Loan Purpose - does it matter?

Ellena_2

Does it matter what I want to borrow the money for?
I need about 15k to buy property abroad. On the loan applications lenders don't have a purpose like this just "Others". So is it better to mark e.g. Car Purchase. Would they check if you really bought a car?

Robert_Sterling_3

What matters when you apply for credit is that you tell the truth the whole truth and nothing but the truth. Anything else might be attempted fraud.

Alias_Omega

Would they check, probably not, but then again you could buy that nice merc, then decide to sell it a day later.

I suppose if you said..

'a gambling trip to vegas'

then the loan would be out of the question.

cullbaggie

Alias_Omega wrote: »

Would they check, probably not, but then again you could buy that nice merc, then decide to sell it a day later.

I suppose if you said..

'a gambling trip to vegas'

then the loan would be out of the question.

isn't that what the banks have been doing to get into this mess!!

dianaministers

I totally feel for you. To begin with, for some, applying for a loan is not easy enough without someone asking you what the loan is for, but then the point of the question is for priority issues and legitimacy. Although it's quite doubtful that anyone would really say "imma gettin a loan so I can blow it all on the power tables in Vegas", I guess they really have to gauge if a person does indeed need to be prioritized in getting the loan they asked for.

Morglin

Most people generally say 'home improvements' which covers a multitude of things.

Lin

CHR15

Depends if you have any other loans/debts

If you already have £10K debt and ask for this £15K, you would have £25K of debt, which many banks will see as too much so reject the application.

If you were to say it was for consolidation, then you would pay off your £10K so you total debt would be just this new £15K, which may be more likely to succeed.

_Andy_

Whatever happened to just telling the truth?
Or is that unfashionable nowadays?

Robert_Sterling_3

What are the chances of annynany being her rather than him.
Annynany could boost his/her score by visiting the MSE arms.
Meanwhile CHR15 has boosted his/her score by suggesting that perhaps annynany has boosted his/her score.
I would never do anything like that myself. Would you? No of course not.

Watch out for more "Have a nice day" greetings from Annynany.

lifesuckssometimes

I would put down face lift, as i need one. but just tell them new car if they smell property abroad they may start thinking hard about giving it to you, as many Brits have lost homes abroad, so risky for finance company, And many do decide not to pay back loans when they settle abroad.

dianaministers

_Andy_ wrote: »

Whatever happened to just telling the truth?
Or is that unfashionable nowadays?

As bad as it may sound, many will say that the truth is overrated. I would rather believe that while it is true that a lot are feeling the economic pinch and really do need to make a loan, most of them are plain embarrassed to discuss he particulars. It's not really easy telling a complete stranger that you have a family member who's sick and you really need the money for an operation, or in a more banal way of putting it, saying "my drunkard of a spouse got smashed again and wrapped the family car around a tree, but hit a neighbor first on the way to the tree and now I have to pay for the hip operation of my neighbor" really isn't going to help you get the loan.