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Your loan application could be rejected for a number of reasons, although the lender is not obliged to tell you exactly why they have rejected you.
If you are rejected it's best to know why. The most likely reason will be something to do with your credit history. Therefore, within 28 days of rejection, you need to ask your lender if they used a credit reference agency to make their decision. If so, they are legally obliged to tell you which agency they used and how you can contact them. You can then write to that credit reference agency for a copy of your credit report. It will cost you £2.
If they did not use a credit reference agency and you were turned down according to the lender's own criteria. Every loan company has different criteria, and the reason could be linked to your income or some other aspect of your personal circumstances.
Most lenders will tell you, in broad terms, why your application has been rejected - and it's worth finding out so you can fix the problem before applying for another loan.
Once you have a good idea of why you were rejected, it's best to talk to a loan broker and explain your situation. With his considerable experience, the broker will know which of the many lenders in the market are likely to favourably your application.
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