Natwest Loan issue.

[samo8076]

Hi guys,

 

I applied for a £5000 natwest loan last week and was accepted (over the phone), they sent out my documents the next day, i signed them and sent them back straight away.

Today i still hadnt heard back off them to when the money would be going in, so i decided to ring them, the lady said the loan application had been declined but there was no reason as to why except that a letter has been sent to me.

 

Why would this be accpected one minute and not the next, i have not applied for any other loan since this one, iv not even took anymoney out of my account.

 

Does anybody have any idea as to why this might of happened? Surely if they send the documents to sign then its because they have agreed to the loan and cant just change their minds?

 

Thanks in advance.

[niki773]

was it a consolidation loan or a new one for a big purchase etc?

[samo8076]

it was for a new car, but i was also using the money to pay off a catalogue account (£300) and get rid of my overdraft (£300), which the bank knew about.

[shywazz]

Banks and CC companies are holding back on giving credit liked there used to, unsecured loans are getting harder to obtain alate, all due to recent going ons in the US

Since you were accepted provisanally over the phone, and the documantation was then sent to you to accept/sign and return, i would persue the matter, there now have your signiture for the loan, so you have signed to say you accept the repayments and total repayable, there could chase you in years to come for that loan, although you havn't recieved it, so if there do state there not processing the loan, request that the documentation you did sign be returned to you, for distroying...You don't want any come back down the line for a loan you never got.....If you feel that Natwest have missed something in ur credit report, and that you are a good payer, ask why the reason was suddenly reversed.....But what-ever you do, if it is refused, get all the paper-work you did sign BACK from them............check ur credit report, there might be something there that put the bank off....

[samo8076]

thanks for the reply shywazz. they did a credit check on my account before they sent the paperwork which is why i was shocked that they declined after i returned the paperwork. In my opionion they shouldnt have sent me the documents to sign if this was the case.

[mcjohnson]

I had a similar issue, funnily enough with the Natwest, about a year ago when I applied for an "advantage gold account" and was accepted. Happy days I thought, closed my existing bank account ready to transfer to the Natwest and then received a letter stating that I couldn't have the account after all. Cue total madness, as I hastily had to open another account elsewhere to facilitate all my direct debits and standing orders. Lesson learned!

 

T&C for the loan will almost certainly contain a phrase that allows them to cancel any agreement with yourself at their whim. I understand that, after agreement all credit arrangements go through a further vetting process and these guys have the power to reject an application for anything (Current account, overdraft, loan, mortgage) - even if you believed you had an agreement...

 

I understand and sympathise with your distress. As previously advised, the best course of action is to seek advice from the CRAs.