When a loan is declined: how we tell you, and what next

A decline is a hard thing to put in an email. We try to do it well — clearly, quickly, and with useful next steps wherever we can.

Why we decline

The most common reasons are affordability (the company’s current trading does not support the requested amount or term), insufficient trading history (we ask for at least six months), and Companies House status (dissolved, in liquidation, or in compulsory strike-off). None of those is a moral judgement — they are just facts about whether the loan is the right tool right now.

What we tell you

We will tell you the primary reason in plain English, not just a code. We will tell you which sources of information shaped the decision (e.g. Companies House, the bank statements you provided, the affordability assessment). And we will tell you how to challenge it.

Your right to human review

Under Article 22 of the UK GDPR, you have the right to ask for a human review of any automated decision. Our decline email includes a link to a one-click form for that — a real person, not a script, will read the application and either confirm the decline (with more detail) or overturn it.

If we cannot help right now

Sometimes the right answer is for a business to come back later — with three more months of trading on the books, or with a tidier creditor position. Sometimes another lender is the right answer. We will not pretend otherwise. Our How we lend page describes our affordability approach, and Business Debtline (0800 197 6026) is the free, independent route if the underlying issue is cashflow rather than the loan itself.