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northern rock

Last post Mon, May 15 2006, 11:29 PM by Northern Cock. 4 replies.
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  •  Mon, May 15 2006, 11:29 PM

    Re: northern rock

    Northern Rock scores everybody in the same way on a rate for risk basis, it's not about quotas. 66%+ get the typical rate. If you apply on the Internet, how else are you supposed to know what rate you've got until you get your paperwork? It's hardly underhand. If you represent a higher than acceptable risk then you'll be offered a higher rate or declined altogether, the same as with any other lender.
    • Post Points: 5
  •  Wed, May 10 2006, 1:20 PM

    Re: northern rock

    I've also had the same problem with Northern Rock the difference was only apparent when the paperwork turned up for signing. Again they refused to explain when I telephoned.
    • Post Points: 20
  •  Mon, Apr 10 2006, 1:20 PM

    Re: northern rock

    That makes it sound like the lender gets up to their quota of "regular" agreements then does everything else on RBP (risk-based pricing). This is *not* the case. Interest rates for personal loans (much like mortgages) are becoming more dependent on individual circumstances than they used to be. This is partly a good thing, as people who would previously have been declined altogether are now getting approved on an RBP scheme. But it is also not so good, as people who otherwise would have just been a flat-out accept have now been scaled down onto the RBP schemes and it's a little more expensive. The RBP scheme is not something that lenders can manipluate on a case-by-case basis. It's built into their decision-making systems and has underlying rules about scorecards and credit references that apply to every application, not every application past a certain point. The rules and cutoffs are in place with the knowledge in mind that 66% of the business has to be one mainstream rates. Always check advertising. If the words "Typical APR" appear, then it's a good indication that the company employs a risk-based approach to pricing their loans.
    • Post Points: 5
  •  Sun, Apr 09 2006, 5:01 PM

    Re: northern rock

    Most lenders offer you a rate that they feel reflects your credit rating. However by law 66% of successful applicants have to be offered the advertised rate. I guess NR have offered the required the number the cheaper rate and you were unlucky on this occasion.
    • Post Points: 20
  •  Sat, Apr 08 2006, 9:13 PM

    northern rock

    Iused your site to compare loan rates,with northern rock just about the best,offering 5.8%.this was all granted and Im waiting to fill in the paperwork so I can go and buy my new car . However when the paperwork did arrive NORTHERN ROCK HADput the loan rate UP by 2.1% to 7.9%,with no explanation!! I rang them and spoke to someone I could barely understand ,with them offering me no reason .I then spoke to Alliance &Leicester who did keep their word about rates offering 5.7% well done to them.My advice is to READ THE SMALL PRINT FROM NORTHERN ROCK .YOU HAVE BEEN WARNED
    • Post Points: 35