Help!! I need a loan for £4,000

kyliee18

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Hi, I was just wondering if anyone would be able to give me some advice or suggestions on what I should do next.

I would like a loan for £4,000 to buy a new car as my one at the moment is costing me alot of money. I would like the loan over a year or two but this is proving to be impossible. I am 20 years old, earn £25,000 a year and still live at home with my parents. I've had credit cards in the past but have always paid them off, I have an overdraft and my car at the moment is on finance which hopefully I'll be able to sell to pay off the remaining finance.

I must have tried about four or five companies now for a loan all of which have been unsuccessful. I'm getting quite desperate and frustrated now as I don't understand why I am being refused when I have never missed a payment and have shown that I can pay things off fine. :mad:

Any suggestions or help would be much appreciated. Thank you :rotfl:

epsilondraconis

I suspect you have already made too many loan applications and this would have adversely affected your credit file. I suggest you don't make any more applications as they are very likely to also be unsuccessful.

I understand that you are able to pay off your debts etc; however if you are currently living at home with your parents and earn £25k per year; why do you not save up the money and buy your car outright?

kyliee18

Yeah your right I could do that but my car that I have at the moment is costing me about £400-£500 a month because the insurance etc is so high and there is problems with the car so I need to rid of it quickly?

epsilondraconis

Is it not possible to borrow the money off of your parents?

How about one of your parents becoming the main driver on your insurance policy and you being a named driver to reduce the insurance. You then pay your parents the cost of the insurance. By reducing the insurance cost, you can then save up for your change of car.

Hopefully someone else will be along soon with some more advice - I'm not sure what else you could do.

Do you have a credit card that allows a super balance transfer e.g. virgin. These allow you to do a balance transfer from your credit card into your bank account whilst paying the balance transfer rate (typically 3%). If you have a credit card like this, and you have sufficient credit, and you can get a decent balance transfer rate, this would probably be your best bet.

kyliee18

Nope not possible to borrow off parents. I did do that with my insurance and my dad was the main driver and me as named for 2 years but this doesn't help me building up my own no claims which is why I decided to do it on my own.

Thank you for responding to me, I can't even get a credit card like that either just get refused all the time. I've had a credit card with Mint, MBNA and Lloyds TSB but none of them had a limit like that.

Thanks for your help though.

Gorgeous_George

You could try Zopa (check out the referrals board where I and others offer you £40 of the £50 referral fee). You could get a better rate by creating a 'Listing'.

Are you on the electoral roll? If not, this can affect your credit score.

Good luck

GG

kyliee18

Gorgeous_George wrote: »

You could try Zopa (check out the referrals board where I and others offer you £40 of the £50 referral fee). You could get a better rate by creating a 'Listing'.

Are you on the electoral roll? If not, this can affect your credit score.

Good luck

GG

Yep I am on the electoral roll. Thanks

kyliee18

Gorgeous_George wrote: »

You could try Zopa (check out the referrals board where I and others offer you £40 of the £50 referral fee). You could get a better rate by creating a 'Listing'.

Are you on the electoral roll? If not, this can affect your credit score.

Good luck

GG

I've never used this before where would the referral board be?

Emmzi

epsilondraconis wrote: »

Is it not possible to borrow the money off of your parents?

How about one of your parents becoming the main driver on your insurance policy and you being a named driver to reduce the insurance. You then pay your parents the cost of the insurance. By reducing the insurance cost, you can then save up for your change of car.

..and that would be insirance fraud, sorry. Any claims may be invalidated if they get wind of it.

epsilondraconis

It may be worth you getting a copy of your credit report from the main credit agencies Equifax, Experian etc to ensure there isn't anything lurking that you are unaware of.

You could sign up for free with Experian (credit expert) and get a copy - ensuring you cancel within the first month. Alternatively you could write to each of them enclosing a £2 cheque / postal order and they will send you a copy. Don't bother paying extra for your credit score, it is worthless.

epsilondraconis

Emmzi wrote: »

..and that would be insirance fraud, sorry. Any claims may be invalidated if they get wind of it.

:eek: A shocking revelation.