Frequently Asked Questions LOQBOX
Recovering financially from a poor credit score can take a lot of time, effort and money to prepare, however, a lot of that can be prevented with a credit repair company.
If you’re looking to take out credit such as a credit card, loan or mortgage in the future and want to do so at a competitive price, then why not consider repairing your credit with LOQBOX.
What is LOQBOX?
LOQBOX is a credit improver tool designed to help build a positive credit report. By allowing customers to improve their credit, LOQBOX provides a better opportunity to get approved for credit at more competitive rates by reporting your monthly savings, classed as a loan to the three main credit reference agencies.
How does LOQBOX work?
LOQBOX works by allowing users to save their money, growing their credit score and then unlocking the money they've collected.
When opening a new account for the first time, you'll need to decide how much money you can afford to save. You'll then lock away a 0% interest ‘loan’*, equivalent to the amount you have agreed to save. Once this is agreed, you'll repay the loan in monthly payments.
Repayment will be taken from your bank account via direct debit on your pre-arranged date each month. These payments will be 'locked' in a LOQBOX savings account until your loan is repaid and you can unlock your savings.
As you begin to pay off your loan every month, effectively you'll be growing your credit at the same time.
At the end of the repayment period, once the loan is repaid, the loan will be unlocked and put into a new account for free. Alternatively, you can also transfer your funds into an already existing account, which will cost a one-off fee of £30.
( LOQBOX is a credit broker not a lender, the 0% interest ‘loan’ borrowed if from DDC Financial Solutions Ltd. their sister finance company.)*
What features does LOQBOX offer?
Some of the features of a LOQBOX account include;
- Credit Repair: The main feature of this product is to repair your credit. It's ideal for people who do not have a good credit score and for people who do not have a credit history.
- Save Money: In addition to building your credit, making saving money easier. By directly taking money from your debit account, it allows you to build up a small nest egg along with repairing credit.
- Partnered Banks: LOQBOX is partnered with major banks such as TSB, RBS, NatWest, Shepherds Friendly, Pockit and many more.
How long does it take to get money from LOQBOX?
Once you have repaid your loan, you have within 14 days to unlock your account, and LOQBOX will apply Flexi Unlock to your account with LOQBOX, free of charge. Which will automatically return any funds to the debit card you made your repayments with.
It may take up to 3 days for you to receive the funds in your account.
Can I cancel LOQBOX?
You can cancel your LOQBOX account at any time and unlock your funds without any charges. However, unlocking your account early may harm your credit report if done before your last payment date.
How much does it cost?
LOQBOX is entirely free to use if you allow for your money to be released into a new bank account. As they make their money from opening up bank accounts for its partnered banks.
However, if you want to release the money you have saved to be put in an existing bank account, you will have to pay a charge of £30 for it to be released.
How much money can I put into my LOQBOX?
You will be required to pay upwards of £20 to £200 a month into your account. The more you pay, the likelihood that your score will make see more considerable improvement. However, LOQBOX encourages customers not to overstretch themselves and pay an amount that they can afford.
Is LOQBOX a loan?
LOQBOX states that it is not a loan, and rather it is a 'cash redeemable savings voucher', instead the loan is issued by their sister company DDC Financial solutions.
Can I take my money out early?
You are able to take your money out before the end of the 12 months. However, it is worth mentioning that this may hurt your credit record if you haven't kept up with your regular repayments.
What happens if I miss a payment?
If you are unable to make a repayment, a missed payment entry will be put on your credit record for potential lenders to see. If you feel that you may be unable to make a payment, you can either contact LOQBOX directly to rearrange payment or 'unlock' your account early.
Is LOQBOX safe?
LOQBOX is authorised and regulated by the Financial Conduct Authority and registered with the Information Commissioner’s Office.
Offering both Ring Fenced Protection and 256-bit Encryption ensuring that your money is safe.
LOQBOX is also supported by the HM Treasury.