Obtainin a Loan - Advice

fullingdale

Given the current money "crisis", I wonder how it will affect someone who is trying to get a small personal loan of say £3000 over 5 years ... the situation is that she's only 20, has been with her current employer for six months and wouldn't have any particular credit score, as yet in fact there's a liklihood she'd have a few minor strikes against her for missing a few payments on her clothing catalogue, but not sure whether they'd have been lodged with a credit agency or not.

I wonder if there's anyone of a similar age or that knows of such and could share information about this.

Many thanks in advance.

countrygirl84

Hi. The only thing she can do is apply and see. Best to try through her own bank though as she will be more likely to get it there then anywhere else. I was a loan advisor for NatWest and I know that it was harder to get a loan through for somebody under the age of 21. I also know that since all this credit crisis people are finding it harder to be accepted for loans. A few tips....
1) Does her wages go into her account? This will help. If not, tell her to take her last 3 months (if paid monthly) or 4 weeks (if paid weekly) wage slips in with her.
2) Is she on the electoral roll? If not, I would advise you to get her on there as soon as poss although this could take a while.
Hope this helps

Zapp_from_Planet_Zogg

Would advise that she gets to see her credit file from Experian.

You can do it for nominal cost - guides on this website will show you how.

If adverse credit is recorded within the last 12 months (from the catalogues) then she can probably forget it. She would them be well advised to follow the tips on here about (re)building your credit history.

The worst thing she could do is start applying for loans all over the place and keep getting knocked back. This will destroy any credit worthiness she currently has. Probably not worth her trying to apply for the lowest APR loans available either - the risk of rejection is much higher if you have a poor credit history.