APR Rates

dippy-

Can any one help me with regards to Bank APR rates which are advertised?

I done my research online using their calculators, and I looked on theire Q & A to understand their term "typical". on this website it states:-

Why don't I get the rate that was advertised?
Our answer is:
Our advertised loan rate is our 'typical' rate which the majority of our customers will receive, however each application is assessed on an individual basis and we consider a combination of factors to set your personal loan price.

With this in mind I went to my local branch to re-take out a loan. The advisor told me that they show their best rate and that it's rare for anyone to get this rate. Not even the bank staff get it. They want to charge me 12.58 APR. I've signed up for internet banking to try to bring the APR Down. I have a good and long credit history, can anyone help me with advice on how to bring this amount down? I understand that it depends on the person, but if anyone can help I'd appreciate it...

Scousebird_2

It's always 'Typical' APR Variable which means that the rate advertised is the lowest they will offer a customer, but doesn't always mean everyone qualifys for that rate-it is assessed in most major banks on individual circumstances and on this basis that is why your rate is what it is. Anything below an average credit card rate (Typical 15.9% on most major cards) in the financial climate at the moments isn't that bad to be honest. I've seen worse!

dippy-

thank you for your reply...

I think that it's unfair that they can state on their questions and answers page on the web-site, that the majority get the rate, and then to be told in branch that very few people get it? not even staff... Is there a complaints commission?

My credit history should extremely good - never been over drawn, have banked with them since a child, and a regular income since I was 16 (15 years ago). I'm not a home owner? is there anything which I may be able to do to help my rating then?

Truely am sorry to sound silly, but I have never looked into things before... and with the current climate I would like the best possible rate...

sdooley

You could complain to trading standards?

sdooley

Actually, it could be a statistical anomaly. If they offer only 25% of people enquiring the lower "typical" rate and all of those people take up the offer, but offer 50% a higher rate and reject 25% outright, it may be that only one in five of those offered the higher rate take it, so the split would be 25:10 in their customers (as opposed to applicants).

Or the bank could just be fibbing, or maybe they are biased to borrowers in certain areas of the country.

CLAPTON

Although I understand your fustration, frankly I'ld just move on.

But if not then

a. write to complain to the bank and see what they say.

b. if that doesn't work write to complain to the Obmudsman service

c. possibily the OFT

but lets be clear, your complaint is that 'someone' in the branch said...

dippy-

Thank you for your replies...

It was one of the senior loan advisors... Who should not be unprofessional to let something like that slip... but, I see what you are saying...

I am persuing the ideas on making a complaint or contacting the trading standards, because, they should follow the company policy surel

thanks again...

CLAPTON

best of luck... It would be interesting to see how you get on.

dippy-

I know that I won't get anywhere - Just another statistic for them... but, if you don't try...

BenL

Someone else may know more about the figures but I thought the "typical" rate had to be the rate that 2/3rds of customers get offered.

dippy-

Sorry to sound dim... BenL, but can you please explain?