Barclay's Pre Approved Loans

richwell

Hi all,

I bank with Barclay's and every now and again I visit there pre-approved offers.

I noticed the loan amount keeps going up - does this have any relation to my credit score or is thing something Barclay's make up while watching my ingoing/outgoing money?


Rich

HeadInSand_2

It's primarily based on your actual history with them.

richwell

Thanks for the quick reply.

So I could have a bad credit rating, unable get a loan elsewhere but Barclays would offer me one?

I'm looking at getting a large flexible loan to pay off some debts and wondering if Barclay's is giving me false hopes - I haven't applied for anything yet so I don't really know.

jfc

I have the same thing with them...they offered me a 25k loan on a preapproved offer basis...although the offer appears and then vanishes ...so if you have an offer and can afford the repayments, then you will have to act quickly as they dont seem to hang around long

BLT_2

richwell wrote: »

Thanks for the quick reply.

So I could have a bad credit rating, unable get a loan elsewhere but Barclays would offer me one?

I'm looking at getting a large flexible loan to pay off some debts and wondering if Barclay's is giving me false hopes - I haven't applied for anything yet so I don't really know.

The pre-approved loan is not guaranteed if other individuals who have posted on various forums are anything to go by. You still have to go through the application and credit checking process

jfc

I didnt realise that BLT, I assumed they assessed the risk by the way you run your account, the funds at the end of the month etc. It makes sense that a credit check would still be carried out though.

Thanks

bengalknights

Ive noticed that with barclays if you send money in a circle between your barclays account and another bank account they seem to think its income and there system gives you a large pre approved offer based on transaction value coming in but this isnt guaranteed once they get to checking your application.

lzz

My credit rating is terrible and i was desperately wanting to consolidate my debts to work to improving my score, im always in a situation where im broke at least a week before my wage comes in. One month i desperately needed £50 to make it to pay day so i called barclays to see if by the grace of god they cpuld increase my overdraft. I was declined....however i was told i had a pre approved offer of £15,000 loan. I expressed that i didnt want any credit checks done as i was trying to make my credit report better,i was told no credit check would be carried out and the loan was guaranteed.

i didnt want to be foolish so took enough to set myself straight and not the full amount,it went through as promised.

you will not be declined if you have been pre approved. However think carefully on the amunt you require as i only took 10k thinking i could take the remaining 5k at a later date if needed,this is not the case.

Seven_Summers

Pre approved goes on the financial history of the running of your account. They are very skewed as the system uses the money that passes through your account.....that is not always income but their system cannot judge that.

Personally I think it is a bit irresponsible of this Bank as it is not based on income affordability & there could be many reasons why the cashflow through an account could be much higher than the individuals income.

They did not used to credit check on preapprovals (except mortgages)...not sure if that has changed in the last 6 months though.

jfc

I dont think they do credit checks either, when my friend lost his job and got a lower income to make ends meet he sold some premium bonds over a period of 6 months, as a result his income was artificaly high, he received a pre approved loan offer (which he took) and was granted. He has now got a higher income and can afford the repayments on the loan but it does seem strange that no other checks are carried out.