Young loan

moneysavingme_2

Just looking for advice.

I am wanting a £5000 loan over 2 years from sainsburys, £2000 to pay off an old loan and £3000 to finance a motorbike.

I dont have any other loans and am doing it this way as i dont like the idea of 2 loans at once.

I am 19, full time employed earning £14K, living with parents paying no other bills except phone and sky digital (£70/month in total). My CC is payed off too. Have had the job for 1 year, lived here all my life.

Just wondered if i would get accepted compared to your own past experience's as i don't want any credit refusals on my file if possible.

Also, i am getting a £3000 pay rise next month but dont know if they will take this into account.

TIA

Mike

Kavanne

They might ask for proof of income. Some banks will Accept your new contract and others will only take wage slips. You could have problems with affordability with high street lenders on you Current income I am afraid.

Who is your existing loan with?

elfen

I'd wait til you get your payrise to be honest. Then you know how much more you'll have each month, and will look better to them too (esp. as you will have had your job for over a year then) And they may offer you a better rate for earning a bit more

moneysavingme_2

Thanks for the replies, the problem is the bike i want is used and for sale now. It is an excellent example of the model i'm after and dont want to lose it.

It seems stupid that they wouldn't take me on when i have more disposable income than most of the uk since all my earnings are disposable.

Anyway, i cant leave a deposit on the bike until i know if i can get a loan, and dont want to take a loan out before leaving a deposit on the bike.

If i take the loan out today and then they wont do me the deal i want on the bike tomorrow, would it be possible to cancel the loan?

Like a 10 day cooling off period or something?

Also, i noticed tesco are doing a similar rate, any good?

Kavanne

There will be other bikes. Don't rush into it. I am a biker and I understand but if you miss this one another one will come along eventually

Afforability works on the basis of a set amount of money needed to support yourself and it doesn't matter if you live with parents or not.

moneysavingme_2

Kavanne wrote: »

There will be other bikes. Don't rush into it. I am a biker and I understand but if you miss this one another one will come along eventually

Afforability works on the basis of a set amount of money needed to support yourself and it doesn't matter if you live with parents or not.

Yer the systems crap imo.

I sound like a spoilt brat but my parents support me 100%, so all my money is disposable and i'm lucky to have it that way.

I have been looking at bikes for the last few months and this is the best i've seen yet, its 4 years old and only has 3K miles with 1 owner and fsh.

But, it doesn't matter anyway, i've applied now. If i get the loan and dont buy the bike i'll just stick the money into my isa account as i'm bound to buy one soon anyway and i aren't going to feel the hit financially either.

Lokolo

moneysavingme wrote: »

Yer the systems crap imo.

I sound like a spoilt brat but my parents support me 100%, so all my money is disposable and i'm lucky to have it that way.

I have been looking at bikes for the last few months and this is the best i've seen yet, its 4 years old and only has 3K miles with 1 owner and fsh.

But, it doesn't matter anyway, i've applied now. If i get the loan and dont buy the bike i'll just stick the money into my isa account as i'm bound to buy one soon anyway and i aren't going to feel the hit financially either.

See this: http://i2.photobucket.com/albums/y2/Lokolo/mazda3.jpg

Its perfect for me, I really want it. But as y ou can see, I don't have £6k for my car savings yet. I am not going to get a loan for it as thats just silly and expensive, but instead hope something comes along when I do have the money.

(although the picture is generic, I was just looking at milage cost etc.)

CLAPTON

moneysavingme wrote: »

Yer the systems crap imo.

I sound like a spoilt brat but my parents support me 100%, so all my money is disposable and i'm lucky to have it that way.

I have been looking at bikes for the last few months and this is the best i've seen yet, its 4 years old and only has 3K miles with 1 owner and fsh.

But, it doesn't matter anyway, i've applied now. If i get the loan and dont buy the bike i'll just stick the money into my isa account as i'm bound to buy one soon anyway and i aren't going to feel the hit financially either.

your monthly income is over 950 per month or over 11,000 per year
you say all your money is disposable
paying the existing loan off should be easy
and saving for the new bike possible

Kavanne

stop buying crap and start saving money then. In 6 months you'll easily have enough to buy outright if what you say really is the case.

moneysavingme_2

I could save it but i want it now, the amount i will pay monthly is pretty much the same since my current loan has 1 year left and this one is over 2 years.

I thought some people might say save tbh, its that sort of forum, but i would rather do it this way and since i'm young i might aswell have what i want while i can (i.e. before i buy a house).

I have to ring tomorrow for my result, i'll update it here when i get a result for others in my situation but i'm sure i'll get more reply's saying i should save in the meantime.

CLAPTON

moneysavingme wrote: »

I could save it but i want it now, the amount i will pay monthly is pretty much the same since my current loan has 1 year left and this one is over 2 years.

I thought some people might say save tbh, its that sort of forum, but i would rather do it this way and since i'm young i might aswell have what i want while i can (i.e. before i buy a house).

I have to ring tomorrow for my result, i'll update it here when i get a result for others in my situation but i'm sure i'll get more reply's saying i should save in the meantime.

In these difficult times for banks, it's good to see a young man determined to help them out.
Rather than simply spend his money on himself, family or friends he's determined to share his salary with bank by paying them lots of interest.