Please help!

Pheonix08

would I be able to get unsecured loan? I am looking to borrow around 7500. I am in full time employment earn about 36000 per year. Have three credit cards totaling to around 2000. Not missed a payment in past 12 months. However as a student had credit card defaulted on in. Payed all that off about 18 months ago. Was young and neive then didn't understand what effect it would have in the future. I have had mortgage for about 1 year not missed any payments. No other loans, not in arrears. Any advice will be welcome. Thanks.

standupguy

Get a copy of your credit file from the credit reference agencies - that will give you a good idea?

UK007BullDog

on top of what standupguy said have you tried moving your debt to 0% cards or low rates cards? that is cheaper than a loan. the main thing is that you then actively in writing close the accounts of the old cards. it will then enhance your credit rating as well.

Pheonix08

Last year I did apply for a 0% card but was rejected for that. recently applied for capital one classic and was accepted for credit limit of up to 2500, however apr is too high.

Pheonix08

I approached my bank they declined me for personal loan as i have default. However my mortgage company abbey has accepted me for secured loan of 7500 at variable rate 7.2 over 5 years. Should I accept?

King_Weasel

How quickly do you think you can pay off the loan? It's not large in relation to your salary.

Will Abbey charge you if you pay the loan off early?

You could have another go for a 0% card but remember (1) each rejection reduces your chance of success in the short term, and (2) you will still need to pay off the balance at the end of the fee interest period.

You could also consider a low life-of-balance card, though caveat (1) above still applies.

But if Abbey won't hang around while you pursue other avenues maybe you should go for their offer? - the interest rate isn't outlandish, after all. Just make sure you don't default!

Pheonix08

I got copy of my credit report. My credit score is 575 (poor).