Impossible average credit account age listed, therefore I'm High Risk?

MSR01

I've just signed up for the 30 day trial of the Experian credit report after the Loans Eligibility Calculator on this website said I had zero chance of getting a car loan. 

So I did the rounds, checking my scores.

Experian rate me at 995 (up ten points since August), but the report lists me as High Risk for account history (average age of a credit account 13 months).

This makes no sense. It's just not possible that the average age of my credit accounts is so low! I've had multiple subscriptions/direct debits/bills that are years old. I understand that this is all "more of an art than a science" as Martin notes, but I simply can't fathom this average age.

Should I submit a correction notice about this? Is this some kind of error?

Scanning through the report, everything seems golden. Lots of 'Won't impact your credit score' under Activity, or 'No issues in this accounts payment history' and so on. I'm a perfect human being except for this one thing. There have been no hard searches in the last two years.

Equifax rates me 792/1000 and a 'Very Good' with no problems detailed on their report.

Meanwhile Transunion, checked through MSE, give me 598/710 and a rating of 'fair', despite the report apparently being as glowing as the other two (no outstanding debt, etc).

As for the car loan, it seems that being self-employed and simultaneously a student (currently doing a PhD) is the kiss of death for lenders, despite the credit agencies apparently thinking I'm an angel. Edit: I also get Personal Independence Payment because I'm disabled, but not in a way that makes me eligible for motability or any similar service. I'm adding this because I wonder if the soft check the calculator uses spots this and knows that lenders will reject simply because the word "benefits" crops up.

MattMattMattUK

MSR01 said:

I've just signed up for the 30 day trial of the Experian credit report after the Loans Eligibility Calculator on this website said I had zero chance of getting a car loan. 

So I did the rounds, checking my scores.

Experian rate me at 995 (up ten points since August), but the report lists me as High Risk for account history (average age of a credit account 13 months).

This makes no sense. It's just not possible that the average age of my credit accounts is so low! I've had multiple subscriptions/direct debits/bills that are years old. I understand that this is all "more of an art than a science" as Martin notes, but I simply can't fathom this average age.

Should I submit a correction notice about this? Is this some kind of error?

Scanning through the report, everything seems golden. Lots of 'Won't impact your credit score' under Activity, or 'No issues in this accounts payment history' and so on. I'm a perfect human being except for this one thing. There have been no hard searches in the last two years.

Equifax rates me 792/1000 and a 'Very Good' with no problems detailed on their report.

Meanwhile Transunion, checked through MSE, give me 598/710 and a rating of 'fair', despite the report apparently being as glowing as the other two (no outstanding debt, etc).

Your score/rating is totally meaningless, no lender ever sees it and it is a marketing gimmick crested by the CRAs to allow them to entice you into taking out new products which warn them commission whilst also paying them directly for the privilege of seeing your made up pointless score.

Do not submit a notice of correction, it blocked pretty much all automated applications and no lender cares about them or reads them. Check all accounts on your report are accurate, if they are not then raise the issue with the lender.

MSR01 said:

As for the car loan, it seems that being self-employed and simultaneously a student (currently doing a PhD) is the kiss of death for lenders, despite the credit agencies apparently thinking I'm an angel. Edit: I also get Personal Independence Payment because I'm disabled, but not in a way that makes me eligible for motability or any similar service. I'm adding this because I wonder if the soft check the calculator uses spots this and knows that lenders will reject simply because the word "benefits" crops up.

They could be rejecting you for a multitude of reasons, if you do not have bad debts on your file then it is most likely affordability or lack of borrowing history. If you state your status as self employed what is your income and what are your fixed outgoings? Have you borrowed responsibly before, credit cards cleared in full every month, overdraft not used, mortgage paid on time every month, utilities, on the electoral roll?

MSR01

Hi Matt,

A belated thank you for your insights, which I read at the time. I still don't know why I was initially rejected: the answer to everything in your last paragraph is "No" (unless it should be "Yes).

A few days later I opened an account with First Direct and they gave me the car loan within a week, and everyone I spoke to was very helpful, reasonable and willing to find work-arounds where they were needed. The APR is higher than I'd like, but that's what you get for being a self-employed PhD student! I imagine I'll be offered lower rates once I'm PAYE, again (hopefully in a forthcoming academic job at my current university... fingers crossed).

Anyway, that's my recommendation to anyone reading this: try First Direct. They've been a breath of fresh air. Get in now, before some future management decides to change all that (because that's what always happens).

Cheers, Matt