#21
But on paper you would be increasing your total borrowing. How do they know you are going to pay your debt off rather than just blowing the lot. Plus if it is to pay off credit card debt how do they know you are not going to just rack it up again. That is why debt consolidation is high risk.

#22



Sorry how is it a higher risk if the net result is that the monthly payment is lower than the existing one?



I'm at greater risk of not paying £340 a month than I am of not paying £485?
Originally posted by theskewbald


Because you will have more debt to your name.



There is no guarantee that you will use part of the loan to clear your existing borrowing.

#23



Sorry how is it a higher risk if the net result is that the monthly payment is lower than the existing one?



I'm at greater risk of not paying £340 a month than I am of not paying £485?
Originally posted by theskewbald


You have a history of poor financial decisions according to your previous posts. There is no guarantee with debt consolidation loans that a borrower will use the 'new' loan to pay off the 'old' one, so you could end up with twice as much debt.



Also, you are forgetting that the sole purpose of banks / building societies are to make money for their stakeholders. They're only interested in profits. If you're paying £485 a month to them, what's in it for them to allow you to re-settle at £340? They're going to be losing out on £145 a month. Not sound business sense.

#24



OK so how come if they give it to 51% of people who apply, a person with a reasonable credit score (above average checked monthly) and an above average salary, with a ten year history with the bank, with no missed payments, is declined?



Who are the 51% to whom they do give it?
Originally posted by theskewbald


They don't give it to 51% who APPLY but 51% of those they accept, you were one of the other 49%, if you don't like it go somewhere else for the loan

#25
Anyone needing to consolidate debt will be very lucky to get the banks lowest rate. Consolidating suggests a poor state of finances and reliance on debt rather than living within ones means.

#26
Maybe you need to look at your spending, reduce your outgoings or increase your income.



You could try elsewhere for a loan but its not guaranteed you will get accepted even before you tried with Santander.

#27



Redid it on a lower figure just with my name and got approved but at 13.9% APR.
Originally posted by theskewbald




No a bad rate if its debt consolidation.





I would suggest you not taking it though and look at your expenses and try and sell stuff and budget better and consolidation rarely works.....even more so seeing as you have been bankrupt before.





Good luck with it all !

#28
As has been alluded to already, it's not purely a case of affordability. The bank is also looking at what is the chance of me seeing this money again. If someone came to me to borrow some money to finance money they had already borrowed ontop of money they had already borrowed I would certainly be a bit twitchy about the whole thing. You want to consolidate your loans but also get into more debt by buying a car?



Take it from someone who has been there and got the t-shirt. Stay away from consolidation loans!

#29
You have no grounds to complain.



The FOS cannot force a lender to lend at a particular rate.



Self employed people might not be as successful in credit scoring situations as the long term employed.

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