Help please

jamiestoddart

I am looking at getting our garage converted, now i will need to borrow 17K but the builders cannot start work for 2 months, therefore do not want to get a loan yet as will end up paying interest, however they will need a deposit of £1700 - am i best putting this on the credit card and paying a little bit off each month until i require the full loan amount or best just getting the loan now?

McKneff

Dont really know what to advise at the moment. In our area building companies are dropping like flies into liquidation. If you give them £1700 and they go under - bang goes your £1700. Cash up front 2 months in advance is a bit chancy at the best of times. Coulnt you negotiate to pay them on start date or a day or two before.

Otherwise wait for a few more posts on here.

jamiestoddart

anniehanlon wrote: »

Dont really know what to advise at the moment. In our area building companies are dropping like flies into liquidation. If you give them £1700 and they go under - bang goes your £1700. Cash up front 2 months in advance is a bit chancy at the best of times. Coulnt you negotiate to pay them on start date or a day or two before.

Otherwise wait for a few more posts on here.

understand what you're saying, but they would obviously need to order materials i.e. french doors/window etc so they obviously would like some sort of deposit so they dont order materials for me to cancel.

McKneff

They dont need to order standard things two months before. I work for a building contractors and things are pretty straight forward we order one day and they are delivered or picked up within a few days. Builders merchants around here are shouting that they aren't selling half as much as they did last year. Anyway, ordering is not paying and most builders have a monthly account with suppliers. They would probably order goods the week before they start, pay the suppliers about 6 weeks after delivery and they have then had your £1700 for 3 months !!!! just go canny thats all i'm saying

dubsey

I agree, one of our best friends is a builder and he NEVER asks for any money up front. He gives a full written contract before he starts a job and within that he has payment 'stages'. So he'll do a certain amount (as agreed in the contract) and then the customer pays only for the work carried out/materials used up to that point. That way he said if he was injured or unable to complete the job someone else taking over can see exactly what's been done and that it's been paid for and so can the customer.

As has been said, how do you know they aren't in financial trouble and are using that money to tide them over hoping things will pick up. Our friend doesn't need to pay any of his suppliers up front as he has accounts with them.

McKneff

dubsey post makes a lot of sense. Please please take note

brightonman123

why would builder want deposit 2 months in advance? seems v off..

jamiestoddart

brightonman123 wrote: »

why would builder want deposit 2 months in advance? seems v off..

mmm, dont know - i think i will ask him why they want 10% deposit so early when there is a 2 month lead time.

ps. anybody know of any decent builders?

McKneff

where abouts are you jamie

jamiestoddart

anniehanlon wrote: »

where abouts are you jamie

I live in Stockport

McKneff

sorry, can't recommend, i live in n. yorkshire
But just like to say get at least 3 quotes for your garage and some recommendations from previous customers