Chickens

[Connemmara]

Well I never - now I know you never count your chickens before they are hatched.

Yesterday went down to Santander to get a loan to pay off my final payment of my mortgage only had to put down it was for home improvements. Fella went through the procedure and told me loan was declined but he "didn't" know the reason.

He said he would appeal the decision.

Now I have just googled it and I do believe it is because I never used a credit card in my life I have not got credit rating. I can't believe it - I just use all direct debits and have about £1,500 in my current account every month.

I am awaiting an email from him within the next 48 hours and I myself don't know what to do then. Thanks for any advice.

[Zacs-Master]

Why are you getting a loan to pay off your mortgage?

[237SJ]

You have had a mortgage though, so you do have "history"

[ummmm]

Have you got a mobile phone?

When you haven't had any credit then they have no way of knowing how good you'll be at paying the loan back.

[ummmm]

Doh - Of course a mortgage is credit.

[factor-fiction]

Was your mortgage with Santander also? I'd have thought it would be cheaper to extend the mortgage for a period as interest rates on mortgages are lower.

[Connemmara]

I had a shortfall of £10,000 after endowments paid out and I wanted to pay it off this way - equity route didn't appeal to me and repayments still kept me attached to the mortgage per se.

[Peter Pedant]

I am not sure if it is useful for Zacs to ask a question for a question.

You may have been declined as you dont have a credit card,
and therefore no (or little) computer 'foot print'

Oh and yes your suspicions are correct - being turned down for a loan is a further black mark

First of all get the reasons - being creditless rather than a bad credit risk is a very small part of the market and there are things you can do - bit I can'r remember since I only meet bad credit risk people

[factor-fiction]

Okay, Conne- I don't understand at all why a loan is preferred but you know all the details. I'm still not clear whether your mortgage was with Santander

[Connemmara]

Well if I don't get it I will borrow from CU which is a bit more expensive but then I am angry I will shut down everything in Santander - and move to another bank and take my investment with me too.

[Connemmara]

factor it was with santander -

[Peter Pedant]

Connie - get the best deal first
and then write to head office Santander

[factor-fiction]

I'll try again? Who provided your mortgage? They want repayment of the remaining £10000 and my understanding is they normally try to help people by extending mortgages or advising how to repay the balance. I can't see why they'd refuse a short loan unless you have a history of missed payments or have insufficient income. So try your previous mortgage lender.

[Connemmara]

peter get the best deal first (from where) - I will know from head office by Tomorow or Sat as this fella is going to appeal it. God save me - you are better off in a debt ridden mess then it can be seen you are going to pay it off etc. I have never owed a penny in my life only the mortgage and even then never missed a payment from I was a kid.

[Connemmara]

Factor I have been with Abbey/Santander since taking out mortgage 25 years ago so no previous mortgage lender - yes fella did say something about repaying but I did not want that.

[factor-fiction]

Sorry Conne- AB is really slow for me- it kept freezing as I typed and I get messages about loading ads, so my answer crossed with yours from a few minutes earlier.

But my point remains- I don't see why Santander won't lend- you have a credit history with them.

[ummmm]

Surely a mortgage will be cheaper than a loan?

[factor-fiction]

I know it's not quite the question you asked but I would think very carefully about taking out a potentially expensive loan rather than equity release (equity release seemed a promising idea to me as you say you have no dependants) or an extended mortgage or using some of your savings to pay it off. Unless the loan costs are easily affordable to you and you are happy paying over the odds, i would take some financial advice

[Connemmara]

sorry Factor if I am coming across angry - but the meeting with the fella was at 2.00 yesterday and it is only hitting me now. In a way if I do move banks as I can't be bothered going to down and have a Dankse bank near me about 600 yards - I may try to get everything over to them. Would you know do Dankse do the work of getting your direct debits and standing orders themselves or would I have to do the work. Thanks

[Connemmara]

going to town

[Connemmara]

Factor I have done all that - thought the equity "table" at the end of its life was horrendous. No, I want my family to get it rather than anybody else.