Bank Information and how they disclose it

[Paulie_086]

Hey people,

 

I'm a first time user of Bank group but have been well informed of your work.

 

I was recently rejected for a loan and although I probably deserved it due to my poor credit history (graduate - self sufficient), it got me thinking about how banks make these decisions. I know they use 3rd party credit agencies (experian) but what else constitutes to a banks credit decision.

 

What data does the bank have on its consumer and how else does it use this? (for marketing purposes?). Are there any banks that have the upper hand?

 

Also, do they use your postcode to view your Acorn rating, therefore charging you a different rate of interest. For example, a person in a poorer area is charged a higher rate of interest compared to that of a richer customer.

 

I think its quite important to understand how a bank works before you set about using their products.