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    • Asia01
    • By Asia01 5th Oct 17, 4:11 PM
    • 1Posts
    • 0Thanks
    Cancel personal loan for hire purchase?
    • #1
    • 5th Oct 17, 4:11 PM
    Cancel personal loan for hire purchase? 5th Oct 17 at 4:11 PM
    I'm in the process of buying my second car and I have applied for a personal loan for it with Santander.
    The loan is £5500. The advertised rate was 4.5% but I already knew I could be charged a higher rate. Santander approved my application for 23.9% which is a lot higher than anticipated,
    This is my first loan, my credit is stable but I've never had a credit card and I'm currently earning £28k.
    Would i get a better rate if I do a higher purchase through the dealership or has the fact that I have just applied for a loan a few days prior hindered that?
Page 1
    • Tarambor
    • By Tarambor 5th Oct 17, 6:10 PM
    • 1,319 Posts
    • 906 Thanks
    • #2
    • 5th Oct 17, 6:10 PM
    • #2
    • 5th Oct 17, 6:10 PM
    Only way to find out is apply. Most dealers should be able to beat 23.9% by a serious amount.
    • Nearlyold
    • By Nearlyold 5th Oct 17, 7:27 PM
    • 969 Posts
    • 797 Thanks
    • #3
    • 5th Oct 17, 7:27 PM
    • #3
    • 5th Oct 17, 7:27 PM
    Agree with Tarambor above, however you must make absolutely sure the Dealer quotes the APR NOT the Flat rate. A Flat Rate might sound cheaper but a Flat Rate of 13% equates to approx. 26% APR
    • DCFC79
    • By DCFC79 5th Oct 17, 8:38 PM
    • 30,093 Posts
    • 19,049 Thanks
    • #4
    • 5th Oct 17, 8:38 PM
    • #4
    • 5th Oct 17, 8:38 PM
    You asked for £5500 so maybe the rate might come down if you ask for £7.500.
    Can people stop loaning money/being a guarator to family/friends, it rarely ends well and you lose out as your money is gone or you get shafted with being a guarantor.
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