LOQBOX improve your credit score, anyone used these before?

swansea_lad

https://www.loqbox.com

Anyone seen this before? 

Here's how it works:

You want to build your credit score and can afford to save £20 per month - so £240 over the year

At the start of the year, LOQBOX Loans you £240. But, the money stays locked away in your LOQBOX account (hence the name).

Over the year, you pay £20 a month into your LOQBOX account to pay back the loan.

But here comes the clever bit... Each month, LOQBOX reports to the credit agencies (the companies that track and publish your credit score), that you've made your repayments, which increases your credit score.

After 12 months, the loan is paid off and, presto - you have access to the £240 you saved and a shiny new credit score.

EssexHebridean

To get access to the bit above you seem to need to sign up as a member - which costs £2.50 per week....or £130 a year - that's going to make a hole in that "saved" amount for a start. 

My gut feeling is that things that seem too good to be true usually are - and that you rarely get something for nothing in this life - this set-up seems to cover both those bases! 

An easier and cheaper way of achieving the same thing - apply for a (poor-credit history if that's all you can get) credit card. Put a tank of fuel for the car, or a week's shopping on it once a month. Pay the bill when it becomes due, IN FULL, and guess what - "But here comes the clever bit... Each month, LOQBOX  your card issuer reports to the credit agencies (the companies that track and publish your credit score), that you've made your repayments, which increases your credit score." And that won't cost you a penny. 

Graham1982

Hello everyone:

For some reason, this idea reminds me of the cunning plan established by the protagonists in Lock Stock and Two Smoking Barrels - I won't mention the name of the business venture but the premise is:

You setup a company that sells adult toys under a bland name such as Unique Gifts;
You take the money via mail order for said toys;
The money rolls in.
You don't supply the adult toys because they never existed;
Customers complain and demand a refund;
You reply with a company cheque made out in a name which clearly states your sexual preference in a crude way;
Nobody cashes the cheque as they don't want to be exposed and the scammers keep all the money.

Ebe_Scrooge

EssexHebridean said:

To get access to the bit above you seem to need to sign up as a member - which costs £2.50 per week....or £130 a year - that's going to make a hole in that "saved" amount for a start. 

My gut feeling is that things that seem too good to be true usually are - and that you rarely get something for nothing in this life - this set-up seems to cover both those bases! 

An easier and cheaper way of achieving the same thing - apply for a (poor-credit history if that's all you can get) credit card. Put a tank of fuel for the car, or a week's shopping on it once a month. Pay the bill when it becomes due, IN FULL, and guess what - "But here comes the clever bit... Each month, LOQBOX  your card issuer reports to the credit agencies (the companies that track and publish your credit score), that you've made your repayments, which increases your credit score." And that won't cost you a penny. 

^^^^ This.

OP, the fact that they keep banging on about increasing your score is worrying - the score you see is utterly meaningless, and has no bearing whatsoever on how a lender will view you.

Now, whilst it's true that making loan repayments on time every month will put positive markers on your credit history (which is what does matter), it would be foolish to take out a loan solely for this purpose.  Far simpler - and free - is to just use a credit card properly, as outlined by EH.