Sainsburys Bank loan rate dishonesty

My Hubby applied to sainsburys bank for a loan to buy a 2nd hand car recently. The rate that was quoted when we made the application online (2.3% IIRC) was confirmed on the paperwork a few days later.

All good and a very easy straightforward application.

Sorry JimSteel, but lenders don't look at your credit score. Lenders only look at the data held within your credit report and the data provided by the borrower (you) during the application process. All that data is then independently scored by the lender against their own criteria and policies. The credit score that you see is not considered at all and is therefore meaningless in relation to the application process.

Hope that makes sense.

JimSteel wrote: »

Just because something appears in the fine print, or can be defined away, does not make it right. It's underhand and misleading, pure and simple.

But it's usually written there on the front page that the it is a representative rate,

I just had a look at Sainsburys loans webpage -

"We treat all our customers and their applications on an individual basis. The APR we offer is determined by the details you supply and the loan you are applying for, along with an independent verification of your credit and repayment history and will range from 2.7% to 25.9% APR."

https://www.sainsburysbank.co.uk/borrowing/bor_borrowing_zone

JimSteel wrote: »

I would rather they informed you directly that 'you didn't meet the criteria for that rate, unfortunately, but we can offer you at blah rate', yes. The way it is done now makes it appear underhand, and I would like to see their stats to check that that isn't standard operating practice - much like some dodgy insurance companies who's stock answer is to a pay out request being no before they are challenged on it.

As you believe it to be underhand then go ahead and start a petition to get it changed, speak to your MP, get yourself heard in parliament.

Do all that then come back and tell us ow you changed it.

OP I take it what you know what the word "representative" means ?

The rate is only JUST representative - 1% is marginal so I kind of understand Jim's disappointment.

It seems reasonable to expect that something advertised as 'representative' might mean something more than a 51% chance of approval.

However, like the marginal representative rate which Sainsbury's offers, so too is the marginal nature of this thread: Jim, you lost this time. Maybe you have been duped. Perhaps we're all being duped.

Oh well...