FCA rules. 

51% of those offered must receive the headline rate, not 51% of applicants... in current climates I am not sure the ratio of applications to offers of any sort will be 51%

OK I missed the word "successful" off, posted edited to clarify the fact that unsuccessful applicants won't get the rate, because apparently it's unclear that people who don't get accepted for a loan obviously won't get the rate. Doesn't change the fact Sainsbury's aren't doing anything wrong