Alfa Romeo Forum banner

1 - 20 of 32 Posts

·
Registered
Joined
·
482 Posts
Discussion Starter #1
Went for a 3 year PCP finance deal on a £22k Giulietta and got declined. I'm really surprised and puzzled because I have no outstanding debts other than my Mito which the dealership has agreed to take back and clear the balance on. My credit rating on Experian is rated nearly top score.

So what gives?
 

·
Registered
Joined
·
11,604 Posts
Odd as it sounds,I've read that never having credit / store cards etc can count against you...
 

·
Registered
Joined
·
482 Posts
Discussion Starter #3
Odd as it sounds,I've read that never having credit / store cards etc can count against you...
As I said, Experian rates me nearly full score. I have plenty of credit cards with good credit limits on them. And I've also got my current agreement with FGA capital for my Mito.
 

·
Registered
Joined
·
11,604 Posts
Was just a theory... Can't they tell you why? - Or does experian tell you so? :confused:
 

·
Registered
Joined
·
594 Posts
Probably something to do with the recession.

Finance companies have don't want to be lending as much as they did before, that's what got us into this mess in the 1st place. Houses are not worth as much as they were when people bought them, and when they claim bankruptcy the banks don't get their cash back on the re-procession, and you can guarantee the Alfa will depreciate like mad.
 

·
Registered
Joined
·
482 Posts
Discussion Starter #7
Is it maybe the amount to finance against what you earn thats the problem ?
Possibly but neither the dealership or FGA capital would tell me, like it's some big secret. What they did say was that they could do a like-for-like deal which I have on my Mito which is £242 - hardly enough for a Giulietta. I'm also earning more now than I was when I got the Mito!
 

·
Registered
Joined
·
482 Posts
Discussion Starter #8
Was just a theory... Can't they tell you why? - Or does experian tell you so? :confused:
Experian just tells you whether you got a good credit rating or not. So it looks at things like whether you've missed payments to the utility companies or credit cards. I'm scoring basically 100% on my rating and FGA won't say why they're declining me.
 

·
Registered
Joined
·
482 Posts
Discussion Starter #9
Probably something to do with the recession.

Finance companies have don't want to be lending as much as they did before, that's what got us into this mess in the 1st place. Houses are not worth as much as they were when people bought them, and when they claim bankruptcy the banks don't get their cash back on the re-procession, and you can guarantee the Alfa will depreciate like mad.
Fair enough if it was someone who is considered risky to loan money to, but I genuinely don't believe I'm in that category. I've kept up with payments on my Mito and saved up for the final payment and I intended to do the same for the Giulietta which is why this is so bloody annoying. There are those I hear about, friends, friends of friends, who do get themselves into these financial problems because they never could have kept up with payments yet they're able to take out loans left right and centre.
 
M

·
Guest
Joined
·
0 Posts
Experian just tells you whether you got a good credit rating or not. So it looks at things like whether you've missed payments to the utility companies or credit cards. I'm scoring basically 100% on my rating and FGA won't say why they're declining me.
It is now law for finance companies to 'discuss further' the reasons as to why they have opted not to offer you finance. The dealer should have made you aware of this when they gave you the bad news......dig a little deeper.
 

·
Registered
Joined
·
482 Posts
Discussion Starter #11
It is now law for finance companies to 'discuss further' the reasons as to why they have opted not to offer you finance. The dealer should have made you aware of this when they gave you the bad news......dig a little deeper.
I called the finance company directly and they wouldn't budge. They said I could write in to request the reason why my finance wasn't accepted but is it really worth the postage stamp seeing as they're not going to change their mind.
 

·
Registered
Joined
·
34,429 Posts
Sorry to hear about the disappointment but you were nearly done on the Mito agreement weren't you? And you can look for an MA at that stage perhaps .
 

·
Registered
Joined
·
29,280 Posts
experian credit ratings are pretty meaningless. nobody has a 'rating' as such that's used by any companies when deciding on whether or not to give you credit. they use a very complex system called 'credit scoring' which is a fluid thing - it uses all kinds of algorithms to assess the data held on your file by experian or equifax, and can vary from one week to the next depending what kind of business they are trying to attarct end even whether they've filled their quota for the month or whether they need to get more lent out. it certainly varies massively from one company to the next

so there will never be a straight answer. it will always be either a) adverse credit history/missed payments/county court judgements etc or b) failing their credit scoring assessment - the latter could be a whole combination of things, including salary, outgoings, occupation class, age, existing balances on other credit agreements etc etc
 

·
Registered
Joined
·
482 Posts
Discussion Starter #15
Could be part of the problem, if you have a large line of credit available to you. One thing to have a couple of cards and 10K available but loads of cards and tens of thousands??!?
Wouldn't go that far. I have 2 cards totalling less than 10k and I have less than 1k on them at any one time. Always paid up in full when the bill comes too.
 

·
Registered
Joined
·
7,159 Posts
Have you recently moved house or job? Are you on your local electoral register?

Alternatively, it may not be "you" as such - it may be, as stated above, that the finance company are already at their own limits on new business/type of business.

Disappointing tho I'm sure.
 

·
Registered
Joined
·
482 Posts
Discussion Starter #19
Have you recently moved house or job? Are you on your local electoral register?

Alternatively, it may not be "you" as such - it may be, as stated above, that the finance company are already at their own limits on new business/type of business.

Disappointing tho I'm sure.
Moved recently but was at my previous address for 10+ years. I am on the electoral register too.

And yup, deeply disappointed as it was a good deal and I'm ready to trade up to something bigger.
 

·
Registered
Joined
·
482 Posts
Discussion Starter #20
Can you get a bank loan instead, or was this Alfa deal 0% ?
It was a low-interest PCP agreement which was affordable whereas a bank loan wouldn't be.

And even if it was affordable, chances are they wouldn't lend to me. When buying the Mito, I tried the banks at first but they refused so that's when I turned to the dealership finance deal.
 
1 - 20 of 32 Posts
Top