Help with credit application declined due to car dealers error.

Jiffj

I recently put a deposit on a new car. Done the application for the credit etc (which I've worked hard on for ages to get in a very good place) 

All went through and accepted. Then fast forward 1 week later to the day before car handover. The dealer put another application through in my name (without my permission) because from what I later found out was because he put my wrong date of birth on the original application. Now this second application has now been declined. I'm assuming maybe for too many searches in a short period maybe? 

I asked why did it originally get accepted then if the date aas wrong and now it's denied. He said it's because my original application wouldn't have showed my full credit file. (The search shown up on my report) and then the 2nd application would of then opened more of my file up. Which lead to it being declined. Is there any truth in this? 

And where do I stand now? 

Was supposed to pick the car up tomorrow too. So a bit annoyed to say the least.

retiredbanker1

Make a formal complaint to the Managing Director of the garage.

That may make them contact the lender to see if the second application can be withdrawn as if it never happened.

If your credit report was not squeaky clean it may well be that too many applications in a short period of time would result in a decline.

As for the car if they don't sort it they have lost a sale.

Jiffj

Yea really not happy with this. As they didn't even ask my permission for the second hard search. Which was done because of his mistake from the first application and putting the wrong date of birth in. Going to speak to them today.

username

I would also look at it from the angle of the birth date inconsistency is a warning to the finance house as the data (to all intents and purposes) is being manipulated, and therefore a decline due to risk.

Jiffj said:

I asked why did it originally get accepted then if the date aas wrong and now it's denied. He said it's because my original application wouldn't have showed my full credit file. (The search shown up on my report) and then the 2nd application would of then opened more of my file up. Which lead to it being declined. Is there any truth in this?

Sounds like a load of rubbish to me, looks like they're trying to come up with an excuse to cover their backsides.

Ultimately, I think the best route of action will be trying to get the dealer to honestly disclose to their finance house that the birth date was keyed in wrong on the first occasion.

Supposing it is a "fat finger" error on their part (and not guessing your birth date randomly) provide some documentation with the correct date (e.g. DL/passport) to correct it - I am sure they must have an exceptions/underwriting dept where applications can be examined manually? And get some money off/items thrown in for the inconvenience from the dealer.

MrFrugalFever

You have the right to appeal within 7 days of the decline in writing to the finance company. If the information was input incorrectly from the outset then it would be down to the dealer who processed your application to contact their regional finance manager for support and helping to push it through the underwriting team to understand if it can be overturned.

Ultimately, most applications are just computer analysed and auto accepted/declined.

Catsacor

Jiffj said:

I recently put a deposit on a new car. Done the application for the credit etc (which I've worked hard on for ages to get in a very good place) 

All went through and accepted. Then fast forward 1 week later to the day before car handover. The dealer put another application through in my name (without my permission) because from what I later found out was because he put my wrong date of birth on the original application. Now this second application has now been declined. I'm assuming maybe for too many searches in a short period maybe? 

I asked why did it originally get accepted then if the date aas wrong and now it's denied. He said it's because my original application wouldn't have showed my full credit file. (The search shown up on my report) and then the 2nd application would of then opened more of my file up. Which lead to it being declined. Is there any truth in this? 

And where do I stand now? 

Was supposed to pick the car up tomorrow too. So a bit annoyed to say the least.

Have you studied your own personal credit file ?

This should be done, by all, and any, of us before going into any type of borrowing.

There are several pages of it and on there you will be able to read what a lender is reading - and whether or not there are any points that raise awareness.

The reason for your predicament is most likely due to the underwriters not liking something a lot more specific than a minor difference such as that.

Do far more due diligence instead of leaving this to chance.

matt1976

Jiffj said:

I recently put a deposit on a new car. Done the application for the credit etc (which I've worked hard on for ages to get in a very good place) 

All went through and accepted. Then fast forward 1 week later to the day before car handover. The dealer put another application through in my name (without my permission) because from what I later found out was because he put my wrong date of birth on the original application. Now this second application has now been declined. I'm assuming maybe for too many searches in a short period maybe? 

I asked why did it originally get accepted then if the date aas wrong and now it's denied. He said it's because my original application wouldn't have showed my full credit file. (The search shown up on my report) and then the 2nd application would of then opened more of my file up. Which lead to it being declined. Is there any truth in this? 

And where do I stand now? 

Was supposed to pick the car up tomorrow too. So a bit annoyed to say the least.

Yes, there is some truth in it. 

When inputting the correct date of birth, it may have then showed up all of your open and closed credit accounts.

An incorrect date does not always pick up a person's full credit report.

The underwriters/finance company did not have the correct information in the first instance so cannot be held in any way accountable for first accepting you, then declining you once they were given the correct date of birth.

It's important to be 100% correct on all finance applications. A slightly different example but one I came across a lot when I was underwriting finance applications, the number of times people use a variable of the birth name, it does matter.