# Tesco loans - delays?



## aslan (4 Jul 2007)

Has anyone else had a very frustrating experience applying for a Tesco loan???   I applied a month ago and was asked to send in further bank statements.  
How long does it take between them receiving the documents and getting approval/the money??

Also,  after jumping through all these hoops, has anyone been turned down for the loan in the end?


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## commercial1 (4 Jul 2007)

I've had a terrible time with the loan provider in question. The loan was drawn down twice into my current a/c and took a number of weeks to sort out. The customer service in incredibly bad.

I was redeeming the loan in the last two months and was advised that they could not issue a statement of the a/c to me. After logging about 20 calls into their complaints department they finally issued me the closing statement. I would not refer anyone to them, looks like the cheap loans are reflected in the level of customer service they provide.


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## Marconi2012 (4 Jul 2007)

I note complaint re. Tesco Loans- i am not a customer yet but see their rates are particularly attractive.

Don't complain on the phone to such providers- write to their complaints dept.- and wait for reply. If no reply, write again and refer to initial letter and request Final Response Letter so you can move matter to Financial Ombudsman.

It'll cost them a fortune in manpower time investigating and writing all the letters and you will probably win some small compo. with Ombudsman if and when your complaint is upheld. It will only cost you one stamp, i.e. to Ombudsman- as Tesco are a FreePost address- http://www.tesco.ie/finance/personalloans/index_contact.html

Financial Ombudsman
[broken link removed]

P.s. i want some sweets when you get your compo cheque!


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## GeneralZod (4 Jul 2007)

Try going to Ulster Bank instead. They actually provide the tesco loans. I brought all the docs in and got approval then and there and the money was put into my account the next day. They gave a better rate (5.8% versus 6.9% on 18k) than tesco do as well once I converted to the UFirst current account.


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## barryo (4 Jul 2007)

Better still for small borrowers - First Active have a fixed or variable rate of 6.8% with NO minimum amount unlike UB. Takes 2 days


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## bacchus (5 Jul 2007)

GeneralZod said:


> Try going to Ulster Bank instead. They actually provide the tesco loans. I brought all the docs in and got approval then and there and the money was put into my account the next day. They gave a better rate (5.8% versus 6.9% on 18k) than tesco do as well once I converted to the UFirst current account.


 
but it still cost you the same amount of money per month ... 
18k @ 5.8%  say 3 years = 545.97 per month + €9 for Ufirst = 554.97
18k @ 6.9%  say 3 years = 554.97 per month
(above figures obtained using Karl's calculator)
And you thought you got a deal ...


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## aslan (5 Jul 2007)

I havew thought about going elsewhere but Tesco has got my documents and I'm sure it would take just as long to have them sent back as to wait for final decision!!  I thought the last documents requested would see an end to the wait, only to be told the loans are processed in Belfast and it will be another week ................ or two!!!  A friend of mine applied for a loan on the same day and got their money over two weeks ago - startin to tear my hair out here!!  It may be a low rate but I reckon they can offer that cos most people give up or die of old age waiting for it to come through!!  

Brian- sweets on the way if I ever get any money!!!!


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## GeneralZod (8 Jul 2007)

bacchus said:


> but it still cost you the same amount of money per month ...
> 18k @ 5.8%  say 3 years = 545.97 per month + €9 for Ufirst = 554.97
> 18k @ 6.9%  say 3 years = 554.97 per month
> (above figures obtained using Karl's calculator)
> And you thought you got a deal ...




I'm paying €345 + 9 per month over five years.

It would have been €362.25 per month without the U-first account as 8% is the rate then not 6.9%.

I didn't want to wait a few weeks for the tesco application at 6.9% for no benefit.


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## bacchus (8 Jul 2007)

My example was over 3 years... You have borrowed over 5 years

€18k @ 5.8% over 5 years = €346.2 + €9 = €355.2
€18k @ 6.9% over 5 years = €355.57

Same again....


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## bacchus (8 Jul 2007)

GeneralZod said:


> I'm paying €345 + 9 per month over five years.
> 
> It would have been €362.25 per month without the U-first account as 8% is the rate then not 6.9%.
> 
> I didn't want to wait a few weeks for the tesco application at 6.9% for no benefit.



General,
You are not playing a fair game on AAM this morning..  You kept editing you old post based on feedback you are getting. Don't know where this 8% is coming from now....all post so far talk about 6.9% and 5.8%

Anyway, in global terms, Ulster 5.8% with Ufirst (e..g €9 per month) seems to be the same as tesco (by Ulster bank anyway) at 6.9%..
Somebody in Ulster has done the maths...


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## GeneralZod (8 Jul 2007)

Bacchus, 
The mistake I made was about the 6.9% versus 8.0%. I saved money on that 8.0 rate by taking the UFirst deal. The saving was worthwhile. My main point was that I got the loan immediately without a delay, which is in fairness the issue in the OP. If I'd continued with the tesco application at 6.9% I'd have paid the same amount but had to wait 2 - 3 weeks.


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## scatriona (10 Jul 2007)

I had similar problem; in the end I think it was 6-8 weeks before I got the funds. Thankfully car dealer was understanding!! I wrote a letter of complaint to both Tesco (UK) and Ulster Bank in Belfast. Got a standard letter back.... 
TBH, I think I'd pay the extra 2% interest to my local bank in future as I would have probably had an almost immediate transfer of funds that way.

S


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## irishpancake (10 Jul 2007)

I had the same run around from Tesco Loans. Applied on-line, had to ring their call-centre in Belfast on 1850520520 to see whether I was provisionally accepted, I was told yes. All this took about 4 weeks. Then I had to wait for their documentation to arrive, another week or two.

But, in the mean-time the dealership I was buying the car from introduced a 3-year interest-free loan incentive, from PTSB, no doc fees, up-front payments, balloon payments, just a straight deal over three years. I jumped at this, rang Tesco/Ulster on 1850520520, and told them I would not be proceeding with the original loan, as I had jsut got interest-free finance.

I hadn't sent in any documentation or anything, just withdrew the application.

The PTSB loan came through in about *three days*, not weeks.

Guess what arrived in the post from Tesco the other day. A letter telling me they could not facilitate me, after "careful consideration" as I did not meet their "assessment criteria" There was also a bit on it stating possible reasons, including ICB records, etc.

I was livid, so I have written to the person who signed the letter, looking for an absolute reassurance that nothing has been recorded on my ICB record. I will make a complaint to the Financial Regulator, north or south, if they have in any way compromised my credit rating, which is pristine.

Avoid Tesco Loans like the plague, is my advice.


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## Lemming (17 Jul 2007)

I would also agree with the Tesco loan sentiment here.
I applied online and was told that I would get a response within 48 hours. 46 hours later I got a call saying they were very busy and would get back to me within 24 hours. 2 days later after no calls I rang them and they promised to call me back. 2 further days later I called again and they took my application details over the phone and said they would process it straight away. I sent off my documents to a PO Box in Dublin and they get forwarded to Belfast so all that takes about a week. Got a call back saying that the loan type I had applied for could be repayed over a maximum term of 36 months rather than the 60 months I applied for. I agreed over the phone to shorten the term. When I got the agreement documents the loan type that had been put down for me was Holiday! Must have been the next one on the list and the person on the phone had clicked by mistake, I have a transcript of what I applied for online. Sent back the application without signing the 14 day cooling off waiver. Got a phone call back saying I needed to send in the account statement from which I would be repaying the loan (a joint account), not my own personal statement. I explained that we signed up for electronic statements and what I could send would be the original bank letter at the time of setting up the account and a printout of the most recent statement. I was told at the time that would be ok. Got a phone call yesterday (now 5 weeks after applying) that they need the statements to be bank certified (stamped). They appreciate that it's hasle for me to physically go into my bank to get the statement (45 minutes away) and that that (internet) is the way banking is going. A bit rich since I applied "online" for the loan to start with. I also checked their website for the fax number and I see that they're again advertising the loan rate as being 6.9% until September 14th and it had been 7.9% a saving of 1%. When I applied it was also 6.9% until July 15th. When was it 7.9? For 1 day in the midle of July or back in Mar? (unlikely the way interest rates are going). They have all my documents however and at this stage I suspect I am close to the end of whatever set of obstacles they can erect in my path, so I will probably see it out. I decided instead to spend the time typing this warning to others than to spend the time applying for a more expensive loan somewhere else. Altruistic or what?

If anyone out there is considering going down the Tesco route, don't!


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## Bill Struth (17 Jul 2007)

The length of time it takes when applying for services with Ulster Bank seems to be the issue here. I applied for their credit card and a month later I got a request for more information. It was then a further month later when I got a letter saying I had been successful. A week later I eventually recieved the card and pin! I've noticed other people on this portal complaining about the time taken with regard to mortgages etc.

Does everything have to back and forward to Belfast for processing? Is this the reason for the delays?


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## Molly (17 Jul 2007)

> Guess what arrived in the post from Tesco the other day. A letter telling me they could not facilitate me, after "careful consideration" as I did not meet their "assessment criteria" There was also a bit on it stating possible reasons, including ICB records, etc.
> 
> I was livid, so I have written to the person who signed the letter, looking for an absolute reassurance that nothing has been recorded on my ICB record. I will make a complaint to the Financial Regulator, north or south, if they have in any way compromised my credit rating, which is pristine


 
No one can comprise your ICB record, it is a record of your repayment history on loans or borrowings of ICB members. A loan refusal /decline is not recorded on the ICB.


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## irishpancake (18 Jul 2007)

Molly said:


> No one can comprise your ICB record, it is a record of your repayment history on loans or borrowings of ICB members. A loan refusal /decline is not recorded on the ICB.



Molly, thanks for that clear-cut information, it really is a load off my mind  

I was so annoyed with Tesco/Ulster, given the circumstances I outlined above.

If they had just left it with my telephone instructions it would not have upset me, but to receive a formal letter declining me for a loan I no longer wanted, and to include  reasons including your ICB record as possible reason for this was extremely upsetting.

BTW, true to form, I have received neither an acknowledgement or a reply to my letter of complaint.


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## BillyNoMates (18 Jul 2007)

I have had similar problems with tesco loans.
Applied with all the paperwork correct.
Took over a month in all till I finally got a letter back saying I couldn't be approved for the loan!
Still can't understand what critera I failed on.
The loan was easily within my means to pay.
Would have been nice if they had of said that up front at pre approval.


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## aslan (18 Jul 2007)

well, the message to avoid tesco loans is coming through clearly!!  Like a couple of others, despite getting approval in principle I was eventually turned down for a loan with tesco.  I then applied elsewhere (and actually increased the amount I asked for slightly) and get approval in less than 48hrs!!!

AVOID TESCO LOANS!!!!


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## shanesgal (18 Jul 2007)

They actually lodged double the amount of the loan into my current account.  It took them 5 months to notice.  I then obviously had to repay them the amount that I had not applied for.


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## ailbhe (30 Jul 2007)

Just to back up what everyone else has said. We applied for a loan with tesco a year ago. Got pre approval which took 3 weeks, sent off all documents and waited...and waited.....and waited....
Eventually rang them and they said that the bank account statements were out of date (only because it took them so long) and we needed to get more up to date ones. I said I wasn't happy and wrote a letter of complaint with the documents and waited....and waited.
So eventually All my docs arrive back in the post. I called them up and they said that they understood for my letter that I did not wish to proceed with the loan. Nowhere in the letter did I even hint at this. So we went to our own bank, BOI and had the money in a week.

Laughable!


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