Tesco bank loan declined at final check

charls1233

We applied for top up loan with Tesco bank on 4th September and at the time of application we met their criteria that 8 consecutive current loan payments had been made and the loan was approved.  We received the paperwork and this was signed and sent back .  In between time the current tesco loan payment due on 15th September bounced due to insufficient funds, this was stupidity and an error on our part due to being away and transfer of funds from one account to the other was made late resulting in the payment not going out.  I called tesco team and spoke to an agent the following day 16th Sept and offered to pay the loan payment by debit card over the phone but was told the direct debit will be attempted again in 10-14 days and that we didn’t need to make payment.

On 25th September we received an email to say that our loan application had been declined.  I called customer services again to find out the reason and they said because the payments weren’t up to date due to September direct debit failing.  I explained we were told the direct debit would be taken again in 10-14 days and that we didn’t need to make payment.  After finding out this was the reason for decline we have today made payment by debit card over the phone to get the payment up to date as quickly as possible so it hopefully doesn’t go against us.

I am going to appeal their decision as we applied for the top up to consolidate debts and save £600 a month so feel we have nothing to lose but do you think we have got any chance of them changing their decision?

MorningcoffeeIV

Unlikely, but you might as well give it a go.

martinbainbridge1975

Would give it a go, especially if you have called to offer to pay on 16th and they have said you did not need to.

50/50 though, depends who you get on the phone when you call

Martico

They might be twitchy at the level of existing credit as well - if you've been on a cycle of debt consolidation and yet the debt has continued to rise, that could be a red flag.